North Dakota Town Bets on Nickel to Diversify Economy, Bolster US Supply Chains
BEULAH, ND – A former coal mine in the small North Dakota town of Beulah (population 3,000) is poised for a major transformation, becoming the site of a new nickel processing plant fueled by a $114 million grant from the US Department of Energy.The project signals a broader national effort to secure domestic sources of critical minerals, a push initiated under the Biden management and continuing under President Trump.
For decades, Beulah’s economy has relied heavily on coal and agriculture. Now, officials hope the plant will diversify the local economic base, offering a new path for growth. “Basically when you put all your eggs in one basket and something changes, it makes it tough for your community to thrive and continue to grow,” explained Beaver Brinkman, Beulah’s economic Development and Operations director.”Hopefully, this will take and diversify our economy.”
The plant will process nickel ore sourced from a mine in Minnesota, owned and operated by Talon Metals. Nickel is a crucial component in electric vehicle batteries, as well as computers and the strengthening of steel, making it a strategically crucial resource. Talon Metals has already secured a contract to supply 75,000 metric tons of nickel to Tesla.
The investment reflects a growing national security concern over reliance on foreign sources for these vital materials. Retired four-star Marine General John Allen, a board member of the security-focused think tank GLOBESEC, highlighted the Pentagon’s involvement. “What the Pentagon’s trying to do is to lock in and preserve these raw materials for the highly refined technologically advanced warfare that the United States wields today,” he stated.GLOBESEC estimates China currently controls approximately 75% of the world’s critical metals and mining materials.
To further bolster domestic mineral exploration, the Pentagon awarded Talon Metals a $20 million matching grant to identify additional mineral deposits within the United States. The development is notable as new mines and processing facilities are relatively uncommon within the US.
Jessica Johnson, Vice President of talon Metals, emphasized the bipartisan support for securing domestic supply chains. “Across multiple administrations, I think it’s clear that domestic raw materials for our supply chains…it’s a bipartisan issue,” she said.
While the project has garnered broad support within Beulah, some residents, like retiree Garry Teske, express a desire for more information. “I have nothing against it but it’s pretty hush hush around here,” Teske commented. “We don’t hear much.”
Talon’s Minnesota mine is currently facing opposition from a neighboring tribe and environmental groups. If approved, the company anticipates both the mine and the Beulah processing plant will be fully operational by 2029.The project represents a notable step in the US effort to reduce its dependence on foreign mineral sources and strengthen its economic and national security.
