Critical Minerals Report Overview for November 2024
Commissioner of the Environment and Sustainable Development Releases Audit Report on Natural Resources Canada’s Critical Minerals Strategy
A report released by Commissioner of the Environment and Sustainable Development Jerry V. DeMarco found that Natural Resources Canada did not do enough analysis to weigh the benefits of increasing Canada’s supply of critical minerals against impacts on the environment and Indigenous communities, which have been and continue to be affected by mining activities.
In 2022, the federal budget allocated Natural Resources Canada up to $3.8 billion over 8 years to support the implementation of the Canadian Critical Minerals Strategy, which aims to increase the supply of critical minerals in a responsible and sustainable way. These resources are critical for supporting the transition to a net-zero economy. However, increased mining activities to secure critical minerals could result in adverse impacts on climate, biodiversity, and Indigenous communities.
The audit found that Natural Resources Canada’s indicators for measuring results and progress were incomplete. For example, under the strategy’s objective of advancing reconciliation with Indigenous peoples, there were indicators and targets for economic reconciliation such as revenue sharing and job opportunities, but few indicators for social aspects, such as to measure the protection of culturally significant sites or improvements to local living conditions.
“Moving forward, Natural Resources Canada will have to fully assess risks and impacts of the Canadian Critical Minerals Strategy to help maximize the strategy’s benefits while minimizing adverse effects from increased mining activities,” said Mr. DeMarco. “Otherwise, the benefits of advancing technology in support of the transition to net-zero emissions could be offset by adverse effects on climate, biodiversity, Indigenous communities, and future generations.”
The 2024 Reports of the Commissioner of the Environment and Sustainable Development, Report 6—The Canadian Critical Minerals Strategy is available on the Office of the Auditor General of Canada website.
Government of Canada Boosts Regional Partnership to Prepare for Major Potash development in Saskatchewan
Canada is the largest producer and exporter of potash in the world, with all of our country’s active potash production located in Saskatchewan. Successfully advancing major new potash
developments depend on the important role communities play in supporting the growth that comes with significant mining investments.
The Honourable Dan Vandal, Minister for PrairiesCan, announced a $500,000 investment for the Sylvite Four-Six Regional Development Partnership (S4-6). S4-6 brings together municipal and Indigenous communities in East Central Saskatchewan to prepare for the rapid growth the region expects as a result of BHP’s potash mine near Jansen, Saskatchewan. The group represents a unique partnership between urban and rural municipalities and Indigenous communities, with support from federal and provincial governments and BHP.
BHP’s Jansen mine is the largest single investment in Saskatchewan’s history. The mine, set to begin operations in 2026, will bring hundreds of jobs to the region underlining the need for new housing, infrastructure, childcare, and training to support families, workers and businesses moving to region.
This initiative is a prime example of achieving economic reconciliation, with Indigenous and non-Indigenous communities coming together to ensure rural, remote and Indigenous communities share in the planning for, and prosperity from, new economic growth.
These funds build on recent investments from BHP of $500,000 and the Government of Saskatchewan of $250,000.
Canada Invests in Clean Energy and Critical Minerals at Mineral Resources Review 2024 Conference
The Government of Canada is supporting Canadian utilities and system operators that are integrating clean energy solutions to meet the demands of increased electrification at the least cost to ratepayers. These measures are enabling economically and environmentally sustainable energy growth.
While attending the Minerals Resources Review 2024 conference in St. John’s, the Honourable Jonathan Wilkinson announced an investment of over $660,000 through the Smart Renewables and Electrification Pathways Program (SREPs) to support the Labrador West Transmission Study, which will help expand transmission infrastructure to support mining in Labrador West.
The funding announced will:
- Help Newfoundland and Labrador Hydro upgrade a 735-kilovolt transmission line between Churchill Falls and Labrador West;
- Facilitate existing and potential iron ore and critical minerals projects in the region; and
- Increase current access to hydroelectricity and, potentially, future access to wind energy.
