Court Clears Hermosa Critical Minerals Project to Proceed

A federal judge in Arizona declined to halt construction of a southeastern Arizona mine that will supply domestic manganese and zinc.

Updated on Nov. 10, 2026 in Manufacturing

Isometric editorial illustration of a stepped open-pit mine with a conveyor carrying ore across desert terraces toward processing silos. — A federal judge in Arizona declined on Tuesday to halt construction of the Hermosa Critical Minerals Project, which will supply domestic manganese and zinc. AI Illustration. Upload story photo >

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The U.S. District Court for the District of Arizona denied a motion to halt construction of the Hermosa Critical Minerals Project in southeastern Arizona. The project, approved by the U.S. Forest Service in July 2026, is set to establish a domestic source of manganese and substantially increase domestic zinc production.

Why it matters

The United States relies entirely on imports of manganese and almost entirely on imports of zinc, and China provides about 95% of global refining capacity for manganese used in advanced batteries. The project is intended to reduce that dependence and supply materials used in military vehicles, naval vessels, and defense batteries.

Federal awards include $20 million from the Department of War under the Defense Production Act and $166.2 million from the Department of Energy. The merits of the environmental challenge remain unresolved as the case proceeds on an expedited schedule.

The players

U.S. Forest Service

The federal agency that manages the Coronado National Forest and approved the Hermosa project in July 2026.

U.S. District Court for the District of Arizona

The federal trial court that denied the motion to halt construction of the Hermosa project.

The details

The Forest Service approved the project in July 2026 after roughly three years of environmental review and formal consultation with the U.S. Fish and Wildlife Service under the Endangered Species Act. The approval expands existing mining operations on private land onto the Coronado National Forest and imposes more than 400 binding design features, mitigation measures, and other conditions.

Roughly three years of environmental review preceded the July 2026 approval.
Two environmental groups challenged the agencies' decisions in late October 2026.
The court denied the preliminary injunction motion the week before November 10, 2026.

Market Landscape

The project is part of a broader U.S. effort to build domestic capacity for critical minerals in a supply chain dominated by China's refining industry. Its approval and survival of an early legal challenge put it in position to add domestic manganese and zinc supply that the country currently imports.

The approval allows construction and mining activity to proceed while the legal challenge is heard on an expedited schedule. Residents near southeastern Arizona and the Coronado National Forest may see changes tied to the expanded mining operations as the project advances.

The takeaway

Domestic production of critical minerals depends on resolving permitting and legal challenges, and this case shows that approvals can move forward while litigation continues. Watching the expedited merits ruling will show whether the project's approvals hold.