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From Vibranium Wiki:

One such instance was when the oil conglomerate Roxxon discovered that a small island in the South Atlantic had a foundation composed of vibranium. Due to this, Roxxon found it necessary to destroy the island and blew it up with bombs. Unable to absorb the force of the explosions, the vibranium was destroyed

Why exactly would a corporation find it necessary, never mind desirable, to destroy an enormous quantity of extremely rare, uber-useful, and, presumably, super expensive mineral (instead of, say, mining it ala Wakandians and selling to governments/other companies/arms dealers)?

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    The first person to utter "core competencies" gets a synergetic process-driven improvement lever thrown at them – DVK-on-Ahch-To May 31 '12 at 19:53
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The short version of the story is Roxxon discovers the vibranium and decides to illegally acquire it by pretending to be the U.S. military. This comes to the attention of Iron Man who, alongside the Submariner (after the standard superhero conflict, Iron Man vol 1, #121) discover the duplicity of Roxxon and try to bring them to justice.

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Roxxon, in addition to trying to claim the vibranium was dumping illegal toxic wastes and wanted to avoid prosecution. They mined the island in the event of discovery and when Iron Man and the Submariner destroy their operation, Roxxon blows up the island to hide their involvement. The explosion, however triggers a reaction in the vibranium and once it has absorbed all of the energy of the powerful explosions, the material destabilizes and is destroyed.

They did not WANT to destroy it. I don't believe they even thought they could. They just wanted to hide their illegal activities.

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