Ivanhoe Mines to Supply U.S. 'Project Vault' as Shares Surge

The initiative was formalized as Ivanhoe founder and executive co-chairman Robert Friedland joined the White House for the official launch of Project Vault. The program is designed to secure essential metals and rare earths, providing a strategic buffer for U.S. manufacturers against potential supply shortages and reducing industrial reliance on Chinese exports.

Strategic Realignment of Kipushi Output

Under the proposed agreement, zinc concentrate from the Kipushi mine in the Democratic Republic of Congo—which is currently slated for Mercuria—would be reassigned to the trading arm of Gecamines, Ivanhoe’s local partner. This arrangement includes excess volumes generated after the mine successfully ramped up its concentrator late last year. According to the company, Gecamines has the potential to manage the sale of up to 50% of the mine's concentrate production directly to U.S. buyers.

Kipushi is expected to produce between 240,000 and 290,000 metric tons of zinc concentrate this year. Beyond zinc, the site is a critical source of two high-value minerals essential for the semiconductor and defense sectors:

• Germanium: A key component in fiber optics, night-vision devices, and solar power arrays.
• Gallium: Used extensively in high-speed integrated circuits, LEDs, and laser diodes.

Following the announcement, Ivanhoe’s stock reached C$18.41, extending its gains over the past year to 18%. The company has held a majority stake in the Kipushi project since 2011. Its recent operational expansion follows the completion of an 800,000 ton-a-year concentrator in May 2024, which yielded its first concentrate just one month later.