Blackboxstocks (NASDAQ: BLBX) Merger Target, REalloys and Mission Critical Materials Form Strategic Partnership to Build First U.S. Mine-Waste-to-Magnet Supply Chain

Rhea-AI Summary

REalloys and Mission Critical Materials signed a non-binding MOU to establish a framework for the first fully domestic U.S. mine-waste-to-magnet supply chain converting acid mine drainage (AMD) into heavy rare earths and NdFeB magnets for defense and government customers, including DLA, DOW, and DOE.

Key disclosed facts: MCM produced >95% REO concentrates from AMD, anticipates supplying several hundred tonnes of heavy rare earths to REalloys over coming years, and both parties plan to seek DOE and DOW funding and a definitive multi-year offtake agreement in 2026.

Positive

• >95% REO concentrates already produced by MCM
• Anticipated supply of several hundred tonnes of heavies
• First proposed fully domestic mine-waste-to-magnet pathway
• REalloys named MCM’s preferred downstream offtake partner

Negative

• Agreement is a non-binding MOU, not a definitive contract
• Commercial scale-up depends on continued DOE/DOW funding
• Supply timeline and quantities remain uncertain

News Market Reaction – BLBX

+1.29%

12 alerts

+1.29% News Effect

+7.2% Peak in 2 hr 23 min

+$581K Valuation Impact

$46M Market Cap

0.6x Rel. Volume

On the day this news was published, BLBX gained 1.29%, reflecting a mild positive market reaction. Argus tracked a peak move of +7.2% during that session. Our momentum scanner triggered 12 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $581K to the company's valuation, bringing the market cap to $46M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

REO purity: >95% REO Heavy REE supply: Several hundred tonnes Definitive offtake timing: 2026 +1 more

4 metrics

REO purity >95% REO High-purity mixed rare earth oxides recovered from acid mine drainage

Heavy REE supply Several hundred tonnes Anticipated heavies to be supplied to REalloys over coming years

Definitive offtake timing 2026 Companies expect to negotiate definitive multi-year offtake agreement

Federal funding pursuit 2026 Planned DOE and DOW funding opportunities to accelerate deployment

Market Reality Check

Price: $15.40 Vol: Volume 72,098 is below 20...

low vol

$15.40 Last Close

Volume Volume 72,098 is below 20-day average 142,211 (relative volume 0.51x) ahead of this news. low

Technical Share price 9.32 is trading above the 200-day MA at 6.32, indicating strength vs longer-term trend.

Peers on Argus

BLBX fell 3.57% while key peers showed mixed moves: SAGT -1.03%, CREX -1.41%, HT...

BLBX fell 3.57% while key peers showed mixed moves: SAGT -1.03%, CREX -1.41%, HTCR -2.52%, IPM +1.74%, MTC -8.00%, suggesting a stock-specific reaction.

Historical Context

5 past events · Latest: Dec 08 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 08	Strategic partnership	Positive	-10.0%	SRC partnership to expand heavy rare earth refining and output for defense markets.
Oct 29	Financing support	Positive	-3.1%	$200M EXIM Bank LOI backing integrated North American mine-to-magnet project.
Oct 22	International alliance	Positive	-11.6%	MOU with JOGMEC to strengthen U.S.–Japan rare earth security and technology transfer.
Oct 20	Management change	Positive	-2.8%	Appointment of GM Defense president as chairman plus major long-term offtake wins.
Oct 13	Offtake agreement	Positive	+49.5%	10-year LOI for 15% of Tanbreez production to feed REalloys supply chain.

Pattern Detected

Strategic REalloys deals and financing updates have often been followed by volatile or negative next-day moves, with only one major partnership driving a strong positive reaction.

Recent Company History

Over the last few months, BLBX news has centered on its merger target REalloys building a rare earth mine-to-magnet platform. Prior items include a historic SRC partnership securing 80% of upgraded output and targeting up to 600 t NdPr annually, a $200 million EXIM Bank LOI, multiple long-term offtake MOUs, and leadership changes to support defense-focused growth. Despite generally positive strategic content, several of these announcements saw negative 24-hour price reactions, highlighting execution and financing risk sensitivity.

Market Pulse Summary

This announcement expands REalloys’ strategy by linking mine-waste remediation to a domestic heavy r...

Analysis

This announcement expands REalloys’ strategy by linking mine-waste remediation to a domestic heavy rare earth and magnet supply chain for U.S. defense users. It complements earlier offtake and processing partnerships aimed at building a mine-to-magnet ecosystem. Investors may track progress toward a definitive offtake in 2026, validation of >95% REO concentrates at scale, and how this aligns with the pending merger and broader funding plans.

