NioCorp’s Rare Metals Mining Project in Nebraska Set to Begin Construction in 2026
The southeastern region of Nebraska is set to be transformed with the upcoming construction of the Elk Creek mine, a project spearheaded by mineral development company NioCorp. After over a decade of planning, construction is slated to commence in December 2026, bringing the promise of a new domestic supply chain for critical minerals.
In a significant boost to their efforts, NioCorp secured a $10 million grant from the United States Department of Defense’s Production Act Title III program in August. This initiative is aimed at bolstering domestic projects that enhance U.S. supply chains pivotal to national defense. The grant will aid NioCorp in establishing domestic production of scandium, niobium, and titanium at the Elk Creek facility.
Since the grant’s acquisition, NioCorp has made significant strides, including acquiring land ownership, completing over 11,000 meters of drilling, and raising approximately $360 million towards the estimated $1.2 billion project cost.
In early December, NioCorp hosted a town hall at Elk Creek’s community center, updating residents on the project’s progress. The event, attended by around 600 people, provided insights into the project’s trajectory and future plans.
One major hurdle remaining is the approval of a $780 million debt financing application from the Export-Import Bank of the United States (EXIM), which is essential before NioCorp can proceed with final permitting and construction. John Jovanovic, President and Chairman of EXIM, expressed his support via a recorded message, stating, “The Elk Creek Minerals Project is exactly the type of opportunity EXIM was always designed to support. Advancing U.S. control over the critical minerals essential to aircraft, automobiles, advanced manufacturing, and our broad industrial base.”
Environmental concerns were also addressed by company officials, particularly the project’s water usage and the radiation content of the ore. CEO and President of NioCorp, Mark Smith, reassured attendees about radiation levels, stating, “We do have uranium and thorium in the ore body. Every earth ore body has those constituents in it. These levels are low enough that they don’t take any federal licensing through the Nuclear Regulatory Commission. It’s exempt because they are so low in quantity.” NioCorp plans to use dosimeter data to monitor radiation exposure, ensuring worker safety and compliance with Nebraska’s license requirements.
NioCorp’s Chief Operating Officer, Scott Honan, detailed the mine’s water management strategy, emphasizing a closed-loop system designed to reuse most of the water. He noted, “There’s going to be water that comes out of the underground mine. We will capture all of that. We treat it and we reuse it.” However, he acknowledged some water loss, particularly through evaporation and waste management processes.
The project is also expected to significantly impact the local community by creating 450 on-site jobs, including roles for laborers, engineers, and scientists. Honan mentioned the initial necessity of bringing in experienced miners from outside the state, but expressed a strong commitment to local hiring and training. “We want to hire the local Nebraska people,” stated Smith. “If there’s a job to be done out there on site, we bend over backwards to use Nebraska companies to do those jobs, and we want to keep that going.”
To accommodate increased traffic, NioCorp plans road improvements, including additional turn lanes on Highway 50 and paving Road 721. Johnson County has approved contracts supporting these developments, which NioCorp will fully fund. Smith commented on the need for these enhancements, saying, “With the mine that we are going to have and the quantity of materials that we will be producing, it’s conducive to trucking. That’s one of the reasons why we want to make sure we do those improvements to the road to improve the safety there.”
Despite the project’s potential benefits, two Johnson County commissioners opted not to comment on the matter.
