US Takes 10% Stake In Alaska Miner Trilogy Metals

Core Insights - The U.S. government is investing $35.6 million in Trilogy Metals to secure a 10% stake, aimed at advancing the domestic cobalt supply chain and critical energy projects in Alaska [2][3][8] - The investment is part of a broader strategy by the Trump administration to counter China's dominance in the critical minerals sector, with previous investments in other companies like Lithium Americas Corp. and MP Materials Corp. [8] Company Overview - Trilogy Metals, a microcap mining company with a market cap of $343 million, focuses on strategic minerals including cobalt, copper, and gallium [2][9] - The company has mining claims in remote areas of Alaska and is involved in a joint venture with South32 Ltd. [7] Project Details - The Ambler Road project, which was previously rejected under the Biden administration, aims to connect a mining district rich in critical minerals [3][5] - The planned 211-mile (340-kilometer) road will facilitate access to significant mineral deposits and is expected to be environmentally sensitive [5][8] Market Reaction - Following the announcement of the U.S. investment, Trilogy Metals' shares surged over 150% in after-market trading [9] - Notable investor John Paulson holds an 8.7% stake in Trilogy through his investment fund [9]