Atlantic Strategic Minerals begins ilmenite and zircon production in Virginia to support U.S. critical mineral supply chains

Atlantic Strategic Minerals, a U.S.-focused critical minerals producer, has formally commenced commercial production at its fully integrated mining and processing facilities in Virginia. The project—majority-owned by the private equity group Appian Capital Advisory—has begun delivering high-purity ilmenite and zircon to domestic industrial buyers under long-term offtake agreements. With this milestone, Atlantic Strategic Minerals becomes one of only two operational heavy mineral sands producers in the country.

The opening marks a strategic inflection point for American resource independence, particularly in the supply of titanium and zirconium, which remain on the U.S. Department of the Interior’s list of designated critical minerals. The launch of this facility not only introduces a new source of industrial feedstock to domestic manufacturers but also enhances the nation’s mineral security at a time when global trade disruptions and geopolitical fragmentation continue to threaten supply chains.

Why are ilmenite and zircon production critical to the United States’ industrial value chain in 2025?

Ilmenite, a titanium-iron oxide mineral, is the primary source of titanium dioxide, widely used in pigments, paints, coatings, aerospace alloys, and medical devices. Zircon, a zirconium silicate mineral, plays a key role in ceramics, electronics, and refractory materials. Despite their strategic relevance, the United States continues to rely heavily on imports—particularly from countries like South Africa, Australia, and China—for its supply of these raw materials.

Atlantic Strategic Minerals’ facility in Virginia directly addresses this dependency. Equipped with a Concentrator Plant and what is now the largest Mineral Separation Plant in North America, the project provides the capacity to not only process high-grade domestic ore but also refine imported feedstocks. The ability to handle both domestic and international inputs positions the operation as a critical node in bolstering U.S.-based processing infrastructure.

How does the Virginia facility fit into the broader push for critical mineral self-reliance in the United States?

The United States government has increasingly emphasized the development of domestic sources for critical minerals due to their importance in clean energy, defense, and advanced manufacturing. Ilmenite and zirconium, in particular, are foundational for sectors such as aerospace, semiconductor production, electric vehicle battery systems, and renewable energy infrastructure. However, more than 70% of U.S. consumption of these minerals is met through imports, leaving industrial users exposed to geopolitical risk.

The strategic value of Atlantic Strategic Minerals’ site extends beyond titanium and zirconium. In the next phase of its development roadmap, the company plans to extract and process monazite—a rare earth-bearing mineral that contains praseodymium and neodymium. These elements are essential for permanent magnets used in electric vehicle drivetrains, offshore wind turbines, and advanced military systems. With China currently controlling over 90% of rare earth oxide processing globally, domestic monazite production could reshape supply chain resilience across critical sectors.

What is the ownership and development history of the Atlantic Strategic Minerals project in Virginia?

Atlantic Strategic Minerals acquired the Virginia asset from Iluka Resources in October 2023. At the time, the facilities had been idled and required significant refurbishment. Backed by Appian Capital Advisory, a global private equity advisor with a portfolio of metals and mining investments spanning the Americas, Africa, and Australia, the asset was reactivated through an extensive modernization campaign.

This Virginia launch marks the twelfth project brought into commercial production by Appian since 2016—exceeding the output track record of the five largest global mining companies over the same period, according to company data. The total historical and new capital investment into the project now exceeds USD 200 million, with Appian contributing to upgrades in concentrator technology, material handling, environmental systems, and logistics infrastructure.

How is Atlantic Strategic Minerals balancing environmental responsibility and economic development in its operations?

The Virginia project is being developed using a progressive rehabilitation mining technique. This approach involves mining in narrow strips, followed by immediate backfilling and land restoration. Such practices allow land to be returned to its original owners or repurposed after mining activities are completed. Environmental responsibility remains a critical pillar of the company’s strategy, especially as demand for “clean-sourced” minerals grows from industries under increasing ESG scrutiny.

Additionally, over 100 skilled jobs have already been created during the commissioning phase, with further employment expected as monazite processing capacity is brought online. Atlantic Strategic Minerals has indicated its intention to continue local hiring and training efforts, aligning with broader state-level goals to increase workforce participation in high-value industrial sectors.

What do institutional investors and local stakeholders see as the long-term potential of the project?

Institutional investors tracking U.S. mineral independence trends view the Virginia project as a potential case study for future critical minerals development. The combination of high-grade mineral deposits, scalable infrastructure, and diversified output—including rare earths—gives the site long-term optionality as a hub for advanced mineral processing.

According to statements issued during the ribbon-cutting ceremony attended by local and federal officials, the plant is expected to support not only job creation and local economic growth but also macro-level supply chain resilience. Analysts note that the integration of rare earths like neodymium and praseodymium into the plant’s output would significantly enhance its commercial viability in a world increasingly reliant on magnet-based technologies.

Chris Wyatt, Chief Executive Officer of Atlantic Strategic Minerals, stated that the launch represents a model for responsibly scaling U.S.-based mineral projects. He emphasized that the project serves national security objectives while delivering tangible benefits to the surrounding communities.

Michael W. Scherb, Founder and Chief Executive Officer of Appian Capital Advisory, framed the launch as evidence of Appian’s ability to unlock value from underutilized assets. He added that the Virginia project is aligned with global trends such as electrification, clean energy, and defense autonomy—all of which require large and secure supplies of critical minerals.

What are the next steps in development and how will they impact U.S. rare earth supply chains?

The upcoming development of monazite extraction and processing is likely to draw additional attention from both policymakers and private-sector buyers. Studies conducted on-site indicate commercially viable concentrations of rare earths, including praseodymium and neodymium. These materials are already in high demand due to their role in magnets used across EVs, turbines, and missile guidance systems.

Analysts suggest that once monazite production begins, Atlantic Strategic Minerals could become a significant domestic supplier to defense contractors and renewable energy manufacturers. This would also enable participation in federal grant programs designed to incentivize rare earth value chain localization.

Future expansions could include co-located rare earth oxide separation, solvent extraction facilities, or partnerships with magnet manufacturers to further extend value capture. Atlantic Strategic Minerals has not publicly confirmed any downstream agreements but has signaled interest in vertical integration and deeper domestic collaboration.

How is Atlantic Strategic Minerals positioned within Appian Capital’s broader investment thesis?

Appian Capital Advisory has increasingly focused on investments that support thematic tailwinds in energy transition, electrification, and industrial re-shoring. With a global team of 88 investment professionals, the firm brings both technical and financial expertise to its mining portfolio, which spans 5,000 employees and multiple jurisdictions.

The Virginia operation aligns with Appian’s focus on assets that can achieve first production in a capital-efficient, environmentally conscious, and community-driven manner. With the commissioning of Atlantic Strategic Minerals’ project, the firm reinforces its positioning as a catalyst for niche asset revitalization and critical mineral sovereignty.