US chooses Mozambique to reduce dependence on rare earths

Project in Tete receives American funding for study that could place the country at the center of the global race for critical minerals.

The United States is betting on Mozambique to secure access to essential minerals for its defense and technology industries. In a context of growing global competition for strategic resources, the U.S. Trade and Development Agency (USTDA) today announced funding for a pre-feasibility study for the Monte Muambe rare earth project in Tete province.

The objective is to transform the mine into a viable and safe alternative to current supply chains, which are now heavily concentrated in China. This information was released on Friday, February 27, 2026, in Maputo.

The study, which will be conducted by American companies, aims to determine the most efficient methods for extracting and processing minerals in the area. For Thomas R. Hardy, Deputy Director of the USTDA, the project represents more than a commercial partnership: it is a key piece in the US national security strategy.

Securing access to rare earth elements is essential for America's defense industrial base and our technological advantage. By establishing cooperation on the Mount Muambe project, we are advancing the strategic priorities of both countries — he stated.

For Mozambique, the involvement of the US agency represents an opportunity to assert itself in the global market for critical minerals. The country possesses significant reserves of rare earth elements, and the development of the sector can generate employment, stimulate local entrepreneurship, and attract foreign investment.

 Cedric Simonet, director of Monte Muambe Mining Ltda (MMM), the Mozambican company responsible for the project, highlighted the importance of institutional support from the US.

"This commitment from USTDA is a powerful external validation of the strategic quality and economic potential of the project. It shows that there is strong high-level interest in an alternative and secure source of rare earths," he emphasized.

The study funded by the USTDA should pave the way for securing large-scale financing and for the future export of mixed rare earth carbonates to the US market. The construction and operation of the mine should also involve US companies in the supply of equipment and technical assistance.

 This initiative is part of a series of executive orders from the US government aimed at strengthening domestic production of critical minerals and reducing the vulnerability of its supply chains.

 Companies interested in participating in the pre-feasibility study can submit proposals through the official USTDA website.