TETRA TECHNOLOGIES, INC. AND MAGRATHEA METALS, INC. ADVANCE JOINT VENTURE PLANS TO PRODUCE MAGNESIUM IN ARKANSAS

Rhea-AI Summary

TETRA Technologies (NYSE:TTI) signed a term sheet on Dec 2, 2025 to form a joint venture with Magrathea Metals to produce magnesium at TETRA's Evergreen Project in Southwest Arkansas. The Evergreen bromine plant is projected to produce 75 million lbs of bromine annually and target operations by end of 2027. TETRA expects to monetize lithium and magnesium from brines and is exploring Magrathea's electrolytic magnesium technology for on-site commercial Phase 1, which Magrathea has secured Defense Production Act Title III funding to support.

Positive

• Term sheet signed to form JV between TETRA and Magrathea (Dec 2, 2025)
• 75 million lbs annual bromine production planned at Evergreen
• Magrathea has Defense Production Act Title III funding for Commercial Phase 1
• On-site plan to produce magnesium and lithium from Evergreen brines

Negative

• Term sheet is non-binding; JV formation is not guaranteed
• Planned bromine operations by end of 2027 remain forward-looking and subject to delay

News Market Reaction

+1.56% 2.4x vol

28 alerts

+1.56% News Effect

+7.2% Peak in 6 hr 21 min

+$18M Valuation Impact

$1.17B Market Cap

2.4x Rel. Volume

On the day this news was published, TTI gained 1.56%, reflecting a mild positive market reaction. Argus tracked a peak move of +7.2% during that session. Our momentum scanner triggered 28 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $18M to the company's valuation, bringing the market cap to $1.17B at that time. Trading volume was elevated at 2.4x the daily average, suggesting notable buying interest.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Evergreen bromine capacity: 75 million lbs annually Evergreen operations target: End of 2027 Magrathea development period: Three years

3 metrics

Evergreen bromine capacity 75 million lbs annually Projected output from Evergreen Project near Stamps, Arkansas

Evergreen operations target End of 2027 Planned start of operations for bromine plant

Magrathea development period Three years Time Magrathea team has spent developing magnesium technology

Market Reality Check

Price: $11.86 Vol: Volume 3,645,509 vs 20-da...

high vol

$11.86 Last Close

Volume Volume 3,645,509 vs 20-day avg 2,058,319 (relative volume 1.77x). high

Technical Price $9.10 is above 200-day MA $4.52 and near 52-week high $8.995.

Peers on Argus

TTI was down 1.24% while peers showed mixed moves: declines in FIP (-7.73%) and ...

TTI was down 1.24% while peers showed mixed moves: declines in FIP (-7.73%) and CODI (-1.64%) alongside gains in DLX (+1.50%) and MATW (+0.26%), indicating stock-specific factors around this JV news.

Historical Context

5 past events · Latest: Dec 09 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 09	Investor conferences	Positive	+6.0%	Management participation in two December 2025 investor conferences.
Dec 02	Strategic partnership	Positive	+1.6%	Term sheet for magnesium-focused joint venture at Evergreen Project.
Dec 01	Conference participation	Neutral	-0.8%	Announcement of meetings at Wells Fargo Energy & Power Symposium.
Oct 28	Earnings update	Positive	+1.8%	Strong Q3 2025 results and raised full-year guidance ranges.
Oct 27	CFO transition	Neutral	-2.5%	Planned retirement of CFO and appointment of successor in 2026.

Pattern Detected

Recent news, including strong Q3 results and strategic/IR updates, generally aligned with modestly positive price reactions, while the CFO transition saw a small decline.

Recent Company History

Over the last few months, TTI reported strong Q3 2025 results with revenue of $153.2M and adjusted EBITDA of $25.0M, updated full-year guidance, and continued progress on its Arkansas bromine project targeting operations by end of 2027. It also announced a planned CFO transition effective March 31, 2026 and multiple investor conference appearances. This magnesium JV term sheet expands the Evergreen Project’s critical minerals scope, consistent with the ONE TETRA 2030 strategy highlighted in prior disclosures.

Market Pulse Summary

This announcement detailed a term sheet for a magnesium-focused joint venture at TTI’s Evergreen Pro...

Analysis

This announcement detailed a term sheet for a magnesium-focused joint venture at TTI’s Evergreen Project, targeting bromine output of 75 million lbs annually with operations by end of 2027. It reinforces the ONE TETRA 2030 strategy and emphasis on critical minerals. Investors may track progress on definitive JV agreements, project milestones at Evergreen, and any updates in future earnings or SEC filings to assess execution and capital allocation around this expansion.

