This article was originally published on Caucasian Knot.
Armenia’s reserves of rare earth elements are quite substantial, but U.S. interest in this sector is also driven by political considerations, which is why the memorandum was signed. Georgia’s reserves are even larger, yet no similar agreements with the United States exist there. Azerbaijan, meanwhile, does not have any separate rare earth element deposits.
On May 26, U.S. Secretary of State Marco Rubio and Armenian Foreign Minister Ararat Mirzoyan signed a Charter on Strategic Partnership between the two countries and initialed a framework agreement on the ‘Trump Route’ project. They also signed a framework memorandum on ensuring the supply of critical minerals and the extraction and processing of rare earth elements.
“The Trump Route for International Peace and Prosperity” (TRIPP) will connect the main territory of Azerbaijan with its exclave, Nakhchivan, via a corridor passing through the Syunik Province (Zangezur) region in southern Armenia. The route will then continue northward (toward Azerbaijan and Georgia) and westward (toward Turkey).
This route became a key element of the peace agreement signed between Armenia and Azerbaijan in Washington in August 2025, with the participation of President Donald Trump.
In the future, the route is envisioned to be integrated into the Trans-Caspian International Transport Route, which connects China with Europe.
The section passing through Armenian territory is 42 kilometers long.
The signing of the memorandum ‘On Ensuring Supplies in the Extraction and Processing of Critical Minerals and Rare Earth Elements’ between the United States and Armenia on May 29 was commented on for a correspondent of Kavkazsky Uzel by energy security expert Vahe Davtyan and geologist Samvel Hovakimyan.
The memorandum on the extraction and processing of minerals and rare earth elements between Yerevan and Washington should be viewed within the logic of US attempts to rapidly strengthen its presence in the region across logistical, energy, and raw material sectors, according to Vahe Davtyan.
“The document on minerals should also be viewed within the same logic. Today, there is fierce competition in the world for rare metals. They are essential for the production of chips, military technologies, artificial intelligence, and green energy. In this sense, Syunik, though not only Syunik, is becoming a zone of global interest,” he said.
Davtyan notes that Armenia must not become merely a source of raw materials.
“If we simply export the ore, while the entire technological and industrial chain remains outside the country, the economic effect will be minimal, and the political dependence will increase even further,” the expert emphasized.
Samvel Ovakimyan lists the minerals that Armenia possesses.
“Armenia possesses significant geological potential regarding rare and critical metals. To date, the presence of the following elements in the republic’s subsoil is reliably known: rhenium, selenium, tellurium, and bismuth. These metals are present in Armenia’s deposits, specifically as associated components in copper-molybdenum ores. Furthermore, magmatic rock complexes containing rare earth elements have been identified in Armenia, which confirms the potential of these deposits for high-tech industry,” he said.
According to Ovakimyan, Armenia’s underground resources extend far beyond traditional copper-molybdenum assets.
“We are dealing with a rich spectrum of critical metals. However, for them to become industrially significant, modern separation and purification technologies are required. And this requires attracting international expertise and investment,” he noted.
The signing of a rare earth metals agreement between the United States and Georgia is a matter of time
The situation regarding the extraction of rare earth metals in Georgia was commented on for the ‘Caucasian Knot’ correspondent by Georgian political scientist Mamuka Areshidze and geologist Alexander Tvalchrelidze, Vice-President of the Academy of Natural Sciences of Georgia.
Georgia and the United States do not have such an agreement, said Mamuka Areshidze.
“Georgia does not have an agreement in the field of extraction and processing of critical minerals and rare earth elements like the one signed between Armenia and the United States. There are critical minerals in our country, but the US has not shown this kind of interest yet,” he said.
However, in his opinion, this is only a matter of time.
“The US shows interest in all countries where such minerals exist. Armenia was no exception in this regard. This is a result of US global policy. I think that in the near future, Georgia and Azerbaijan will also come into America’s spotlight, because these minerals are very much needed by the US and its companies,” he stated.
Alexander Tvalchrelidze confirmed that Tbilisi and Washington do not cooperate in this field.
“Yes, Georgia and the US do not have such an agreement. But I must say that there are more minerals in Georgia than in Armenia. Far more. All of them are in pristine condition. Georgia does not engage in their extraction, processing, or export,” he said.
