Rare earth metals miner MP Materials (MP 45.89%) announced a "transformational public-private partnership with the Department of Defense to accelerate U.S. rare earth magnet independence," sending its stock up 60% this morning. Now investors in other producers of metals, critical to national defense, are hoping they may be next in line.

Producers like who, you ask? Well, Energy Fuels (UUUU 16.10%) stock gained 15.2% through 11:25 a.m. ET today, as investors wonder whether the DoD might throw some money at uranium as well as at rare earths.

Image source: Getty Images.

Public-private partnerships for national security (and profit!)

DoD signed a 10-year supply agreement with MP, guaranteeing minimum prices and that it will buy all the magnets MP can produce, and making a $400 million investment in MP preferred convertible stock to boot -- effectively making the U.S. government MP's largest shareholder.

Bully for MP, you say. But why would Energy Fuels investors be excited about this?

Well, because in April, Interior Secretary Doug Burgum opined that the Trump administration might make investments in "critical minerals" as part of a new sovereign wealth fund that aims to both secure access to minerals critical to national security, and earn profit for taxpayers from these minerals' development.

DoD's investment in MP Materials appears to be the first evidence that this is actually going to happen. Energy Fuels might become the second.

Is Energy Fuels stock a buy?

I won't sugarcoat the fact that investors betting on this happening, though, are taking a bit of a gamble. Energy Fuels stock is not currently profitable, and it's burning cash at the rate of more than $100 million a year.

Still, analysts do expect Energy Fuels to turn profitable next year. Even if the government doesn't buy Energy Fuels stock, you might want to.