# Solcoa Industries Expands Rare Earth Metallization in Nevada

Solcoa Industries has secured $75 million in funding to establish a rare-earth metallization plant in Nevada, targeting an annual capacity of 500 tonnes by July 2027. This expansion significantly enhances U.S. domestic capabilities in rare-earth metallization, a critical step amid increasing Department of Defense (DoD) restrictions under the Defense Federal Acquisition Regulation Supplement (DFARS) on rare-earth magnet supply chains. The plant's advanced halide-free chemistry and modular reactor technology promise lower energy consumption and reduced environmental impact compared to conventional methods, positioning Solcoa as a strategic prime contractor in the defense and critical minerals sectors.

- **Why this matters:** The new facility addresses a vital supply chain vulnerability for defense contractors reliant on rare-earth materials, aligning with DoD priorities to secure domestic sources.
- Procurement professionals should note the growing emphasis on sustainable and scalable rare-earth processing technologies as a factor in future contract evaluations.
- Contractors and suppliers in the defense and critical minerals markets may find emerging opportunities to collaborate with Solcoa or develop complementary capabilities.
- The timeline to operational capacity by mid-2027 provides a clear horizon for planning engagements and investments related to rare-earth metallization supply chains.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Physical Infrastructure
**Published:** September 24, 2026

### Government Entities
- U.S. Department of Defense (DoD)

### Vendors
- Solcoa Industries (prime contractor)
- Bain Capital Ventures (lead equity investor)
- J.P. Morgan (debt/equipment financing anchor)
- Gigascale Capital (investor)
- Felicis (investor)

### Key Quotes
> Solcoa says its technology uses halide-free chemistry and modular reactors manufactured in-house, claiming lower energy consumption, lower cost, and elimination of harmful fluoride gases and perfluorocarbon emissions associated with conventional molten-salt routes.
> — Hooman Reza Nezhad, Co-Founder & CEO, Solcoa Industries

### Sources
- [Solcoa Industries Rare Earth Metallization 500 Tonnes](https://rareearthexchanges.com/news/solcoa-industries-rare-earth-metallization) - Rare Earth Exchanges