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Here's Why Critical Metals Stock Jumped This Week
The Motley Fool· 2026-01-17 14:16
Core Insights - Critical Metals Corp. has announced plans for a $1.5 billion rare-earth mineral processing facility in Saudi Arabia, which is expected to enhance its market position and revenue potential [2][5] - The company's stock has experienced a significant increase of 123% over the past month, indicating strong investor interest and confidence [1][2] - The Saudi Arabian facility will serve as a long-term recipient for 25% of the output from Critical Metals' Tanbreez rare-earth project in Greenland, ensuring a stable supply chain and revenue visibility [5][6] Company Developments - Critical Metals has received approval to begin construction on its Tanbreez rare-earth project in Greenland, which is strategically important due to the geopolitical significance of rare-earth elements [3] - The joint venture in Saudi Arabia will allow Critical Metals to send all finished products to the U.S. military-industrial sector, positioning the company as a key supplier to the U.S. defense establishment [6] Market Context - The rare-earth sector is currently under scrutiny due to geopolitical tensions surrounding the control of critical minerals essential for advanced technologies, including electric vehicles and defense systems [2][3] - The market capitalization of Critical Metals is reported at $2.1 billion, with a current stock price of $17.65, reflecting strong market performance [4][5]