The Pentagon gets serious for Boeing and Co.: US government backs Korea Zinc and ignites the turbo for Antimony Resources

The state as an anchor investor: Korea Zinc and the new US master plan

For a long time, the US left the supply of critical minerals to the free market, which led to almost complete dominance by China. But that era is over. The US government's decision to provide financial and political support for the construction of a Korea Zinc processing plant on American soil marks a historic turning point in raw materials policy. It is no longer about the cheapest ton of metal, but the safest. Korea Zinc, one of the world's leading specialists in this field, has the technological expertise to process complex ores. Washington's direct intervention here is the ultimate validation signal for the antimony sector. For investors, this means that the purchase risk for antimony has been virtually eliminated, as the state itself acts as a guarantor for the infrastructure, thereby fundamentally securing the market.

But what exactly does the deal entail? Korea Zinc will invest USD 7.4 billion in a refinery in Tennessee to refine raw materials for use by US industry. The project will be carried out by Korea Zinc, with strategic and financial support from the US government. Technologically, the plant is set to raise the bar, as it will not only focus on traditional base metals but will also serve as a complex recycling and processing hub for "complex materials." In addition to zinc and nickel, the plant will also process complex materials, potentially including strategic bottleneck raw materials such as antimony. This would make the plant a physical hub for Western independence from Chinese imports.

Why Boeing and the military are nervous

The reason for the rush in Washington can be found in the order books of the defense and aerospace industries. Antimony is not an optional additive, but a critical component of modern warfare and aviation. It is used in armor-piercing ammunition, night vision devices, and, most importantly, as a flame retardant in plastics and textiles. A company like Boeing cannot deliver aircraft without secure antimony supply chains, as the strict fire safety regulations of aviation authorities are virtually impossible to meet without this metal. Until now, China has controlled over 80% of the global processing chain. Beijing's export controls announced last year made Western buyers realize how fragile their just-in-time models are. The investment in Korea Zinc is therefore a direct measure to guarantee the operational security of key industries such as Boeing and to prevent a supply shock.

Antimony Resources: The laughing third party in the "onshoring" trend

However, a Korea Zinc smelter in the US is only as good as the ore that feeds it. Building a plant on US soil only to continue importing concentrate from China or Russia would defeat the strategic purpose. This is precisely where the window of opportunity opens for Antimony Resources. Since the US itself has hardly any antimony mines of its own, attention inevitably turns north to its closest ally, Canada. With its Bald Hill project in Canada, Antimony Resources is positioning itself as the logical answer to the question of where the raw material comes from. The Company benefits twice over: on the one hand, Korea Zinc's state-subsidized infrastructure ensures that there will be a local buyer for the concentrate in the future, which reduces logistics costs. On the other hand, Western end customers are willing to pay a premium for "NATO-compliant" antimony.

While Korea Zinc, with the support of the US government, is investing billions in complex processing, Antimony Resources offers the classic leverage at the beginning of the chain. In a market where supply is artificially constrained, and demand is rising due to government intervention, projects in secure jurisdictions such as Canada are the most valuable assets. For investors, the result is a clear cascade. The government's big money is flowing to Korea Zinc to build the infrastructure, but the largest percentage increase in value is likely to be for those who own the raw material, without which the new plants would stand idle. Antimony Resources could thus transform itself from a pure explorer to a strategic cornerstone of the North American defense industry. It is also possible that government funds will soon flow to emerging antimony producers.

Antimony Resources' stock has already shown promising performance in 2025. However, its market capitalization is still low. However, as Bald Hill has already scored points with high grades of 3-4% Sb, including significant upside outliers, the stock is high on the watch lists of many investors. Based on its current valuation of around USD 30 million, the chances are good that Antimony Resources will continue to take off in the coming year.