The Pentagon is investing over half a billion dollars to expand an Australian critical mineral project that is set to become the world’s first primary scandium mine, US President Donald Trump announced on August 8, 2026.

The $400 million USD ($560 million AUD) loan will support Sunrise Energy Metals’ Syerston scandium project located near Fifield in central west New South Wales, approximately 350 kilometres northwest of Sydney. The project aims to provide "the world's first primary source of mine-able, high-grade scandium," according to Sunrise Energy Metals.

Scandium is an increasingly critical mineral widely used in aerospace, defense, and automotive industries. Currently, nearly all scandium supply is sourced from China, Russia, and Ukraine, with no global primary mine-source supply. The Pentagon’s Office of Strategic Capital (OSC) noted that scandium is mostly harvested as a by-product of other industrial or resource extraction processes, and foreign competitors account for about 80 percent of the world’s mining production and nearly all scandium processing.

In February 2026, Sunrise Energy Metals CEO Sam Riggall said the project, backed by mining billionaire Robert Friedland, was expected to contribute to a US critical minerals stockpile valued at $12 billion USD ($16.9 billion AUD).

President Trump announced the loan alongside other investments in critical minerals and battery projects totaling $3 billion USD ($4.2 billion AUD). Speaking at a State Department event in Washington with over 200 mining executives, educators, and investors, Trump stated that the US is reclaiming its position as "the minerals superpower of the world."

The initiative underscores the strategic importance of securing supply chains for critical minerals, with recognition that "no one country alone can create secure, end-to-end supply chains in critical minerals and rare earths," highlighting the collaborative nature of these efforts.

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