The American mining company NioCorp Developments has fallen victim to a cyberattack, resulting in the theft of approximately $500,000. The breach occurred on February 14 and is believed to be a classic case of Business Email Compromise (BEC).
The company reported the incident to the Securities and Exchange Commission (SEC), stating that it identified the breach independently and promptly notified financial institutions and law enforcement authorities. NioCorp also confirmed that measures are being taken to investigate, contain, and mitigate the impact of the incident.
While the company currently believes that the financial loss is the only consequence, the investigation remains ongoing. Experts are examining whether the attackers gained access to other confidential data or critical systems. The official statement also notes that it is still unclear whether the cyberattack will have a significant impact on the company’s financial standing or operational results.
NioCorp is developing a mining project in Nebraska, focused on extracting niobium, scandium, and titanium—all of which are classified as strategically vital to U.S. industry:
- Niobium is used in the aerospace and automotive industries, as well as in MRI machines and particle accelerators, due to its superconducting properties.
- Scandium, a rare-earth metal, strengthens aluminum alloys used in aerospace manufacturing and high-end bicycle production.
- Titanium, despite its widespread recognition, remains expensive and challenging to extract due to limited deposits and geopolitical factors affecting supply chains.
In the previous fiscal year, which ended on June 30, 2024, NioCorp Developments reported a net loss of $11.4 million, a significant reduction from the $40.1 million loss in 2023. Consequently, the theft of $500,000 could be a substantial setback, representing approximately 4.5% of the company’s annual losses.