Key Terms

bromine, magnesium, critical mineral, brines, +2 more

6 terms

bromine technical

"The plant is projected to produce 75 million lbs. of bromine annually"

Bromine is a reddish-brown chemical element typically extracted from saltwater or underground brine and used as a raw ingredient in many industrial products. Its availability and price matter to investors because bromine behaves like an industrial commodity—shifts in supply, regulation, or demand can change production costs and profit margins for companies that make flame retardants, drilling fluids, water treatment chemicals and some pharmaceuticals, affecting their revenues and stock values.

magnesium technical

"producing clean, secure magnesium metal from seawater and brines"

Magnesium is a lightweight metal and essential dietary mineral used across industries from automotive and aerospace alloys to batteries, fertilizers and pharmaceuticals. For investors, its supply, production costs and demand act like a hidden engine: changes in availability or new uses can push prices and affect companies that mine, process or rely on it, similar to how gasoline price swings influence transportation and manufacturing costs.

critical mineral technical

"Magnesium is the "gateway metal" ... and is designated a critical mineral"

A critical mineral is a naturally occurring element or metal that is essential for modern technologies—like batteries, electronics, clean energy systems and defense—and whose supply is vulnerable to disruption. Investors care because these minerals act like key building blocks: shortages, geopolitical controls, or production bottlenecks can sharply raise costs, stall product rollouts, change profit forecasts, and prompt government policy or subsidies that affect company valuations.

brines technical

"from seawater and brines) to rebuild America's magnesium metal defense"

Brines are naturally occurring or industrial waters that contain very high concentrations of dissolved salts and minerals, like a much saltier version of seawater. They matter to investors because they can be both a liability—requiring costly treatment, disposal, or regulatory compliance—and an asset, since valuable elements (for example lithium or potash) can be extracted and sold; think of brine as a salty soup that can hide either a costly mess or a new source of revenue.

Defense Production Act Title III regulatory

"Magrathea has already secured Defense Production Act Title III funding"

A portion of U.S. law that lets the government financially support and speed up domestic production of critical materials, equipment, and supply chains by providing loans, purchases, contracts or incentives to private companies. Think of the government stepping in as a big customer or lender to help a factory scale up quickly; for investors, this can create sudden revenue opportunities, reduce supply risks for key industries, and change a company’s growth and valuation prospects.

forward-looking statements regulatory

"This press release includes certain statements that are deemed to be forward-looking statements"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

AI-generated analysis. Not financial advice.

Critical mineral extraction represents another key step in ONE TETRA 2030 strategy

SPRING, Texas, Dec. 2, 2025 /PRNewswire/ -- TETRA Technologies, Inc. ("TETRA" or the "Company") (NYSE:TTI) announced today that it has signed a term sheet outlining key parameters to form a joint venture with Magrathea Metals, Inc. (a private company developing innovative technology for producing clean, secure magnesium metal from seawater and brines) to rebuild America's magnesium metal defense industrial base at TETRA's Evergreen Project in Southwest Arkansas.

Magnesium is the "gateway metal" used across the defense industrial base and economy and is designated a critical mineral by the Department of Energy, Department of War, and Department of the Interior.

"We are thrilled to be working with a well-established global specialty chemicals and industrial minerals player like TETRA," said Alex Grant, CEO of Magrathea. "This joint venture will unlock the value created by our team over the past three years. We are now taking meaningful steps to evolve from a technology R&D lab to an industrial project co-developer."

TETRA is building a bromine production facility near Stamps, Arkansas, called the Evergreen Project. The plant is projected to produce 75 million lbs. of bromine annually and plans to begin operations by the end of 2027. Besides bromine, TETRA also plans to produce and monetize several critical minerals from the brine, including lithium and magnesium. Magrathea and TETRA are actively exploring ways to incorporate Magrathea's innovative electrolytic magnesium technology into the brownfield site.

"Our intention to work with Magrathea for the clean, high-quality domestic manufacturing and production of magnesium is another key step towards achieving our ONE TETRA 2030 strategy while supporting the U.S. initiative to develop a secure domestic supply of critical minerals," said Brady Murphy, President and CEO of TETRA. "Through our planned partnership, we would combine Magrathea's advanced process technology with TETRA's deep operational expertise and a world-class magnesium resource base from our Southwest Arkansas brine acreage. Magrathea has already secured Defense Production Act Title III funding from the Department of War to support its Commercial Phase 1, planned to be on-site at TETRA's Evergreen Plant. We are optimistic that further government support is possible for our future commercial plans."

