In a significant development for the rare earths sector, REalloys Inc., a vertically integrated U.S. rare earth company and merger target of Blackboxstocks Inc. (NASDAQ: BLBX), has entered into a strategic alliance with St George Mining Limited (ASX: SGQ). The partnership centers on the Araxá Project in Brazil—home to one of the world’s highest-grade rare earth deposits—and marks a major step toward securing a more robust and diversified rare earths supply chain for the United States.

The alliance was formalized through a Memorandum of Understanding (MOU), under which REalloys will gain access to up to 40% of Araxá’s future rare earth production. The companies also plan to collaborate on advanced processing technologies aimed at maximizing recovery and performance of critical rare earth elements (REEs), particularly those essential for defense, clean energy, and advanced manufacturing.

A Strategic Response to Shifting Global Supply Chains

Rare earth elements have long been a linchpin in high-tech and defense applications—from guided missiles to electric vehicle motors and wind turbines. But with China still dominating global rare earth production and processing, the U.S. has faced growing pressure to develop secure and independent supply chains.

That pressure has translated into federal action. Through contracts with the Defense Logistics Agency and other U.S. government agencies, REalloys has already been tapped to help develop high-purity rare earth metals and magnet materials for strategic applications. This new partnership with St George Mining bolsters REalloys’ ability to meet that demand with reliable upstream supply.

The Araxá Project, located in Minas Gerais, Brazil, is no ordinary source. It's considered South America’s largest and highest-grade carbonatite-hosted rare earth deposit and ranks as the second highest-grade REE deposit in the Western world. The project’s scale, grade, and favorable logistics make it an attractive candidate for fast-track development.

While this alliance is centered on securing raw materials, it also reflects broader shifts in the mining sector—where innovation in processing, sustainability, and geopolitics now plays just as big a role as resource extraction.

REalloys is not just sourcing raw materials; it is building a vertically integrated ecosystem. From Hoidas Lake in Saskatchewan, a high-potential upstream asset, to a partnership with the Saskatchewan Research Council for midstream processing, and its Euclid, Ohio-based downstream metallization facility, the company is creating a rare earth supply chain that stretches from mine to finished magnet material—all within trusted jurisdictions.

This integration is designed to serve both U.S. defense and commercial markets, and offers a crucial alternative to overseas dependencies. With Araxá now in the picture, REalloys has added a globally significant resource to its pipeline, one that could play a critical role in future-proofing America’s access to these strategic materials.

The U.S.-St George alliance comes amid an ongoing realignment in the global rare earths market, accelerated by rising geopolitical tensions and supply chain vulnerabilities. As noted in recent federal reports, the U.S. Department of Defense continues to seek resilient, non-Chinese sources of critical minerals—a stance that’s reshaping the sector and pushing companies like REalloys to the forefront.

For St George Mining, the agreement with a U.S. partner like REalloys also opens doors to the downstream North American market, where demand for REE-based materials is growing rapidly, especially in defense and green energy.

The alliance may be technical in nature, but its implications are wide-ranging: industrial resilience, national security, energy transition, and global competitiveness.

With projects like Araxá gaining momentum, and with companies investing across the entire value chain, the mining industry is no longer just digging—it’s building.