Australian government invests in critical minerals sector

The Australian Government has announced more than $243 million in support for four projects in Australia’s critical minerals sector. The grants, under the Collaboration Stream of DISER’s $1.3 billion Modern Manufacturing Initiative, will cement Australia’s place in the rapidly growing critical minerals, electric vehicle and battery markets worldwide and eventually create more than 3,400 jobs.

Australia is already a global leader in resources technology and can build greater capacity in critical minerals processing by leveraging its vast natural resources, huge investments in R&D and proximity to the growing global market, says Minister for Industry, Energy and Emissions Reduction Angus Taylor.

The grants program includes:

• $119.6 million for Pure Battery Technologies’ $399 million Western Australian pCAM Hub, in partnership with Poseidon Nickel, to build an integrated nickel manganese cobalt battery material refinery hub in the Kalgoorlie region.
• $49 million for a $367 million project led by Australian Vanadium, to process high-grade vanadium from its Meekatharra mine in WA and transported to its Tenindewa plant, powered by clean hydrogen from partner ATCO Australia. This highly sought-after critical mineral will then be transformed into energy-storing batteries to fuel the growing domestic and overseas market
• $30 million for Arafura Resources’ flagship Nolans Project near Aileron, in Central Australia, the first rare earth separation plant in Australia of its kind and only the second outside China. The $90.8 million project, located in the Northern Territory, will leverage Australia’s mineral processing expertise to develop rare earth separation technology not currently available here now
• $45 million for Alpha HPA’s $330 million project with Orica to construct a high purity alumina production facility near Gladstone that will help meet the rapidly expanding demand for lithium-ion batteries and LED lights

Prime Minister Scott Morrison said the projects were key to securing manufacturing in Australia and the thousands of jobs that come with those industries.

“These projects are about manufacturing the products and materials Australians need and the world needs, by making them right here at home,” he said. “We’re helping grow the local critical minerals processing and clean energy industries and locking in the future of those industries by backing manufacturing projects in Australia.”

Minister Taylor said these projects would help Australian companies capture even more parts of the global supply chain, while at the same time more relevant in their home market.

“The things we use every day like our smartphones, computers and rechargeable batteries need to be made with critical minerals. They are also needed to make solar panels, electric cars, defence technology and many other high-tech applications,” he added.

“Australia is lucky to have some of the largest reserves of the critical minerals and metals which drive the modern global economy. But China currently dominates around 70 to 80 per cent of global critical minerals production and continues to consolidate its hold over these supply chains. This initiative is designed to address that dominance.

“These projects are not only game-changers for the local region with the creation of new jobs, they will also open up incredible export opportunities.”