According to him, the signing of the agreement between Armenia and the US in the field of extraction and processing of critical minerals and rare earth elements is an exclusively political gesture.
“There is no economic factor here, only a political one. Or, if the US is truly planning to look for something in Armenia in terms of minerals, then it can be said that Mr. Trump has very poor advisors for them to take such a step. I will repeat once more that there are far more minerals in Georgia – gallium, germanium, arsenic, antimony, and many others. But currently, copper and gold are the main metals being mined in Georgia,” he noted.
In Azerbaijan, rare earth metals are present in the form of impurities
There are no separate deposits of rare earth metals in Azerbaijan, economic observer for the Turan analytical service Toghrul Juvarly and member of the NGO Coalition for Transparency in Extractive Industries Fuad Hasanov told the ‘Caucasian Knot’ correspondent.
Mineral reserves in Azerbaijan were well researched by geologists back in the Soviet era, particularly in the period after World War II, and no deposits of rare earth metals were discovered on an industrial scale, Toghrul Juvarli said.
In certain ore regions, for example, in the Gadabay deposit, the presence of such elements was recorded; however, their concentrations are insufficient for separate industrial extraction.
However, according to him, rare earth elements are present in the country’s subsoil in the form of dispersed impurities within copper, gold, and polymetallic ores.
“In certain ore regions, for example, in the Gadabay deposit, the presence of such elements was recorded; however, their concentrations are insufficient for separate industrial extraction,” the expert noted.
As Juvarli emphasized, a specialized technological base for the deep processing and separation of ores and the extraction of rare elements from them has not currently been developed in Azerbaijan. However, in his view, the potential for further research and development remains.
“The development of geological exploration and the comprehensive processing of copper-gold and polymetallic raw materials in Azerbaijan could increase the importance of rare earth elements as associated components. An additional factor is the steady global growth in demand for rare earth metals, driven by the development of high-tech industries, including electronics and renewable energy,” Juvarli said.
In his opinion, prospects for the extraction of rare elements may open up with the industrial development of the polymetallic Filizchay deposit by the state enterprise Azergold, which is expected in the coming years.
“This company is already engaged in the development of gold ore deposits and the production of gold bullion, possesses certain technological experience, and could potentially extract rare elements from ores in the future. But I repeat, this will be a byproduct during the extraction of metals — copper, lead, and zinc,” Juvarli stated.
He specifically emphasized that with over 110 million tons of probable ore reserves, the Filizchay ore field is among the top ten largest polymetallic deposits in the world.
When asked which specific types of rare earth metals could be mined in Azerbaijan, the analyst, citing geological research, pointed to the possibilities of industrially extracting cadmium, indium, and gallium, which are used in electronics, solar energy, and semiconductor manufacturing.
Answering the question of whether foreign companies will be interested in rare earth elements in Azerbaijan, Juvarli stated that “this is possible in the context of regional integration.”
“Since the potential for extracting rare earth metals in Azerbaijan is limited and establishing enterprises for final product manufacturing is unlikely to be economically viable, it is possible to direct primary processing products to other countries in the region—for example, to Kazakhstan, which possesses significant reserves of rare earth metals and where such enterprises could potentially be opened,” Juvarli explained.
Fuad Hasanov also noted the absence of separate deposits of rare earth metals on an industrial scale in Azerbaijan; however, rare elements may be present as impurities in the ores of polymetallic deposits. According to him, with the restoration of Azerbaijan’s territorial integrity, opportunities are opening up for deeper research into the mineral-rich Gizilbulag gold-copper deposit and the Damirli copper-molybdenum deposit in the Aghdara district.
“Currently, geochemical mapping and laboratory analysis of samples are being conducted, especially in territories cleared of mines,” the expert noted.
In addition, he continued, according to data from the Institute of Geography of ANAS (the National Academy of Sciences of Azerbaijan), during studies of geological rocks in the Kalbajar and Lachin districts, elements of rare earth metals were discovered that are of major importance for high-tech industries. In particular, Hasanov emphasized, this refers to the rare earth elements neodymium, lanthanum, cerium, and terbium. According to research data, in certain local areas, their concentration exceeds the average crustal abundance by two to four times.
He also noted the potential for extracting rare earth metals at the Filizchay deposit, located on the slopes of the Greater Caucasus in the Zagatala-Balakan zone.
