Ares Strategic Mining Awarded Multi-Year Pentagon Contract with Estimated Initial Award Value of ~$169M and Potential Task Orders Up to $250M Over Five Years

Executive Summary

• Ares Strategic Mining Inc. has been awarded a $168,938,267.30 contract by the U.S. Department of Defense under an indefinite‑delivery/indefinite‑quantity (IDIQ) agreement that can expand to a ceiling of $250 million over five years.
• The award designates Ares as the sole domestic supplier of acid‑grade fluorspar (“acidspar”) for the DoD, positioning the company at the core of U.S. critical‑mineral supply‑chain security and domestic sourcing initiatives.
• The contract provides a material revenue stream and validates the strategic importance of Ares’ Lost Sheep Fluorspar Project in Utah, potentially transforming the company’s growth trajectory.

Key Details

• Award Value Locked In: $168,938,267.30 (initial task orders).
• Potential Upside: Up to $250 million total contract ceiling through future task orders.
• Contract Type: Five‑year Indefinite Delivery/Indefinite Quantity (IDIQ) agreement with the U.S. Department of Defense via the Defense Logistics Agency (DLA).
• Customer: United States Department of Defense – strategic mineral stockpile replenishment.
• Supplier Role: Sole‑source domestic producer of acid‑grade fluorspar for the U.S. government.
• Mission Alignment: Supports replenishment of government stockpiles of strategic and critical minerals; enhances national defense readiness, industrial manufacturing, clean‑energy supply chains, and high‑tech applications.
• Strategic Significance: Addresses 100 % import dependence on fluorspar by establishing a domestic source; aligns with U.S. policy to secure critical mineral independence.
• Project Basis: The contract is tied to Ares’ Lost Sheep Fluorspar Project (Delta, Utah) – 5,982 acres, fully permitted, NI‑43‑101 technical report confirming extensive high‑grade fluorspar resources.
• CEO Quote: James Walker emphasized the contract’s transformative impact on the company and its role in building a resilient domestic supply chain for critical minerals.

Notable Quotes

“This is the kind of contract that transforms companies, and secures the future of U.S. industry,” – James Walker, CEO & President, Ares Strategic Mining.
“We are proud to support the U.S. government’s strategic material reserves by supplying domestically sourced, high‑grade acidspar.” – James Walker.