Minister Wilkinson also took the opportunity to highlight $1 million in funding that has been provided through the Critical Minerals Geoscience Data (CMGD) initiative to the Geological Survey of Newfoundland and Labrador. This funding will:
- Generate new public geoscience data to support the exploration and sustainable development of critical minerals (including cobalt, copper, nickel and platinum) in the region; and
- Help position Newfoundland and Labrador mining projects as providers of choice for the minerals that are key to clean technologies such as solar panels and electric vehicle batteries.
These investments are a direct result of the collaborative work between the Government of Canada and the Government of Newfoundland and Labrador through the Canada-Newfoundland and Labrador Regional Energy and Resource Table, which released a joint Collaboration Framework on March 20, 2024, to advance the top economic priorities for a low-carbon future in the province’s energy and resource sectors.
Nearly $330 Million for Bécancour Port and Industrial Park: A Strategic Investment for the Mauricie Battery Industry
The federal government is investing in strengthening the country’s supply chains and increasing opportunities for our companies to expand into global markets. These efforts are helping to make life more affordable for Canadians and Quebecers.
The President of the Treasury Board and Minister of Transport, the Honourable Anita Anand, and the Minister of Innovation, Science and Industry, the Honourable François-Philippe Champagne, announced a federal investment of $163.8 million for a project at the Bécancour Port and Industrial Park, in partnership with the Government of Québec, for a total investment of up to $327.6 million. The project includes the refurbishment and expansion of port infrastructure, the addition of storage capacity and other measures to improve port access and fluidity in the Bécancour Waterfront Industrial Park.
These improvements will reduce congestion, optimize storage space and diversify the Park’s activities. They will also enable the site to meet the needs of new and emerging markets, notably the battery industry, a strategic sector for the economic future of Quebec and Canada.
Thanks to this investment, the port will be better equipped to support the rapid growth of industries linked to batteries and other green technologies. This project will reinforce Bécancour’s position as a key hub for the battery industry in North America, contributing to Canada’s energy transition and job creation in the Mauricie region.
Canada to Unlock Critical Minerals Development in Northwest Territories with New Funding
Investments in critical minerals infrastructure are essential to enable Canada to seize the enormous economic opportunity presented by the low-carbon economy and to capitalize on our rich mineral resources. Canada is well positioned to be a global leader and a first-class producer of a wide variety of critical minerals that are essential to powering the clean economy, including lithium and copper, and to create good jobs and support economic opportunities across critical mineral value chains — from mining to processing, manufacturing and recycling.
MP Michael McLeod, on behalf of the Honourable Jonathan Wilkinson, Minister of Energy and Natural Resources, along with the Honourable Caroline Wawzonek, Minister of Infrastructure for the Northwest Territories, announced up to $25 million in infrastructure funding, pending final due diligence, to the Government of Northwest Territories for its Taltson Hydro Expansion Project. This funding would be provided through the federal government’s Critical Minerals Infrastructure Fund (CMIF). The project is in partnership with Indigenous governments, including the Akaitcho Dene First Nations, the Northwest Territory Métis Nation, and the Salt River First Nation. This partnership-based approach ensures that these Indigenous governments play a key role in shaping the project’s direction.
The Government of Northwest Territories plans to complete pre-construction milestones for the Taltson Hydro Expansion Project to build a new 60-megawatt generation facility near the existing Taltson Hydro Facility south of Great Slave Lake, as well as a 230-kilovolt transmission line connecting the Taltson grid with the Snare hydro system grid north of Great Slave Lake. Expansion of the Taltson system and connection to the North Slave region would enhance the Northwest Territories’ green energy capacity and reliability, significantly reducing the region’s future greenhouse gas emissions and providing grid connection opportunities for multiple critical minerals projects and communities in both the North and South Slave regions. Pending final due diligence, Natural Resources Canada has conditionally approved an investment of up to $25 million under the CMIF for this project.
The CMIF is a key program under the Canadian Critical Minerals Strategy to address infrastructure gaps, enable critical minerals production and connect resources to markets through various clean energy, electrification and transportation infrastructure projects. Additional funding decisions for projects under the CMIF to further critical minerals infrastructure development expected in the coming months.
