GOVERNMENT INVESTS £71M IN DEVON TUNGSTEN MINE RESTART

The Government will invest up to £71m into the Hemerdon tungsten and tin mine in Devon to restart operations, Chancellor John Healey has announced. The funding from the National Wealth Fund comprises a £36m equity investment and up to £35m in lending to Tungsten West. The Government will secure the right to ringfence 50% of production for domestic use. Healey said the investment reflected Britain's need to develop critical mineral supplies as geopolitical tensions increase.

Tungsten is used in defence, aerospace, electronics, steel and next-generation energy sectors. The National Wealth Fund stated the mine holds the world's largest tungsten deposits. The Hemerdon mine ceased production in 2018 after its previous operator entered administration. Tungsten West, the current operator, faced financial difficulties; the company reported losses exceeding £10.3m to March 2024 and sought Government support after warning of insolvency risk in 2023. The National Wealth Fund said the investment would support approximately 350 jobs. Most global tungsten production originates from China; prices have risen since 2025 following Chinese export restrictions amid US tariff disputes.

Business Secretary Jonathan Reynolds described the investment as a "vote of confidence" in the UK's critical minerals sector. The funding builds on the National Wealth Fund's earlier backing of Cornish Metals to reopen the South Crofty tin mine in January 2025. Tungsten West chief executive Jeff Court said the mine represented a "world class, low cost and long life" resource that would generate long-term economic benefits for the south-west and underpin UK national interests through critical mineral production.