Alaska's Graphite Deposit Unlocks Dual Strategic Resources: What This Means for Supply Chain Independence

Graphite One’s discovery at Graphite Creek just shifted the game for US critical materials independence. On November 13, the company confirmed what geochemical analysis had been suggesting—this Alaska deposit isn’t just about graphite anymore. Is graphite magnetic? The answer lies in the rare earth elements now confirmed at the site: neodymium, praseodymium, dysprosium, terbium, and samarium. These are the exact materials that power permanent magnets in wind turbines, electric vehicles, and advanced defense systems.

The Rare Earth Elements Game-Changer

What makes this discovery significant goes beyond the minerals themselves. Graphite Creek contains both Defense Production Act Title III materials—graphite and REEs—in a single deposit. This convergence is rare. Testing conducted at the University of Alaska Fairbanks and Activation Laboratories confirms elevated concentrations of heavy rare earths, while ongoing collaboration with a US Department of Energy national lab is exploring extraction methodologies.

The economic implications are substantial. By recovering rare earths as a by-product of graphite production, Graphite One can maximize the deposit’s value proposition without requiring a separate mining operation. The mathematics work: one integrated supply chain serving multiple markets.

The Geopolitical Context: China’s Export Restrictions Matter

Here’s where this becomes urgent. China dominates global production of both magnet-grade rare earths and graphite. Last year, Beijing imposed export restrictions on these materials. Throughout 2025, those restrictions have only tightened. For the US and allied nations, dependency on Chinese supply chains poses strategic vulnerability.

Graphite Creek addresses this directly. The planned infrastructure—transport from Nome to an advanced graphite and battery materials plant in Warren, Ohio, complete with a recycling facility—creates a domestic supply chain alternative.

Capital and Commitments Behind the Project

The backing tells you how seriously Washington takes this initiative:

• US$37.5 million Defense Production Act Title III grant already secured
• US$895 million in non-binding letters of interest from EXIM Bank

These aren’t speculative numbers. They reflect institutional commitment to de-risking US critical materials supply.

What Happens Next

University research and national lab collaboration continue, but the trajectory is clear. A deposit containing graphite, dysprosium, terbium, samarium, neodymium, and praseodymium—all needed simultaneously by the energy transition and defense sectors—creates strategic optionality that Alaska can now offer to the broader supply chain ecosystem.