New Arctic discovery at Graphite Creek bolsters U.S. supply of rare earths and graphite, challenging China’s dominance and defense supply vulnerabilities
A New Arctic discovery near Nome, Alaska, has revealed that the Graphite Creek deposit contains not only what is being called the largest graphite tranche in the United States, but also a suite of valuable rare earth elements, a development that could reshape supply chains for batteries, magnets and defense materials.
The find was highlighted by GraphiteOne and has been promoted by Alaska Gov. Mike Dunleavy and federal officials aligned with the Trump administration’s agenda on energy and critical minerals. According to reporting tied to the project, the deposit contains neodymium, praseodymium, dysprosium and terbium, alongside garnet-bearing ore, which a site geologist noted can trap certain rare earth elements in its mineral structure. The discovery also reportedly includes two Defense Production Act-qualifying materials.
What the discovery means for U.S. dependence
The timing of the New Arctic discovery is significant because the United States remains deeply dependent on imports for critical mineral supplies. As of 2024, the U.S. was at least 93% import-dependent on both rare earth elements (REEs) and graphite itself, according to the International Energy Agency, a vulnerability that has left key industries exposed to supply disruptions.
China has long dominated the global market for both graphite and several REEs, and the Graphite Creek find directly challenges that dynamic. Industry observers point to the fact that Beijing, in prior years, accounted for roughly 90% of some rare earth outputs, a concentration that allowed China to influence prices and access. The presence of defense-qualifying materials at Graphite Creek could help the U.S. reduce reliance on foreign sources deemed strategic risks.
Industry and political reactions
GraphiteOne President Anthony Huston described the discovery at Nome as evidence of a meaningful long-term resource. Huston said the site is a “truly generational deposit“, and he emphasized the economic logic of recovering rare earths alongside graphite, stating, “given the robust economics of our planned complete graphite materials supply chain, the presence of Rare Earths at Graphite Creek suggests that recovery as a by-product to our graphite production will maximize the value.”
Huston also highlighted Alaska’s role in domestic mineral security, saying Gov. Dunleavy correctly saw the state as a source of metals and minerals “transforming the 21st century” and as a way to make the U.S. less reliant on foreign sources, including “entities of concern.”
The discovery arrives amid global tensions over critical minerals. China implemented export limits in 2024 on magnet-related REEs, a move analysts linked to efforts to retain domestic supply for strategic industries. That action increased urgency for U.S. projects that can feed domestic manufacturing for nanotechnology, energy storage, electric vehicles and advanced electronics.
Supply chain impacts and planned processing
GraphiteOne plans to ship some extracted material to an advanced graphite and battery anode material plant in Ohio, integrating mining with downstream processing to create higher-value products domestically. If rare earth recovery proves technically and economically viable as a by-product of graphite extraction, the project could provide feedstock for magnets, batteries and other components that currently travel through lengthy and geopolitically exposed supply chains.
Beyond Alaska, the discovery underscores a wider, emerging picture in the U.S. of previously untapped sources of REEs. For example, anthracite coal deposits in Appalachian Pennsylvania have been found to contain multiple rare earth elements. In that context, then-Rep. Lou Barletta sought federal attention in the 2010s for pilot programs to repurpose legacy mining waste.
Barletta told Fox News in 2018 that “funding had been secured for a pilot program to look into extracting REEs from coal wastewater,” an approach that researchers at Penn State later explored by developing methods to recover cobalt, manganese and nickel from acid mine drainage and fly ash. Those parallel efforts suggest the U.S. is seeking multiple domestic pathways to diversify supply.
Challenges ahead and strategic outlook
While the New Arctic discovery at Graphite Creek is promising, several steps remain before it changes global markets. Technical work is needed to quantify recoverable rare earths, to ensure environmental protections in Arctic operations, and to scale refining and separation capacity that currently exists in few places outside China.
Still, the combination of a large graphite resource and newly identified REEs could strengthen the economics of the project, helping to fund downstream plants and attract investment. For policymakers focused on securing supply chains for defense and clean energy, the find provides a tangible asset that can be developed under federal statutes and programs aimed at fortifying domestic production.
As the New Arctic discovery at Graphite Creek moves from exploration to potential development, experts will watch whether the U.S. can convert raw resource advantage into reliable, domestic supply chains for the advanced materials that modern technology and national security require.
