MP Materials
29 named things its latest annual report says its results depend on, each in the company's own words. 15 of them are also named by other companies we've read.
Customers
U.S. Department of War (DoW)
earns from · at least $140 million of EBITDAnamed as a riskFurthermore, under the terms of the DoW Offtake Agreement, we anticipate that the DoW may become our largest customer of magnets and that the obligations of the DoW under the Price Protection Agreement and DoW Offtake Agreement may represent a significant source of our revenue.Risk factors (Item 1A)
Also named by AIR, BA, CACI, CDRE, CVLG, GD, HII, LHX and 4 more
Apple Inc.
earns fromnamed as a riskIn the event we are not able to mitigate these risks or fail to comply with the terms of the DoW Transaction Agreements, particularly the DoW Offtake Agreement, and in particular, our supply agreements with Apple and GM, we may experience material adverse effects on our financial position and results of operations.Risk factors (Item 1A)
General Motors Company (GM)
earns fromnamed as a riskThe Magnetics segment began generating revenue from sales of magnetic precursor products to General Motors Company (NYSE: GM) (“GM”) in the U.S. in the first quarter of 2025.Business (Item 1)
Shenghe (Shenghe Offtake Agreement)
earns fromHistorically, the Company sold the vast majority of its rare earth concentrate to a single, principal distributor in China under the terms of the Shenghe Offtake Agreement (as defined in Note 21, “Related-Party Transactions,” in the notes to the Consolidated Financial Statements).Business (Item 1)
Partners and platforms
Ports of Los Angeles and Long Beach
depends onnamed as a riskIn the past, there have been backlogs of container ships off the coast of Southern California that delayed shipments in and out of the ports of Los Angeles and Long Beach, the primary ports that we use to ship our rare earth products.Risk factors (Item 1A)
Sumitomo Corporation of Americas
earns fromIn February 2023, the Company entered into a distributorship agreement (the “Distribution Agreement”) with Sumitomo Corporation of Americas (“Sumitomo”), under which Sumitomo serves as the exclusive distributor of the NdPr oxide and NdPr metal produced by the Company to Japanese customers through the end of 2030.Business (Item 1)
Other companies
Electric vehicles (xEVs) market
earns fromnamed as a riskDemand for our products may be impacted by demand for downstream products incorporating rare earths, including hybrid and electric vehicles, wind turbines, robotics, medical equipment, military equipment and other high-growth, advanced motion technologies, as well as demand in the general automotive and electronics industries.Risk factors (Item 1A)
Competitors
Places
Independence Facility, Fort Worth, Texas
operates in · 3,000 MTs of magnets annuallynamed as a riskAs part of its partnership with the DoW, the Company committed to expand capacity of the Independence Facility to a projected 3,000 MTs of magnets annually.Business (Item 1)
Mountain Pass Rare Earth Mine, San Bernardino County, California
concentrated innamed as a riskOur only rare earth mining and processing facility at this time is Mountain Pass.Risk factors (Item 1A)
Hazards
Commodities and inputs
Natural gas
exposed to its pricenamed as a riskOperation of the CHP plant is necessary to support the entire energy demand of our upstream and midstream operations.Risk factors (Item 1A)
Also named by AA, ADM, AEE, AEP, AES, AESI, AGX, ALB and 132 more
Chinese Yuan
exposed to its pricenamed as a riskWhile we currently generate revenue in the United States and in U.S. dollars, the market transactions are denominated mainly in the Chinese Yuan, and we are therefore exposed to currency volatility and devaluation risks.Market risk (Item 7A)
Also named by ABT, ASO, BEN, CHRW, CROX, CYRX, DORM, ESI and 13 more
NdPr oxide
exposed to its pricenamed as a riskOur results of operations have historically depended in large part upon the market prices of REO and particularly the price of rare earth concentrate and NdPr.Market risk (Item 7A)
Chemical reagents (hydrochloric acid, sodium hydroxide, sodium hypochlorite)
exposed to its pricenamed as a riskA significant increase in the price or decrease in the availability of these chemicals before we potentially restart our production of them on-site, or restrictions imposed by environmental regulations or law on chemical use, could materially increase our operating costs and adversely affect our profit margins and production volumes.Risk factors (Item 1A)
Water supply (Mountain Pass)
depends onnamed as a riskAny disruption to our current process, including our water treatment plant used to make highly-pure water, decreases in available water supply, or inability to recycle sufficient volumes of distillate may have a material adverse effect on our operations and our financial condition or results of operations.Risk factors (Item 1A)
Regulators
Committee on Foreign Investment in the United States (CFIUS)