“In addition to the main metals, this large polymetallic deposit contains reserves of rare and critically important metals — indium, cobalt, bismuth, strontium, gallium, cadmium, and others. They could potentially be developed on an industrial scale,” Hasanov said.
“According to him, the industrial development of the deposit will begin within the next two to three years, where primarily zinc and lead, as well as copper, gold, and silver will be produced, while rare earth elements are intended to be extracted as byproducts. Hasanov emphasized that industrial production of rare earth metals is not yet being carried out in Azerbaijan.
According to the expert, the companies ‘AzerGold’ and ‘Anglo Asian Mining,’ which are engaged in gold mining in Azerbaijan, are also investigating the possibilities of extracting rare elements from ore processing waste. According to him, modern technologies allow for the extraction of microscopic amounts of metals using chemical methods.
Touching upon international cooperation in this field, Hasanov stated that Azerbaijan is establishing a partnership with Uzbekistan. In particular, a program for the joint exploration of rare and critical metals and geological well drilling is being prepared. Azerbaijan could use rare metals in the development of ‘green energy,’ including the production of wind turbines and batteries. However, as Hasanov noted, according to international classification, Azerbaijan is not included in the list of countries with rare earth metals.
“According to data from the USGS — the United States Geological Survey — Azerbaijan is not yet included in the list of countries with confirmed rare earth element reserves. The reason is the absence of separate, independent deposits of rare earth metals. In the country, they are not found as distinct ore bodies, but rather as accompanying elements in other deposits where gold, copper, iron, and polymetals are mined,” the expert stated.
Regarding the estimation of approximate reserves of rare earth metals in Azerbaijan, the expert noted that at the current stage, it is impossible to state any estimated figures as this matter has not been sufficiently studied. Overall, according to him, limited information has been provided to the public in recent years regarding new geological surveys of deposits and discovered recoverable reserves.
USGS: Rare earth elements have been discovered in the region in the form of geological manifestations
According to data from the US Geological Survey’s “Global Rare Earth Element Occurrence Database” published in 2022, referenced by Fuad Hasanov, occurrences of rare earth elements and critical minerals have been recorded in the South Caucasus. However, their level of industrial study and economic significance differ significantly. The USGS emphasizes that the existence of geological occurrences does not yet mean the presence of proven reserves suitable for large-scale extraction.
American geological data regarding Armenia and Georgia primarily confirms the existence of promising mineralized zones associated with copper-molybdenum and polymetallic ores. In these zones, rare and critical elements may exist as associated components. Nevertheless, in the USGS’s annual “Mineral Commodity Summaries 2025” review published in January 2025, neither Armenia nor Georgia is individually listed as a country with industrially proven global rare earth element reserves.
Azerbaijan is also not included in the list of countries with industrially proven rare earth element reserves, according to USGS international statistics. However, American geologists do not rule out that critical and rare metals could exist as associated components within copper, gold, and polymetallic ores. This makes future geological exploration work promising, but for now, it provides no basis to speak of an established industry for rare earth metal extraction.
When commenting on the news about the Armenian side’s refusal to include Russians in the parliamentary election observation mission, Facebook users assessed this as a sign of deepening relations among South Caucasus countries and Armenia moving out of the influence of the Russian government.
“The course taken by Pashinyan, then Georgia—and peace will come to the South Caucasus, Caucasians will together find an economic way out of the situation. We have our oil, our gas, the rest we will create,” Zahid Faramazov believes.
“It is very important for Armenia to have real elections: choosing Pashinyan is a window to Europe and Asia, or repeating the same mistakes again and falling into total isolation and dependence on Russia,” Ali Gambarov noted.
“The fate of Transcaucasia is being decided in Armenia right now,” Robert Djo replied to him.
“Hold on, Armenia! Do not give up! All sane people are with you!” Alexander Wolff wrote.
However, not all commentators consider the steps of the Armenian authorities to be correct.
“Russia should draw conclusions from the behavior of Armenian citizens and authorities. Therefore, it is necessary to stop providing resources and restrict the path to Russia. Let them be left one-on-one with the Turks. For us, however, this opens up new borders and opportunities,” Anar Hajiyev writes.
“You cannot sit on two chairs. We are going to the European Union, but we take prosperity from you,” Ekaterina Shcheglova commented on the information regarding the course of the Armenian authorities.