"This proposed new venture proves what Arkansans have always known - our people and communities can compete with anyone in the world," said Governor Sarah Huckabee Sanders. "Magrathea and TETRA's investment builds on Arkansas' defense industry and ensures our nation's future is powered by American innovation."

Investor Contact
For further information, please contact Elijio Serrano, CFO, TETRA Technologies, Inc. at (281) 367-1983 or via email at eserrano@onetetra.com or Kurt Hallead, Treasurer and Vice President of Investor Relations at (281) 367-1983 or via email at khallead@onetetra.com.

About TETRA Technologies
TETRA Technologies, Inc. is an energy services and solutions company focused on developing environmentally conscious services and solutions that help make people's lives better. With operations on six continents, the Company's portfolio consists of Energy Services, Industrial Chemicals, and Critical Minerals. In addition to providing products and services to the oil and gas industry and calcium chloride for diverse applications, TETRA is expanding into the low-carbon energy market with chemistry expertise, key mineral acreage, and global infrastructure, helping to meet the demand for sustainable energy in the twenty-first century. Visit the Company's website at www.onetetra.com for more information or connect with us on LinkedIn. See also the cautionary note concerning estimates of Mineral Resources and Reserves as well as the full S-K 1300 Report dated September 22, 2025, available on TETRA's website under the Investors section at the Presentations link at www.onetetra.com.

About Magrathea Metals, Inc.
Magrathea is a technology company based in California that has developed a new generation of electrolytic process for making clean, secure magnesium metal from seawater and brines. Magnesium supply underpins trillions of dollars of trade and national security is impossible without it and Magrathea is the category leader in re-building ex-China supply of the critical material. 

Cautionary Statement Regarding Forward-Looking Statements
This press release includes certain statements that are deemed to be forward-looking statements that TETRA intends to be included within the safe harbor protections provided by the federal securities laws. These forward-looking statements include statements concerning the possible formation of a joint venture between Magrathea and TETRA to build a magnesium metal defense industrial supply base at TETRA's Evergreen Project site in Southwest Arkansas, the completion of TETRA's bromine production plant near Stamps, Arkansas, production levels of bromine, lithium and magnesium at the Evergreen Project site, potential markets, industries or uses for magnesium, TETRA's ONE TETRA 2030 strategy, possible government support for TETRA's future commercial plans and the amount of investment or number of jobs to be created by the Evergreen Project and joint venture.  These forward-looking statements are based on certain assumptions and analyses made by TETRA in light of its experience and its perception of historical trends, current conditions, expected future developments, statements made by Magrathea and other third parties and other factors it believes are appropriate in the circumstances. Such statements are subject to numerous risks and uncertainties, many of which are beyond the control of TETRA. Factors which may cause actual results to differ materially from current expectations include the factors described in the section titled "Risk Factors" contained in TETRA's most recent Annual Report on Form 10-K, as well as other risks identified from time to time in its reports on Form 10-Q and Form 8-K filed or furnished with the Securities and Exchange Commission. Investors should not place undue reliance on forward-looking statements. Each forward-looking statement speaks only as of the date of the particular statement, and TETRA undertakes no obligation to update or revise any forward-looking statements, except as may be required by law.

View original content to download multimedia:https://www.prnewswire.com/news-releases/tetra-technologies-inc-and-magrathea-metals-inc-advance-joint-venture-plans-to-produce-magnesium-in-arkansas-302629663.html

SOURCE TETRA Technologies, Inc.

FAQ

What did TETRA (TTI) announce on December 2, 2025 about a magnesium joint venture?

TETRA announced a term sheet to form a joint venture with Magrathea Metals to produce magnesium at the Evergreen Project in Southwest Arkansas.

How much bromine will TETRA's Evergreen Project (TTI) produce and when is it expected to start?

The Evergreen Project is projected to produce 75 million lbs of bromine annually and plans to begin operations by end of 2027.

Does Magrathea have government support for its planned magnesium work at TETRA's site (TTI)?

Yes; Magrathea secured Defense Production Act Title III funding to support its Commercial Phase 1 planned to be on-site at Evergreen.

Will TETRA (TTI) produce other critical minerals at Evergreen besides magnesium?

TETRA plans to produce and monetize other critical minerals from the brine, including lithium and magnesium.

Is the TETRA–Magrathea joint venture agreement finalized for TTI investors?

No; the companies signed a term sheet outlining key parameters, but a binding joint venture agreement has not been announced.