subject to · 14.9%named as a riskThe negative covenants in the DoW Transaction Agreements restrict us with respect to, among other things, (i) consummating certain fundamental events other than to person(s) from certain permitted jurisdictions, (ii) selling any equity or material assets of the Project Company (as such term is defined in the DoW Offtake Agreement), (iii) selling assets or products identified by the DoW as a priority to U.S. national security interests, (iv) knowingly issuing more than 14.9% of the common stock to person(s) from foreign jurisdictions other than certain permitted jurisdictions, (v) consummating certain fundamental events subject to the jurisdiction of the Committee on Foreign Investment in the United States (“CFIUS”) without obtaining CFIUS clearance prior to consummation or (vi) selling NdPr or magnets to any customer qualifying as a “Restricted Buyer” under the Price Protection Agreement or permitting any customer to resell NdPr or magnets to a Restricted Buyer (other than any NdPr or magnets that are included in another finished product sold by such customer).Risk factors (Item 1A)
Chinese Central Government rare earth quotas
exposed to its pricenamed as a riskThe Chinese Central Government regulates production via quotas and environmental standards, and, to a lesser extent, regulation of imports, and has and may continue to change such production quotas, environmental standards, and import regulations.Risk factors (Item 1A)
Lahontan Regional Water Quality Control Board
subject tonamed as a riskMountain Pass is subject to an order issued by the Lahontan Regional Water Quality Control Board, primarily related to contamination emanating from certain on-site impoundments active during prior periods of operation, pursuant to which we and previous owners have conducted various investigatory and remedial actions.Risk factors (Item 1A)
Mine Safety and Health Administration (MSHA)
subject toThe Company utilizes a formalized digital data reporting system to track all incidents reportable to the California Occupational Safety and Health Administration and MSHA.Business (Item 1)
Also named by AESI, ARLP, BTU, CDE, GVA, HCC, HL, MLM and 4 more
Laws and programs
Credit Agreement
subject to · at least $500.0 millionnamed as a riskFrom the inception of the Credit Agreement until the earlier of the fiscal quarter in which Consolidated EBITDA (as calculated and defined in the Credit Agreement) of the Company equals or exceeds $400.0 million for the test period and the fiscal quarter ending June 30, 2027 (the “Covenant Trigger Event”), the Company must maintain unrestricted cash and cash equivalents of at least $500.0 million.Risk factors (Item 1A)
Also named by CELH, COHR, EXE, GTX, IRM, RBA, RRGB, STRL and 1 more
DoW NdPr Price Protection Agreement
$110 per kilogramnamed as a riskIn particular, the Company entered into the Price Protection Agreement, which provides a price floor of $110 per kilogram (“kg”) for NdPr products stockpiled, sold to internal affiliates, or sold to third parties.Risk factors (Item 1A)
Comprehensive Environmental Response, Compensation and Liability Act (CERCLA)
subject tonamed as a riskUnder the federal Comprehensive Environmental Response, Compensation and Liability Act, and analogous state statutes, our liability for claims for contamination at our current or former properties, and at third-party sites at which we disposed of waste, may be joint and several, so that we may be held responsible for more than our share of any contamination, or even for the entire share.Risk factors (Item 1A)
Also named by ALSN, AME, BRK/B, BWA, CLH, CMI, DD, GIS and 10 more
California cap-and-trade program
subject tonamed as a riskLargely as a result of the operation of our CHP plant, our emissions of greenhouse gases exceed thresholds required for inclusion in California’s cap-and-trade program.Risk factors (Item 1A)
U.S. tariffs on China, Canada and Mexico
subject tonamed as a riskFor example, the current U.S. administration has increased tariffs on goods imported into the U.S., particularly from China, Canada, and Mexico.Risk factors (Item 1A)
Defense Production Act Title III
subject tonamed as a riskHowever, given the unconventional use of DPA Title III authority, the need for the DoW to secure additional funds in the future in order to meet its obligations in these DoW Transaction Agreements, as well as the heightened sensitivity and complexity of contracting with a government entity, particularly in a high profile industry implicating national security, there can be no assurances that the authorization of and continued support for the DoW Transactions will not be modified, challenged or impaired in the future, which could have a material adverse effect on our business, results of operations and financial position and the price of our common stock.Risk factors (Item 1A)
California Surface Mining and Reclamation Act
subject tonamed as a riskUnder the California Surface Mining and Reclamation Act, we are generally obligated to restore property after it has been mined in accordance with regulatory standards and our approved mining plan.Risk factors (Item 1A)