TETRA Technologies, Inc. (TTI) and California‑based Magrathea Metals, Inc. have entered into a term sheet to form a joint venture that will build a magnesium production facility at TETRA’s Evergreen Project near Stamps, Arkansas. The partnership will use Magrathea’s proprietary electrolytic process to extract magnesium from the same brine resource that TETRA is already developing for bromine and lithium production.
The Evergreen Project is slated to produce 75 million pounds of bromine annually, with operations expected to begin by the end of 2027. By integrating Magrathea’s technology, the joint venture will add a new critical‑mineral stream—magnesium—to the site, while also tapping into lithium and manganese that were identified in the brine in April 2025. Magrathea’s process is designed to be carbon‑neutral and more cost‑competitive than conventional magnesium smelting, positioning the facility as a potential cornerstone of a U.S. defense‑grade magnesium supply chain.
This transaction is a key pillar of TETRA’s “One TETRA 2030” strategy, announced on September 25, 2025, which aims to more than double revenue and triple adjusted EBITDA by 2030 through expansion into high‑growth end markets such as battery electrolytes and produced‑water desalination. The joint venture aligns with that goal by diversifying TETRA’s critical‑minerals portfolio beyond bromine and lithium and by creating a domestic source of magnesium, a metal designated by the U.S. government as critical for defense and industrial applications.
Magrathea has secured Defense Production Act Title III funding from the Department of Defense, including a $28 million Pentagon grant issued last year and additional $100 million in DOD funding. CEO Alex Grant emphasized that the partnership “will unlock the value created by our team over the past three years and move us from R&D to industrial co‑development.” TETRA President and CEO Brady Murphy noted that the collaboration “strengthens our One TETRA 2030 strategy and supports the U.S. initiative to secure a domestic supply of critical minerals.” Arkansas Governor Sarah Huckabee Sanders publicly endorsed the project, underscoring its alignment with state economic development goals.
The joint venture represents a significant operational milestone for TETRA, positioning the company to capture a share of the growing demand for magnesium in aerospace, automotive, and defense sectors. By leveraging existing infrastructure at Evergreen, the partnership is expected to reduce development costs and accelerate time‑to‑market, while the government funding provides a financial cushion for early‑stage commercialization. The collaboration also signals a broader industry shift toward cleaner, more sustainable production methods for critical minerals, potentially reshaping supply chains and strengthening U.S. strategic autonomy.
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