NEW YORK, Jan 26, 2026, 07:43 EST — Premarket
- NioCorp shares climbed in early trading after talks of Washington-backed funding for rare-earths sparked a wave of interest across the sector
- Traders are focused on the specifics of the USA Rare Earth package and whether the bid will extend to smaller developers
- NioCorp’s next key milestone is the upcoming quarterly filing deadline
Shares of NioCorp Developments Ltd climbed 5.6% to $7.70 in early trading Monday, pushing higher amid a turbulent January for the critical-minerals developer. Investors kept snapping up policy-driven plays in the sector.
The move is significant since federal funds, even when directed elsewhere, can shift investor valuations of early-stage miners still hunting for major capital. It also draws in quick speculative cash — which can vanish just as fast — especially in lightly traded stocks.
The trigger this time came from a report that the Trump administration will take a 10% stake in USA Rare Earth as part of a $1.6 billion debt-and-equity deal, with an additional private investment expected alongside it. Reuters noted that USA Rare Earth has scheduled an investor call for Monday. Shares of other U.S.-listed critical minerals companies like MP Materials, Lithium Americas, and Trilogy Metals also gained in premarket trading.
USA Rare Earth announced it has signed a non-binding letter of intent with the U.S. Department of Commerce’s CHIPS Program, covering $1.6 billion in proposed federal funding and a loan. The company also raised $1.5 billion in private investment. “This landmark collaboration with the U.S. Government represents a transformative step,” said CEO Barbara Humpton in the statement. GlobeNewswire
NioCorp is pushing forward with its Elk Creek project in southeast Nebraska, targeting production of niobium, scandium, and titanium—key materials for industrial and specialty uses.
Earlier this month, Chairman and CEO Mark A. Smith highlighted that the company’s “primary focus” for 2026 is locking down full project financing for Elk Creek. This includes efforts connected to an EXIM due diligence review and exploring possible debt arrangements. niocorp.com
NioCorp is pushing to prove it has both the time and funds to keep advancing. In an update on Jan. 12, the company revealed a record cash stash of $307 million as of Dec. 31. It also disclosed that the U.S. Department of Defense has awarded up to $10 million to aid certain Elk Creek projects. NioCorp plans to file its Form 10-Q by Feb. 16.
Investors remain wary of dilution risk. On Jan. 20, NioCorp disclosed in an SEC filing that it submitted exhibits to its Form S-3 registration statement, which include a standby equity purchase agreement with YA II PN, Ltd., along with an amendment to that agreement.
Broader markets opened on a cautious note as investors prepared for a busy week loaded with major earnings reports and a Federal Reserve decision. Still, sectors linked to metals and government policy experienced sporadic buying interest.
Sympathy rallies often prove short-lived. If Washington-backed funding falls short on size, timing, or strings attached, or if traders turn risk-off again, smaller developers are the first to feel the pinch, particularly those still lining up full financing and moving toward construction.
Traders are zeroing in on USA Rare Earth’s call Monday for specifics on terms and timelines. Meanwhile, NioCorp shareholders await the quarterly filing due Feb. 16, along with any updates on financing or project progress.
