Glencore has reached an agreement to purchase nearly 2,000 metric tons of cobalt from industry veteran Rami Weisfisch, worth around $115 million at current market prices. The deal, spanning 12 months in 2026, is expected to supply the United States for its planned National Defense Stockpile under Project Vault, a program backed by $12 billion in public and private funding. The cobalt, originally acquired by Weisfisch in 2015, is stored across Europe and the U.S., and marks the end of Weisfisch’s 50-year involvement in the cobalt industry.
The move comes amid heightened U.S. efforts to secure critical materials, including cobalt, to reduce reliance on China, the dominant global supplier and processor of strategic metals. Glencore’s CEO Gary Nagle confirmed the company’s participation in Project Vault, following the cancellation of a U.S. Defense Logistics Agency tender for cobalt last year. The deal uses pricing tied to Fastmarkets assessments, ensuring alignment with current market conditions.
Cobalt prices have surged approximately 160% since February 2025, reaching $26 per pound ($57,320 per ton), driven by tight supply and rising global demand. Democratic Republic of Congo, the top producer, imposed export quotas from February to mid-October, disrupting supply chains. China, the largest cobalt processor, has been most affected by these restrictions, scrambling to secure cobalt for its industries, including lithium-ion battery production for electric vehicles and mobile devices.
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