Alcoa to build 100t gallium facility at Wagerup alumina refinery with $174m Pentagon support

The Pentagon has announced a USD 174 million financing package for the aluminium producer Alcoa to set up a gallium production facility at its Wagerup alumina refinery in Western Australia, bringing critical mineral production into the refinery’s operations.

The new facility is expected to produce approximately 100 tonnes of gallium metal annually. Construction began last month, marking a significant step towards expanding production of the critical metal and strengthening supply capabilities. The initiative is a multinational partnership with Export Finance Australia (EFA), the Government of Japan, and Sojitz Corporation. 

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Gallium is not generally mined as a standalone mineral. It is mainly recovered as a byproduct of aluminium and zinc processing and is used in technologies including radar, night vision systems, fighter jets and missiles. Its importance for defence and semiconductor applications has increased interest in developing new and more reliable sources.

The Honourable Michael Cadenazzi, Assistant Secretary of War for Industrial Base Policy, said, "This landmark agreement with our key allies, Australia and Japan, will secure a vital supply of gallium for our defence industrial base, strengthening our collective security and economic resilience for years to come."

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The development follows another initiative involving Alcoa and the US Department of Energy to explore critical mineral recovery from bauxite residue in Saline County, Arkansas. The project is part of a wider USD 162 million DOE programme supporting nine private-sector projects focused on recovering critical minerals and other valuable materials from industrial and mining byproducts.

Together, the two projects highlight different opportunities within the broader aluminium value chain. The Wagerup facility is being developed to produce around 100 tonnes of gallium annually alongside alumina refining, while the Arkansas initiative is focused on recovering critical minerals from residue generated by earlier bauxite operations.