In the heart of a rapidly transforming global minerals market, the United States is racing to secure its place at the forefront of a new era of resource extraction—one defined not by oil, but by the rare earth elements and critical minerals that underpin clean energy, advanced manufacturing, and national defense. From the thawing permafrost of Greenland to the brine-rich formations of East Texas, the scramble for resources is reshaping geopolitics, industry, and the environment in profound and sometimes surprising ways.
Within the last month, rumors swirled about a major U.K. mining deal in Greenland, matched by news of an impending agreement between the U.S. government and Critical Minerals Corp., a company operating a heavy rare-earth elements mining operation in Southern Greenland. According to The Hill, this partnership would give the U.S. a stake in a valuable mining project, with shares of Critical Minerals Corp. surging on the news. These minerals are essential for both the energy transition—think battery storage and electric vehicles—and for defense applications, from unmanned aerial systems to submarines.
The Arctic, and Greenland in particular, has become a hotspot for mining interest as global warming accelerates. In a January 2025 video call with CNBC, Critical Minerals Corp. CEO Tony Sage remarked that ice melt has done "enormous favors" for his operation, allowing ships from the North Atlantic to reach the ore body directly—something that would have been unthinkable in previous decades. Yet, as the ice recedes, it exposes not only new economic opportunities but also daunting challenges. Scientists have warned that if the Greenland ice sheet were to melt entirely, global sea levels could rise by more than seven meters, a scenario with staggering implications for infrastructure and human settlements around the world.
Greenland's newfound accessibility comes at a price. The region is considered "ground zero" for the climate crisis, with even small temperature shifts causing outsized impacts across the Arctic. Communities have already been displaced by sea level rise and sinking infrastructure as permafrost thaws. Food sources, such as salmon, are at risk due to warming waters. Melting ice is also altering shipping routes, creating new national security concerns. According to The Hill, Russia has ramped up its military activity in the region, while China sent three icebreakers to the Arctic in 2024, signaling a growing contest for influence and resources.
Despite these risks, the U.S. is pressing forward. The challenges are numerous: Greenland's lack of infrastructure, high labor costs, harsh weather, and questions about whether the U.S. has the capacity to refine the minerals it extracts. Yet the economic and strategic incentives are powerful. As former President Trump once stated at the United Nations General Assembly that climate change is "the greatest con job ever perpetrated on the world," his administration nonetheless sought to capitalize on the destabilization caused by climate change—pushing for fossil fuel extraction and a stronger American presence in the Arctic, even as he publicly denied the reality of global warming. As Allison Agsten of the USC Annenberg Center for Climate Journalism and Communication noted for The Hill, "Not only does Trump know climate change is real, he’s banking on it."
Meanwhile, a parallel minerals rush is underway in East Texas, but this time, oil giants like Chevron and Halliburton are drilling not for oil, but for lithium and other rare elements. In late September, Smackover Lithium—a joint venture between a Norwegian oil giant and a Canadian miner—announced the discovery of the most lithium-rich fluids ever reported in North America, deep beneath its Texas claims in the Smackover Formation, as reported by Inside Climate News.
Houston-based startup TerraVolta, led by founder Jamie Liang, is at the center of this lithium boom. With $225 million in funding from the U.S. Department of Energy and a fast-tracked permit review, TerraVolta's refinery will extract lithium and other minerals from the Smackover's super-salty brine, injecting the leftover liquids back underground. At least two other lithium refineries are planned in the region, and companies have leased tens of thousands of acres for drilling. "There’s going to be a very large-scale infrastructure buildout," Liang told Inside Climate News. "You’re going to be drilling wells. You’re going to need those service companies. You’ll need pipelines."
The federal government’s push is motivated by more than economic opportunity. For decades, China has dominated the global production and processing of critical minerals, raising concerns about national security and supply chain vulnerabilities. As Douglas Wicks, a former program director at the Department of Energy’s Advanced Research Projects Agency, put it to Inside Climate News, "Our exposure to China is unacceptable." In response, both the Trump and Biden administrations have funneled billions of dollars into domestic mining and processing, designated 35 minerals as critical, and ordered the Pentagon to establish supply chains independent of China.
Yet, the road ahead is anything but smooth. The United States currently operates just one lithium mine in Nevada and one lithium refinery on the Texas Gulf Coast. A second mine is expected to come online in 2027. Elsewhere in Texas, a mine is planned near El Paso for rare metals used in electric motor magnets, while the Department of Defense has invested nearly $300 million in a Gulf Coast project to process samarium and other metals crucial for military technology. Still, the U.S. lags far behind China’s vertically integrated supply chains and state-backed industry. As Marek Locmelis, an associate professor at the University of Texas at Austin, explained, "We play by the rules of capitalism but a different set of rules applies to them."
Environmental concerns loom large. Mining operations in Texas and elsewhere generate large volumes of waste, sometimes containing hazardous or even radioactive materials. Water use is another flashpoint: Tesla’s new lithium refinery near Corpus Christi, for example, will eventually require eight million gallons of water per day, a daunting prospect amid regional water shortages. Projects like the Lynas Rare Earths Limited processing plant near Seadrift have faced delays and uncertainty due to wastewater challenges and public opposition.
Innovative startups are exploring ways to recover critical minerals from industrial waste, coal ash, and even oilfield wastewater. Companies like Maverick Metals and Metallium are betting that new chemical and processing technologies can turn what was once industrial refuse into a source of strategic materials. At the same time, companies like EnergyX are developing proprietary methods to extract lithium from brine more efficiently and with less water, aiming to make Northeast Texas a global lithium hub by 2030.
Despite the optimism, the future of American mineral independence is uncertain. Technical hurdles, environmental trade-offs, global market volatility, and the ever-present specter of trade wars with China all threaten to upend the best-laid plans. As Michelle Michot Foss of Rice University’s Baker Institute observed, "We started realizing, oh my gosh, we don’t produce any of this stuff." The U.S. must not only mine but also develop midstream and downstream industries to process materials domestically—otherwise, it risks shipping raw minerals abroad, only to buy back finished products at a premium.
For now, the race is on. Whether it’s the melting ice of Greenland opening new frontiers or the brine beneath Texas fueling the next generation of batteries, America’s critical minerals gamble is reshaping landscapes, economies, and the balance of power. The outcome will determine not just who leads in clean energy and defense, but who sets the rules for the world’s next great resource boom.
