Hertha Metals has closed a $133.65 million Series A to build Hertha Chalyx, a plant planned to produce high-purity iron for U.S. rare-earth magnet makers.
The federal government covered nearly half the round. They invested $65 million in equity through their Industrial Base Analysis and Sustainment (IBAS) program, in partnership with the Economic Defense Unit. Khosla Ventures and Doerr Capital led the round together.
The Missing 70%: NdFeB magnets are roughly 70% high-purity iron by weight. According to the company, the U.S. imports almost all of that iron and has no domestic capacity to make it.
Hertha says Chalyx will close that gap, creating a supply chain that runs from mining to manufacturing entirely on American soil. The timing fits a push for U.S.-made magnets that is growing with the Defense Federal Acquisition Regulation Supplement (DFARS).
The plant is planned to produce 10,000 tonnes of steel-grade and magnet-grade high-purity iron.
Blast Furnace, Skipped: Hertha's Flex-HERS process swaps the blast furnace method, which relies on coal and multiple steps, for a single continuous reactor. It handles any grade of iron ore and uses natural gas or hydrogen as the reductant. The company claims:
25% lower production costs than conventional blast furnaces
50% lower emissions using natural gas
Up to 98% lower emissions using hydrogen
Those are company figures, so the real test is whether they hold up at Chalyx's scale.
Proving It in Texas: Hertha already runs a 360-ton-per-year demonstration facility in Conroe, Texas. It's also in active supplier qualification with major U.S. rare-earth magnet producers, so potential buyers are already kicking the tires.
The company says Chalyx breaks ground this year, and 2026 has less than three months left on the clock.
🥾Want to advertise in TheJobWalk? Learn More🥾
