Army Awards $40 Million Contract to Idaho Mining Firm

Perpetua Resources will study the feasibility of domestic tungsten production in Idaho's Stibnite Mining District.

Updated on Oct. 26, 2026 in Military Jobs

Army Awards $40 Million Contract to Idaho Mining Firm

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Should the U.S. government fund private companies to explore domestic mineral resources?

The U.S. Army has awarded a $40 million contract to Perpetua Resources to evaluate tungsten production at the Stibnite Mining District. This initiative aims to address domestic supply gaps by exploring the extraction of critical mineral resources within Idaho.

Why it matters

The funding supports drilling and material testing to define a viable tungsten mineral resource. This move is significant because there has been no commercial tungsten mining operations in the United States since 2015.

The contract spans 36 months, with the initial 18-month phase requiring an estimated $18 million in shared costs between the company and the military. The site also contains 1.37 million ounces of gold and over 95 million pounds of antimony.

The players

U.S. Army

The military branch is managing the defense industrial base and securing critical mineral supply chains.

Perpetua Resources

This company is the lead contractor responsible for mineral exploration and site evaluation in Idaho.

The details

The project utilizes a cost-sharing model where Perpetua and the U.S. government split expenses during the early stages of development. Teams will conduct extensive drilling at the Hangar Flats pit to determine if the site can sustainably produce industrial-grade minerals.

2015 marked the end of the last commercial tungsten mining in the U.S.
The initial phase of the project is scheduled for the next 18 months.
The total duration of the Army contract is 36 months.

Market Landscape

This project seeks to address the long-standing dependency on foreign mineral sources that has persisted since the 2015 cessation of U.S. commercial tungsten mining. By investing in the Stibnite Mining District, the government is attempting to revive a stagnant domestic supply chain.

Local residents may see increased industrial activity and potential job growth as the mining evaluation progresses in the Stibnite district. There is no immediate impact on consumer pricing, as the work is currently in the resource definition phase.

The takeaway

Domestic mineral production remains a key focus for national industrial strategy in the coming years. Residents should monitor future project updates to understand the environmental and economic effects on the region.