Key Terms

acid mine drainage, rare earth oxides, hf-free metallization, ndfeb magnets, +3 more

7 terms

acid mine drainage technical

"converting acid mine drainage into heavy rare earth metals and magnets"

Acid mine drainage is acidic, metal-rich water that forms when water and oxygen react with exposed mining rock and tailings, producing a corrosive runoff similar to battery acid leaking into a stream. It matters to investors because cleanup, regulatory penalties, and long-term monitoring can create large, unpredictable costs and operational delays, and contaminated sites can damage a company’s value and reputation much like a costly home repair that keeps getting worse over time.

rare earth oxides medical

"process recovers high-purity mixed rare earth oxides, including strategically important"

Rare earth oxides are compounds formed when rare earth elements combine with oxygen, creating powders or solids used as the raw ingredients for critical components like strong magnets, catalysts, display phosphors and some battery materials. They matter to investors because these materials are essential to many high‑growth industries and their supply is often concentrated and hard to scale, so shortages, production changes or cost swings can quickly affect manufacturers’ profits and stock values.

hf-free metallization technical

"including rare earth separation, HF-free metallization, alloy production, and"

hf-free metallization is a manufacturing method for attaching metal contacts or coatings to semiconductor or solar cell surfaces without using hydrofluoric acid (HF) to clean or etch the material first. For investors it matters because avoiding a highly corrosive, regulated chemical can lower safety and compliance costs, reduce production damage and waste, and improve yield and scalability—similar to switching from a dangerous solvent to a safer tool that speeds assembly and cuts liability.

ndfeb magnets technical

"production pathway—from wastewater to finished NdFeB magnets—using fully domestic"

NdFeB magnets are powerful permanent magnets made from a mix of neodymium, iron and boron; they act like tiny, permanent engines that hold or move parts without needing electricity. Investors care because these magnets are essential components in electric motors, wind turbines and many electronics, so their supply, price and recycling affect costs and profit margins across industries much like a scarce fuel influences transportation and manufacturing costs.

memorandum of understanding regulatory

"announced today that it has signed a Memorandum of Understanding (“MOU”)"

A memorandum of understanding (MOU) is a formal agreement between two or more parties that outlines their shared intentions and plans to work together. It acts like a handshake in writing, clarifying each side’s roles and expectations before any official contract is signed. For investors, an MOU signals that parties are serious about collaboration, which can influence future business opportunities and potential growth.

offtake agreement financial

"expect to negotiate a definitive multi-year offtake agreement in 2026"

A contract in which a buyer commits to purchase a set portion or percentage of a producer’s future output—such as minerals, energy, agricultural goods, or manufactured products—often over a multi‑year period. It matters to investors because it creates predictable sales and cash flow, reduces the risk of unsold inventory, and can make projects easier to finance; think of it like pre‑selling future harvests or securing long‑term customers before production begins.

strategic stockpiles regulatory

"magnets for defense related manufacturing and strategic stockpiles."

Strategic stockpiles are intentionally held reserves of critical materials, products, or supplies kept to ensure continuity when normal supply chains break or demand spikes. Think of them like a household emergency pantry that a city or company maintains to avoid shortages; for investors, the size, management, and accessibility of these reserves affect a firm’s resilience, production stability, cost profile, and regulatory exposure, which can influence revenue and risk.

AI-generated analysis. Not financial advice.

REalloys utilizes its first-to-market processing and metallization capabilities to secure a sovereign supply of heavy rare earths for U.S. defense agencies on an accelerated timeline.

Strategic alliance would establish the United States’ first fully domestic mine-waste-to-magnet ecosystem, leveraging federally funded upstream innovation to break reliance on foreign supply chains.

DALLAS, Jan. 06, 2026 (GLOBE NEWSWIRE) -- Blackboxstocks (NASDAQ: BLBX) Merger Target, REalloys Inc. (“REalloys”) announced today that it has signed a Memorandum of Understanding (“MOU”) with Mission Critical Materials LLC (“MCM”) to establish a framework for the first fully domestic supply chain converting acid mine drainage into heavy rare earth metals and magnets for defense related manufacturing and strategic stockpiles.

The partnership links MCM’s upstream technology developed at West Virginia University (“WVU”) and funded extensively by the U.S. Department of Energy (“DOE”) and Department of War (“DOW”) (f/k/a Department of Defense) with REalloys’ first-to-market integrated midstream and downstream capabilities, including rare earth separation, HF-free metallization, alloy production, and U.S.-based magnet manufacturing, for planned delivery to U.S. government clientele, including the DLA, DOW and DOE.

Under the non-binding MOU, REalloys becomes MCM’s preferred downstream and offtake partner for rare earth materials recovered from acid mine drainage (“AMD”), a hazardous wastewater stream long viewed as only an environmental burden. MCM’s process recovers high-purity mixed rare earth oxides, including strategically important heavy elements such as dysprosium, terbium, yttrium, and gadolinium, as well as magnet-critical light rare earths like neodymium-praseodymium.

