Critical Minerals and Oncology Innovation: A Deep Dive into NioCorp and Atossa Therapeutics

The U.S. is on the cusp of a dual revolution: one in critical minerals and another in oncology. For investors seeking exposure to high-growth, capital-efficient sectors, NioCorp (NYSE: NIO) and Atossa Therapeutics (NASDAQ: ATOS) stand out as compelling small-cap plays. Both companies are leveraging macro tailwinds—decarbonization and healthcare innovation—to position themselves as first-movers in markets with explosive demand.

NioCorp: The Scandium Gold Rush

NioCorp’s Elk Creek Critical Minerals Project in Nebraska is poised to disrupt the global scandium market. By 2026, the project is expected to produce over 100 tonnes of scandium annually—surpassing current global production of 25 tonnes [1]. This output would make the U.S. the “Saudi Arabia of Scandium,” a critical mineral essential for lightweight, high-strength aluminum alloys used in aerospace, defense, and electric vehicles [2].

The strategic value of scandium is amplified by geopolitical tensions. China currently dominates 80% of the rare earths market and has imposed export restrictions on strategic materials [5]. NioCorp’s project, backed by a $10 million Defense Production Act award and potential $800 million in Ex-Im Bank financing, is building a domestic mine-to-manufacture supply chain [3]. This not only insulates the U.S. from supply shocks but also aligns with decarbonization goals, as scandium enables lighter, more energy-efficient vehicles and aircraft.

Atossa Therapeutics: A New Era in Breast Cancer Treatment

In oncology, Atossa Therapeutics is advancing (Z)-endoxifen, a next-generation Selective Estrogen Receptor Modulator/Degrader (SERM/D), for ER+/HER2- metastatic breast cancer. The drug’s dual mechanism—estrogen receptor inhibition and degradation, plus direct targeting of oncogenic PKCβ1—positions it as a breakthrough for patients with treatment-resistant tumors [4].

Recent FDA feedback has accelerated Atossa’s path to an IND submission by Q4 2025. The agency validated the company’s dose optimization strategy and agreed that existing data suffice to bypass additional toxicity studies [3]. This streamlined pathway is critical for a Phase 2 global, multicenter trial managed by CRO PSI, with topline results expected in 2026 [2]. Early data from the I-SPY2 trial showed a 95% completion rate and a 50% reduction in Ki-67 levels (a cancer proliferation marker) by Week 3 [1]. These results suggest (Z)-endoxifen could outperform existing endocrine therapies like exemestane and goserelin.

Atossa is also exploring neoadjuvant and adjuvant settings, as well as breast cancer prevention, broadening its pipeline’s reach [5]. With over 700 subjects already treated, the drug’s favorable tolerability profile adds to its appeal in a market where side effects often limit treatment adherence.

Strategic Positioning and Capital Efficiency

Both NioCorp and Atossa exemplify capital-efficient growth. NioCorp’s $10 million DPA award and Ex-Im Bank financing reduce upfront costs, while its first-mover advantage in scandium creates a moat against competitors. Similarly, Atossa’s FDA alignment and CRO partnership with PSI minimize trial delays and costs, enabling a rapid pivot to Phase 3 if Phase 2 results are positive.

These companies are not just riding trends—they’re shaping them. Scandium demand is projected to grow 360% by 2026 [2], while the global breast cancer therapeutics market is expected to exceed $20 billion by 2030. For investors, the combination of geopolitical tailwinds, unmet medical needs, and scalable business models makes NioCorp and Atossa standout plays in sectors where the U.S. is redefining its strategic edge.

Source:
[1] NioCorp Can Make America the "Saudi Arabia of Scandium" [https://www.morningstar.com/news/accesswire/1057270msn/niocorp-can-make-america-the-saudi-arabia-of-scandium-ceo-mark-smith-tells-fox-business-maria-bartiromo]
[2] Scandium [https://www.niocorp.com/scandium/]
[3] U.S. Department of Defense Awards up to $10 Million to NioCorp's Subsidiary [https://www.niocorp.com/u-s-department-of-defense-awards-up-to-10-million-to-niocorps-subsidiary-elk-creek-resources-corp/]
[4] Atossa Therapeutics Announces Positive FDA Feedback [https://www.biospace.com/press-releases/atossa-therapeutics-announces-positive-fda-feedback-advances-toward-ind-for-z-endoxifen-clinical-program-in-er-her2-metastatic-breast-cancer]
[5] NioCorp's Strategic Offering: Seizing the Critical Minerals Opportunity [https://www.ainvest.com/news/niocorp-strategic-offering-seizing-critical-minerals-opportunity-geopolitical-tensions-2507/]