A deeper look at acidspar, semiconductor chemistry, and the global supply imbalance shaping U.S. industrial resilience
By The Craig Bushon Show Media Team
Ares Strategic Mining has commenced mining operations and ore stockpiling at its Lost Sheep Fluorspar Mine. On its surface, this appears to be a routine resource update. Strategically, it is something else entirely.
If sustained at commercial scale, this operation represents the only currently operating primary fluorspar mine in the United States.
That distinction matters.
Understanding Fluorspar as a Strategic Mineral
Fluorspar (calcium fluoride) is not a decorative stone. It is designated by the U.S. government as a critical mineral because it feeds directly into industrial chemistry chains that support steelmaking, aluminum production, nuclear fuel processing, refrigerants, specialty polymers, and—most importantly—hydrofluoric acid production.
Hydrofluoric acid (HF) is the hinge point.
Acid-grade fluorspar (acidspar) is refined to produce hydrofluoric acid. High-purity hydrofluoric acid is then used in semiconductor fabrication, specifically for wafer cleaning and etching processes that shape microscopic circuitry layers.
The chain looks like this:
Acidspar → Hydrofluoric Acid → Wafer Etching & Cleaning → Semiconductor Chips → Defense, Infrastructure, Aerospace, Communications
That is not abstract theory. It is supply chain architecture.
Modern radar systems, satellite communications, avionics, secure communications platforms, missile guidance systems, and advanced computing infrastructure all rely on semiconductors. Semiconductor fabrication, in turn, relies on high-purity chemical inputs—including hydrofluoric acid.
If the upstream mineral is constrained, the downstream systems are indirectly constrained.
Global Production: A Concentration Risk
According to recent U.S. Geological Survey data, global fluorspar production is highly concentrated.
Approximate 2024 world production shares:
China: ~62%
Mexico: ~13%
Mongolia: ~13%
South Africa: ~4%
Spain, Iran, Vietnam, Germany, Thailand, Pakistan and others: small single-digit shares combined
When one country controls more than half of global output, the market inherits geopolitical exposure.
China has previously demonstrated willingness to restrict exports of strategic minerals during periods of political tension. Even absent formal restrictions, market leverage exists when supply is concentrated.
Meanwhile, the United States has reported near-total net import reliance for fluorspar in recent years.
That means:
If imports are disrupted, domestic supply is limited.
If shipping lanes tighten, prices spike.
If geopolitical conflict escalates, industrial tempo is vulnerable.
This is precisely how economic leverage becomes strategic leverage.
Why Acidspar Is the Real Strategic Pivot
Not all fluorspar is equal.
Metallurgical-grade fluorspar (metspar) supports steel and aluminum production. That alone has defense implications.
But acid-grade fluorspar (acidspar) is the higher-value strategic layer because it feeds hydrofluoric acid production.
Hydrofluoric acid is used to:
• Etch silicon wafers in chip fabrication
• Clean semiconductor surfaces
• Manufacture fluoropolymers and advanced refrigerants
• Process uranium and specialty alloys
Semiconductor fabs cannot operate without high-purity chemical inputs. Industrial policy focused on domestic chip production—whether through federal incentives or private capital expansion—does not eliminate upstream mineral dependence unless chemical feedstocks are secured domestically.
If America builds fabrication plants but remains import-dependent on upstream acidspar inputs, vulnerability simply shifts one step upstream.
That is why a domestic fluorspar source is not merely symbolic.
It introduces optionality.
Where Lost Sheep Fits Into Industrial Resilience
If the Lost Sheep Mine sustains production and expands toward acidspar output, it creates a domestic node in a supply chain currently dominated by foreign sources.
This does not make the United States self-sufficient overnight.
It does:
• Reduce single-point-of-failure risk
• Provide supply diversification
• Improve bargaining leverage
• Shorten portions of the supply chain
• Support chemical feedstock security
National security in the 21st century is not only about troop deployments or weapons inventories. It is about whether the industrial base can sustain output under pressure.
Supply chain fragility does not announce itself loudly. It shows up during crisis, when substitution options are limited.
Fluorspar sits quietly upstream of:
• Steel production
• Aluminum refining
• Lithium battery chemistry
• Semiconductor fabrication
• Nuclear material processing
When a mineral touches that many strategic sectors, it ceases to be “just a commodity.”
It becomes infrastructure.
Industrial Policy Without Upstream Capacity Is Incomplete
The United States is investing heavily in reshoring advanced manufacturing. Semiconductor facilities, EV battery plants, advanced materials labs, and defense modernization programs all assume stable chemical and mineral inputs.
But industrial capacity cannot float above geology.
You either mine the inputs domestically, or you depend on someone else’s geology.
For decades, cost efficiency drove mineral sourcing decisions. Environmental permitting, labor costs, and global trade efficiency made imports economically attractive.
Strategic reality has shifted.
Economic security and national security are converging.
Domestic fluorspar production—even at modest levels—represents incremental rebuilding of upstream capability that had effectively disappeared.
From Rock to Radar Systems
The phrase is not rhetorical.
A rock extracted from Utah, refined into acidspar, processed into hydrofluoric acid, used in semiconductor fabrication, integrated into radar electronics, installed in defense systems—that is a continuous chain.
Break the chain upstream, and the downstream systems slow.
In a world where supply chains are increasingly weaponized, upstream minerals are leverage points.
The Lost Sheep Fluorspar Mine is not the entire solution to America’s import reliance. But it represents something the country has lacked for years: domestic primary fluorspar production capacity.
In strategic terms, that is a meaningful shift.
Bottom line: Critical mineral independence is not achieved in headlines. It is built incrementally, mine by mine, refinery by refinery, chemical plant by chemical plant. Fluorspar may not capture public attention—but it sits closer to the heart of modern defense and semiconductor infrastructure than most Americans realize.
Disclaimer:
This article is for educational and informational purposes only and does not constitute financial, investment, or legal advice. Readers should conduct their own independent due diligence before making any investment decisions. In the interest of full disclosure, members of The Craig Bushon Show Media Team are investors in companies discussed.
