MP Materials and the US Defense Department agree a $110/kg NdPr price floor, $400M equity and heavy rare-earth loan

MP Materials/Mountain Pass mine and separation

The Defense Department agreed to a 10-year price floor of $110 per kilogram for MP's NdPr products, a $400 million preferred stock purchase that would make it MP's largest shareholder, and a $150 million loan to expand heavy rare-earth separation at Mountain Pass. It also guaranteed buyers for all magnets from a second US magnet plant, the 10X Facility, for 10 years.

• Price floor: $110/kg NdPr for 10 years, whether stockpiled or sold.
• DoD stake: about 15% of common shares on an as-converted basis.
• $150M loan to add heavy rare-earth separation at Mountain Pass.
• 10X Facility commissioning expected from 2028; US magnet capacity ~10,000 t.