U.S., Orion Weigh $5 Billion Critical-Minerals Fund to Bolster Supply Chains

The U.S. government is in talks to create a $5 billion joint fund to invest in mining and secure supplies of critical minerals, according to people familiar with the matter. The proposed vehicle would be formed by the U.S. International Development Finance Corp. (DFC) and New York–based Orion Resource Partners, with terms still under negotiation and no certainty of a final agreement as of Sept. 16, 2025.

The initiative targets supply security for copper, cobalt and rare earths amid near-term reliance on China’s processing capacity and longer-term concerns over underinvestment, declining grades and lengthy permitting. A DFC official declined to discuss specific projects but said the agency is seeking collaboration with private partners and host governments; Orion declined to comment.

DFC has previously financed mining and midstream projects, including a $150 million loan to Syrah Resources’ graphite supply chain and more than $550 million to upgrade Africa’s Lobito Corridor rail infrastructure. If DFC were to commit $2.5 billion, the Orion venture would be among the largest in the agency’s history, according to government data.

Orion, which manages about $8 billion, would match the DFC’s commitment, scaling to a combined $5 billion, in a structure similar to its $1.2 billion venture with Abu Dhabi’s ADQ announced earlier this year. Orion CEO Oskar Lewnowski has previously urged greater state involvement in critical-minerals markets and the creation of strategic stockpiles.

Recent U.S. actions include the Defense Department’s cobalt stockpile tender launched in August 2025 and a $400 million investment and floor-price supply agreement with MP Materials in July. Orion is separately in talks, alongside Virtus Minerals, to acquire Congo-focused Chemaf Resources, after a prior sale to a Chinese state-owned affiliate failed when approvals were withheld in the Democratic Republic of Congo.

The DFC is expected to play a larger role in U.S. foreign economic policy in President Trump’s second term, with a reauthorization targeted next month to expand its investment capacity and risk tolerance. Ben Black, nominated in January to lead the DFC, awaits Senate confirmation and told lawmakers the agency should not displace private capital and should deepen ties to New York financial firms.