America’s sole alumina refinery secures $800 million for critical mineral push

The United States’ only remaining alumina refinery has secured $800 million in public and private capital to expand domestic alumina output and begin producing gallium, a critical mineral used by industries ranging from defense and aerospace to energy and semiconductors. Atlantic Alumina Company, or ATALCO, announced the funding for its Gramercy facility in Louisiana on Friday. The investment includes $400 million from the Department of War and another $400 million from private investors through a fund managed by Pinnacle Asset Management. The partnership is intended to revitalize the refinery, support more than 500 American jobs and reduce US reliance on overseas suppliers for strategically important materials. ATALCO expects to deliver its first domestically produced primary gallium this fall. Only US source of smelter-grade alumina The Gramercy facility is the country’s sole producer of smelter-grade alumina, the raw material used to make aluminum for the automotive, aerospace and defense industries. It also manufactures chemical-grade alumina for oil and gas refinery catalysts, refractories, fire suppressants, semiconductor ceramic casings and municipal water treatment. Both alumina and gallium have been designated critical minerals by the US government. Louisiana Governor Jeff Landry recently issued an executive order prioritizing the production of the two materials in the state. “We are pleased to secure the domestic supply chain for alumina and gallium, building America’s critical mineral resilience in commodity markets that have historically been dominated by China,” ATALCO said. “With $800 million of combined public and private capital behind this facility, we are on a clear path to supplying America’s aluminum smelters as well as producers of aerospace and defense systems with the alumina and gallium needed to move the country forward,” they added. Gallium pilot facility enters testing The latest $350 million preferred-equity investment builds on a $450 million partnership announced in January 2026. Since that initial commitment, ATALCO has expanded its alumina production capabilities and constructed a pilot facility for primary gallium production at the Louisiana refinery. That facility is now undergoing testing, with its first output expected in the fall. Once operations are scaled, ATALCO plans to produce as much as 50 metric tons of gallium annually. Gallium can be recovered alongside alumina during the refining of bauxite. The company also intends to begin research and development into processing other critical minerals found in the residue left behind by its operations. “We are proud to partner with Pinnacle and ATALCO to secure a monumental win for American industry and our warfighters,” said George K. Kollitides II, Director of the Department of War’s Economic Defense Unit. “This investment represents the War Department’s commitments to strengthen our supply chains, support the American workforce, and reinforce our already unparalleled military advantages,” he added. Public-private funding targets mineral independence The financing is split equally between the government and private investors, with the Department of War contributing $400 million and investors providing the remaining $400 million through Pinnacle’s fund. Pinnacle said the refinery’s ability to supply alumina while establishing the country’s only source of domestically produced primary gallium illustrates how joint investment can secure vulnerable industrial supply chains.Get the latest in engineering, tech, space & science - delivered daily to your inbox.Atharva is a full-time content writer with a post-graduate degree in media & amp; entertainment and a graduate degree in electronics & telecommunications. He has written in the sports and technology domains respectively. In his leisure time, Atharva loves learning about digital marketing and watching soccer matches. His main goal behind joining Interesting Engineering is to learn more about how the recent technological advancements are helping human beings on both societal and individual levels in their daily lives.