These new critical minerals projects, alongside investments toward clean energy projects in rural and remote Indigenous communities, highlight the Government of Canada’s partnership with the Northwest Territories through the Regional Energy and Resource Tables (Regional Tables). The Northwest Territories joined the Regional Tables process in 2022 as a way for the two levels of government, with Indigenous partners, to work more closely together to identify and accelerate the tremendous opportunities in the low-carbon economy. To get there, Canada and the Northwest Territories — in collaboration with Indigenous partners and with the input of key stakeholders — are developing a collaboration framework that will lay out joint actions that can be taken in the short and medium term to build tomorrow’s low-carbon economy. The collaboration framework will be released in 2025.
Critical minerals are essential components in products used for clean energy technologies such as electric vehicles, electrical transmission lines and batteries. Canada’s mining sector provides many of the building blocks of clean technologies, including lithium and copper, needed to fight climate change and build a clean economy.
Ontario Supporting Recovery of Residual Metals and Minerals
The Ontario government is introducing a new regulation under the Mining Act that would make it easier to recover residual metals and minerals from mine waste that could be found at operating, closed or abandoned mine sites. This would benefit the province’s mining sector by encouraging innovation through advanced technologies to unlock potential economic value from materials previously viewed as wastes while creating jobs.
“This regulation is the first of its kind in Canada and would provide Ontario’s mining sector with new opportunities by helping position the province as a global leader of responsibly sourced metals and minerals,” said George Pirie, Minister of Mines. “By having a dedicated pathway to the recovery of minerals, our government is fostering innovation, sustainable mining practices and economic growth, while ensuring health, safety and protection of the environment.”
Mining waste consists of tailings, waste rock and other byproducts left over from the extraction of metals like nickel, copper, and gold. That waste may contain small amounts of critical minerals like lithium, platinum and cobalt previously considered uneconomical to recover. Those critical minerals are crucial to technologies such as electric vehicle batteries, smartphones and laptops.
The Recovery of Minerals regulation is among the more than 60 initiatives in the 2024 Red Tape Reduction package. The regulation would provide sufficient flexibility to allow for the reprocessing of mine waste without the need for a full closure plan or mining lease for public land projects, while ensuring health, safety and environmental protection. It would also streamline the applications process for permits, while ensuring health, safety and environmental protection.
“This legislation, part of our Fall 2024 Red Tape Reduction package, demonstrates our commitment to fostering innovation and creating opportunities in critical industries like mining,” said Mike Harris, Minister of Red Tape Reduction. “Since 2018, our red tape reduction initiatives have saved over $1 billion and 1.5 million hours annually, helping businesses thrive while maintaining high safety and environmental standards.”
The Recovery of Minerals regulation does not exempt projects from other provincial or federal requirements and requires recovery permit applicants to prepare a Recovery and Remediation Plan as part of the application process. Any recovery permit holder would need to ensure that their recovery activities follow all applicable public health, safety and environmental legislation and/or regulations. More details on the permitting process for recovery will be made available before launch.
Once the new regulation comes into force on July 1, 2025, Ontario will become the first jurisdiction in Canada to enable a dedicated regulatory pathway to recover residual minerals from mine waste.
“This initiative follows extensive consultations with industry and Indigenous communities and will strengthen Ontario’s position as a world leader in the mining sector, creating jobs, attracting international investment, and driving economic growth,” said Stephen Crawford, Associate Minister of Mines. “By supporting a sustainable supply of critical minerals, it not only secures resources for the future but also delivers meaningful opportunities for northern and Indigenous communities.”
This new regulation supports Ontario’s Critical Minerals Strategy, a five-year plan designed to position the province as a reliable global supplier of responsibly sourced critical minerals, which encourages the recovery of minerals from mining waste.
Asahi Kasei Breaks Ground on Electric Vehicle Battery Separator Plant in Port Colborne
The Ontario government is welcoming the start of construction on Asahi Kasei’s $1.7 billion manufacturing facility in Port Colborne to produce lithium-ion battery separators, a key component of electric vehicle (EV) batteries. The new plant, the first of its kind in Canada, is a significant part of Ontario’s growing end-to-end EV and battery supply chain, accelerating the production of Ontario-made EVs and creating better jobs with bigger paycheques in the Niagara Region.
