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Can the Blacksburg Facility Fuel USA Rare Earth's Long-Term Growth?
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Key Takeaways
USA Rare Earth broke ground on an 800,000-square-foot Blacksburg rare earth facility.
USA Rare Earth expects the plant to produce 6,400 tpa of NdFeB magnets and 5,000 tpa of metal.
The Blacksburg and Stillwater expansion are expected to provide 10,000 tpa of domestic magnet capacity.
USA Rare Earth, Inc. (USAR - Free Report) marked another step in its strategy to build an integrated domestic rare earth supply chain. The company has broken ground on a new rare earth metal and magnet manufacturing facility in Blacksburg, SC.
USAR is investing almost $1.2 billion to build the approximately 800,000-square-foot facility on a 124-acre site in Cherokee County. The project is expected to create around 490 high-skill manufacturing jobs, with commissioning targeted to begin in 2028. Once operational, the plant is expected to produce 6,400 metric tons per year (tpa) of sintered neodymium-iron-boron (NdFeB) permanent magnets and 5,000 tpa of strip-cast rare earth metal and alloy.
The Blacksburg facility will complement USA Rare Earth's existing magnet manufacturing operation in Stillwater, OK, where it commissioned its first commercial production line earlier this year. Together with the planned Stillwater expansion, the two facilities are expected to provide 10,000 tpa of domestic NdFeB magnet manufacturing capacity.
The new facility is part of the company’s strategy to build capabilities across the rare earth value chain, including mining, processing, separation, metal and alloy production, and permanent magnet manufacturing. This expansion will support the company’s long-term growth.
Snapshot of USA Rare Earth’s Peers
Among its major peers, Trilogy Metals Inc. (TMQ - Free Report) continues to make steady progress at the Ambler mining district. Although Trilogy is not yet in production, it is advancing the Upper Kobuk Mineral Projects through Ambler Metals LLC, its joint venture with South32 Limited. In August 2026, Trilogy executed definitive agreements for a roughly $35.6 million strategic equity investment by the U.S. Department of War to support exploration and development of the projects. The Arctic Project is also progressing through federal and state permitting, with a targeted Record of Decision in September 2028.
USAR’s other peer, NioCorp Developments Ltd. (NB - Free Report) , is working to move its Elk Creek Project in Nebraska closer to production. In August 2026, NioCorp completed an updated feasibility study that envisions a 40-year mine producing eight critical-mineral products, including niobium, scandium, titanium and several rare earth products. NioCorp's study estimates a pre-tax net present value of $4.1 billion, while ongoing mine-portal construction is establishing the future access point to the underground operation.
USAR’s Price Performance, Valuation & Estimates
Shares of USAR have gained 33% in the year-to-date period compared with the industry’s growth of 21%.
Image Source: Zacks Investment Research
From a valuation standpoint, USAR is trading at a forward price-to-sales ratio of 8.07X compared with the industry’s average of 1.43X. USA Rare Earth carries a Value Score of F.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for USAR’s 2026 earnings has declined over the past 60 days.
Image Source: Zacks Investment Research
The company currently carries a Zacks Rank #4 (Sell).
View the Zacks #1 Rank List
Image: Bigstock
Can the Blacksburg Facility Fuel USA Rare Earth's Long-Term Growth?
Key Takeaways
USA Rare Earth, Inc. (USAR - Free Report) marked another step in its strategy to build an integrated domestic rare earth supply chain. The company has broken ground on a new rare earth metal and magnet manufacturing facility in Blacksburg, SC.
USAR is investing almost $1.2 billion to build the approximately 800,000-square-foot facility on a 124-acre site in Cherokee County. The project is expected to create around 490 high-skill manufacturing jobs, with commissioning targeted to begin in 2028. Once operational, the plant is expected to produce 6,400 metric tons per year (tpa) of sintered neodymium-iron-boron (NdFeB) permanent magnets and 5,000 tpa of strip-cast rare earth metal and alloy.
The Blacksburg facility will complement USA Rare Earth's existing magnet manufacturing operation in Stillwater, OK, where it commissioned its first commercial production line earlier this year. Together with the planned Stillwater expansion, the two facilities are expected to provide 10,000 tpa of domestic NdFeB magnet manufacturing capacity.
The new facility is part of the company’s strategy to build capabilities across the rare earth value chain, including mining, processing, separation, metal and alloy production, and permanent magnet manufacturing. This expansion will support the company’s long-term growth.
Snapshot of USA Rare Earth’s Peers
Among its major peers, Trilogy Metals Inc. (TMQ - Free Report) continues to make steady progress at the Ambler mining district. Although Trilogy is not yet in production, it is advancing the Upper Kobuk Mineral Projects through Ambler Metals LLC, its joint venture with South32 Limited. In August 2026, Trilogy executed definitive agreements for a roughly $35.6 million strategic equity investment by the U.S. Department of War to support exploration and development of the projects. The Arctic Project is also progressing through federal and state permitting, with a targeted Record of Decision in September 2028.
USAR’s other peer, NioCorp Developments Ltd. (NB - Free Report) , is working to move its Elk Creek Project in Nebraska closer to production. In August 2026, NioCorp completed an updated feasibility study that envisions a 40-year mine producing eight critical-mineral products, including niobium, scandium, titanium and several rare earth products. NioCorp's study estimates a pre-tax net present value of $4.1 billion, while ongoing mine-portal construction is establishing the future access point to the underground operation.
USAR’s Price Performance, Valuation & Estimates
Shares of USAR have gained 33% in the year-to-date period compared with the industry’s growth of 21%.
Image Source: Zacks Investment Research
From a valuation standpoint, USAR is trading at a forward price-to-sales ratio of 8.07X compared with the industry’s average of 1.43X. USA Rare Earth carries a Value Score of F.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for USAR’s 2026 earnings has declined over the past 60 days.
Image Source: Zacks Investment Research
The company currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.