Projects which boost Australia’s ability to extract and process critical minerals will be eligible for financial support through Export Finance Australia (EFA) including the Defence Export Facility.
Changes will also be made to allow projects to access dual funding through the EFA as well as the Northern Australia Infrastructure Facility (NAIF).
Australia has world-leading deposits of rare earth and critical minerals representing a substantial commercial opportunity, with the Federal Government looking to secure the future of rare earth and critical mineral projects, including those strategically important to defence end-use, with new financial options and a dedicated project facilitation office within the Department of Industry.
Minister for Resources and Northern Australia Matt Canavan said the new arrangements meant Australian companies would be able to maximise their access to existing government support to expedite new rare earth and critical mineral processing activities in Australia.
“To further facilitate the sector’s growth, a specialised new Critical Minerals Facilitation Office will be opened on 1 January 2020 to help proponents secure investment, financing and market access for critical mineral projects. The office will also support international cooperation to help diversify critical minerals supply chains.
“With the increasing global uptake of electric vehicles, smart phones and renewable energy, Australia is well placed to become an international powerhouse to supply critical minerals, and the Government is committed to developing world-leading projects which could help supply global markets.”
The government will also commit $4.5 million to fund critical minerals research by key Commonwealth scientific agencies
Minister Canavan will use high-level talks in the United States over the coming week to promote Australia as an emerging producer of critical minerals and a reliable global supplier of resources and energy.
He is travelling to the US for talks with senior members of the US Government and to meet executives of major mining, manufacturing and resources companies.
In March, Minister Canavan and Trade, Tourism and Investment Minister Simon Birmingham launched Australia’s Critical Minerals Strategy 2019, which focuses on investment, innovation and infrastructure and identifies 24 critical minerals that Australia could potentially supply to key trading partners.
Australia is one of the top five producers of critical minerals such as antimony, manganese, rare earths, and ilmenite and rutile – two titanium minerals – and is the second largest producer of rare earths, with 13 per cent of global production.