“This collaboration acts as a transformational bridge between America’s upstream innovation and the downstream industrial capacity required to finally rebuild a sovereign rare earth supply chain,” said Steve duMont, Non-Executive Chairman Elect of REalloys and President of GM Defense. “The alignment of REalloys’ first-to-market processing capabilities and MCM’s recovery technology will strengthen supply chain security and resilience for the defense industrial base, while further positioning REalloys to meet the heavy rare earths needs of U.S. strategic and protected markets on an accelerated timeline.”

MCM is assessing several potential U.S. domestic coal- and hard-rock-based AMD sites for commercial production. They plan to leverage continued DOW and DOE support to accelerate the industrialization of this recovery technology. Many of these sites have unusually high concentrations of the strategically important heavies; grades rarely found in U.S. deposits. MCM has already produced high-purity concentrates (>95% REO) from these materials, and anticipates being able to supply several hundred tonnes of heavies to the REalloys supply chain over the coming years. REalloys will now conduct separation, metallization and magnet-grade evaluations to demonstrate a complete U.S. production pathway—from wastewater to finished NdFeB magnets—using fully domestic infrastructure.

“This partnership represents a new model for American industrial strategy,” said Leonard Sternheim, Chief Executive Officer of REalloys. “By turning environmental liability into strategic sources of rare earth feedstock, we are securing domestic access to Dy, Tb, Y, and NdPr - the elements at the heart of U.S. defense technologies and advanced manufacturing. This U.S. Technology can also potentially be licensed, expanded, and further monetized through our international allied feedstock partnership network.”

This collaboration aligns with federal priorities to re-shore supply chains for critical minerals and reduce reliance on Chinese processing. By linking environmental remediation with advanced manufacturing, the REalloys–MCM partnership offers a template for building a resilient U.S. magnet supply chain. The companies expect to negotiate a definitive multi-year offtake agreement in 2026.

“For years, the United States has led in rare earth research but lacked a fully domestic pathway to convert that innovation into industrial output,” said Steve Dunmead, Chief Executive Officer of Mission Critical Materials. “Our partnership with REalloys changes that. By integrating our AMD-derived rare earth concentrates with REalloys’ processing and magnet-making capabilities, we are demonstrating that America can build a complete, resilient rare earth supply chain on its own soil. This is exactly the type of public–private collaboration envisioned by DOE and DOW.”

The companies plan to coordinate closely on technical optimization, flowsheet integration, and joint federal funding proposals. Both intend to pursue DOE and DOW opportunities in 2026 to accelerate commercial deployment.

About REalloys:
REalloys Inc. (“REA”) is a leading North American mine-to-magnet rare earth company, uniting its upstream resource at Hoidas Lake, with first-to-market midstream processing in partnership with the Saskatchewan Research Council (“SRC”), and downstream production of metals, alloys and magnet materials in Euclid, Ohio. The Hoidas Lake deposit is distinguished by its unique combination of both Heavy Rare Earth Elements and Light Rare Earth Elements. Through its historic partnership with the SRC, REA has established a first to market midstream processing capability that feeds into its Ohio metallization and magnet materials manufacturing facility, which then sells into U.S. strategic and protected markets including to the Defense Logistics Agency (the procurement agency for the DOW, DOE and NASA). With a near-term commercial ready North American supply chain, REA is uniquely positioned to meet U.S. Protected Market demands on an accelerated timeline. REalloys is also moving forward with its planned merger with Blackboxstocks Inc. (NASDAQ: BLBX), positioning the combined company for accelerated growth in the North American rare earth market.

For more information, go to www.realloys.com or email info@realloys.com

About Mission Critical Materials (MCM):
MCM was established to accelerate the commercialization of a portfolio of technologies developed by West Virginia University (“WVU”) associated with the recovery of rare earth elements (“REE”) and other critical minerals (“CM”) from acid mine drainage (“AMD”). This technology was developed with extensive funding from DOE and DOW. WVU/MCM operate the first U.S. integrated pilot facility for recovery of REE’s and CM’s from AMD. MCM has demonstrated production of high-purity mixed rare earth oxides (“MREO”), including both lights (“LREO”) and heavies (“HREO”), from multiple AMD sources, including a DOW-supported program in Butte, Montana and a DOE-supported program in Mount Storm, West Virginia.

For more information, go to www.missioncriticalmaterials.com or email info@missioncriticalmaterials.com

About Blackboxstocks Inc.

Blackboxstocks Inc. (NASDAQ: BLBX) is a financial technology and social media hybrid platform offering real-time proprietary analytics and news for stock and options traders of all levels. Its web-based software employs predictive technology enhanced by artificial intelligence to find volatility and unusual market activity that may result in rapid price movement. Blackbox continuously scans the NASDAQ, New York Stock Exchange, CBOE, and all other options markets, analyzing over 10,000 stocks and up to 1,500,000 options contracts multiple times per second. The platform provides a fully interactive social media environment integrated into its dashboard, enabling users to exchange information and ideas quickly and efficiently through a common network. Blackbox has also introduced a live audio and screenshare feature that allows members to broadcast on their own channels to share trading strategies and market insight within the community. Blackbox is a SaaS company with a growing user base spanning more than 40 countries.

Contacts:

Blackboxstocks Inc.
Investors@blackboxstocks.com

PCG Advisory
Jeff Ramson
(646) 863-6893
jramson@pcgadvisory.com

REalloys Inc.
Angela Gorman
Communications, REalloys
angela@amwpr.com 
www.realloys.com

Forward-Looking Statements and Safe Harbor

This press release contains “forward-looking statements” within the meaning of applicable securities laws, including the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including, without limitation, statements regarding development activities, project milestones, expected capacity, market expansion, financing, timing, strategic initiatives, regulatory approvals, or future performance are forward-looking statements. Such statements reflect management’s current expectations, assumptions, and estimates and are inherently subject to significant risks and uncertainties, many of which are beyond the control of the Company. Words such as “anticipate,” “believe,” “expect,” “intend,” “may,” “plan,” “potential,” “project,” “should,” “target,” “will,” and similar expressions are intended to identify forward-looking statements, though their absence does not mean a statement is not forward-looking.
These statements are not guarantees of performance or outcomes. Actual results may differ materially from those expressed or implied due to various factors, including but not limited to: the ability to successfully complete project development and commercialization efforts; uncertainties related to scaling new technologies or processes to industrial production; supply-chain reliability, logistics, and availability of equipment and materials; fluctuations in rare-earth prices or demand; changes in market conditions, customer preferences, or procurement policies; regulatory approvals, environmental compliance, and permitting delays; inflationary pressures or rising capital costs; the availability, cost, and terms of financing; geopolitical events and trade policies affecting critical minerals; the outcome of future collaborations or partnerships; workforce recruitment and retention; cybersecurity or intellectual-property risks; competitive developments or technological change; and macroeconomic or industry-specific conditions that could impact operations, markets, or valuations.
Forward-looking statements also include expectations regarding the anticipated merger between Blackboxstocks Inc. and REAlloys Inc., including the timing, completion, integration, synergies, and potential benefits of the proposed transaction. These are subject to numerous risks and uncertainties, including the satisfaction of closing conditions, receipt of necessary approvals, potential delays, litigation, regulatory review, or changes in transaction structure. There can be no assurance that the merger or any related initiatives will occur on the expected timeline, terms, or at all, or that anticipated synergies will be realized.
All forward-looking statements speak only as of the date of this press release. The Company undertakes no obligation to publicly update or revise any forward-looking statements to reflect subsequent events, new information, or changes in expectations, except as required by law. Readers are cautioned not to place undue reliance on these statements, which are provided for the purpose of describing management’s current expectations and strategic outlook, and which involve numerous known and unknown risks, uncertainties, and other factors that may cause actual results or performance to differ materially.
These statements should not be construed as forecasts or guarantees of future outcomes. The risks and uncertainties that could affect the Company’s operations, financial condition, performance, and prospects include those described in its filings with the Securities and Exchange Commission, including the most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other periodic reports available at www.sec.gov.
Disclosure Information
Blackboxstocks uses and intends to continue using its Investor website at https://blackboxstocks.com/company-overview as a means of disclosing material nonpublic information and for complying with Regulation FD. Investors should monitor this site, along with the company’s press releases, SEC filings, public conference calls, and webcasts.

FAQ

What did REalloys and Mission Critical Materials announce about a domestic rare earth supply chain (BLBX)?

They signed a non-binding MOU to framework a U.S. mine-waste-to-magnet supply chain converting AMD into heavy rare earths and magnets for U.S. government clients.

How much rare earth material can Mission Critical Materials supply to REalloys under the plan?

MCM anticipates supplying several hundred tonnes of heavy rare earths to the REalloys supply chain over the coming years.

What purity level has MCM achieved for recovered rare earth concentrates?

MCM has produced high-purity concentrates reported at >95% REO from AMD-derived materials.

Will the REalloys–MCM MOU create immediate commercial deliveries for BLBX shareholders?

No; the announcement is a non-binding MOU and the companies expect to negotiate a definitive multi-year offtake agreement in 2026.

Which U.S. agencies are mentioned as potential clients for the domestic magnet supply chain (BLBX)?

The announcement names the DLA, DOW, and DOE as intended government clientele.

What role does federal support play in the REalloys and MCM partnership?

MCM’s upstream technology was funded extensively by DOE and DOW, and both companies plan to pursue further federal funding to accelerate commercialization in 2026.