“The start of construction on Asahi Kasei’s battery separator plant is a major step forward in building Ontario’s electric vehicle supply chain, connecting minerals in the north with electric vehicle battery makers and automakers across the province,” said Premier Doug Ford. “This facility will help lay the groundwork to produce electric vehicles from start to finish by Ontario workers with Ontario-made components, bringing better jobs and bigger paycheques to communities across the province.”
The start of construction closely follows the recent announcement of a joint venture between Asahi Kasei and Honda Canada Inc. that will be established to oversee construction and production activities at the Port Colborne plant.
Earlier this year, Honda announced plans to establish Canada’s first comprehensive electric vehicle supply chain with four new manufacturing plants including this separator plant in partnership with Asahi Kasei. With phase one expected to be complete in 2027, the separator plant is projected to produce enough material to supply approximately one million EVs annually and create more than 300 jobs in the region.
“Asahi Kasei’s investment in Ontario’s auto sector represents a clear vote of confidence in our province’s world-class workforce, dependable supply chains, competitive business environment and reliable clean energy,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “As our government continues to position Ontario as the epicentre of electric vehicle innovation, we look forward to seeing the partnership between Asahi Kasei and Honda come to fruition and bring economic growth and good-paying jobs to the Niagara Region.”
Since 2020, Ontario has attracted over $45 billion in EV and battery investments from companies including Honda, GM, Ford and Stellantis, along with key parts and component producers, helping to build-out the province’s end-to-end supply chain and solidifying the province as a leader in the EV sector.
Ontario Investing in Early Mineral Exploration
The Ontario government is investing $13 million through the Ontario Junior Exploration Program (OJEP) to help 84 junior mining companies finance early exploration projects. These projects have the potential to lead to promising discoveries of valuable mineral deposits and lead to future mines, which would boost economic growth and job creation for northern and Indigenous communities.
“This investment is an important part of our government’s plan to rebuild our economy as we support exploration of Ontario’s vast mineral wealth,” said George Pirie, Minister of Mines. “The Ontario Junior Exploration Program is helping unlock the province’s mineral exploration potential and paving the way for the development of the mines of the future which will bring multigenerational opportunities to northern and First Nation communities.”
“The Ontario Junior Exploration Program is providing companies with the resources they need to find the mines necessary to secure our supply chain,” said Stephen Crawford, Associate Minister of Mines. “Our government will continue attracting investment so new mines can be found and create multi-generational prosperity and wealth for communities across the province.”
Launched in 2021, OJEP helps junior mining companies cover eligible costs for critical and precious mineral exploration and development. Through the fifth round of funding, OJEP has committed $13 million in funding to 84 projects – 62 of them focused on the exploration of critical minerals.
As part of the province’s OJEP investment to date, Ontario has committed $35 million over four years to the program. This includes $23 million for all types of minerals, and $12 million invested in a stream dedicated to supporting the discovery and development of critical minerals that will help build an integrated supply chain for new technologies – connecting producers in the north with Ontario’s world-class manufacturing sector in the south.
Manitoba Government Releases Strategy to Secure Province’s Mineral Future
The Manitoba government has released its Securing Our Critical Mineral Future strategy to stand up critical minerals projects faster, while respecting the environment and forming strong Indigenous partnerships, Economic Development, Investment, Trade and Natural Resources Minister Jamie
Moses and Municipal and Northern Relations and Indigenous Economic Development Minister Ian Bushie announced.
“This Critical Minerals Strategy will solidify Manitoba as a world leader in responsible mineral development – which in turn brings good jobs to Manitoba,” said Moses. “No matter the result of tomorrow’s US election, our strategy will ensure Manitoba is a secure and responsible trade partner for years to come.”
Home to 30 of 34 critical minerals identified by the federal government as critical for promoting green energy and sustainable economic success, Manitoba is positioned to supply the materials needed to power the North American low-carbon economy, noted Moses. The strategy aims to attract investment and create good jobs in Manitoba. Key actions include the creation of a dedicated, single window Critical Mineral Office, investments in high-priority regional infrastructure projects and the development of a provincial revenue-sharing model for mining in partnership with Indigenous nations.
“Indigenous and northern communities can be the backbone to a successful mining sector, setting those communities and the Manitoba economy on the best path forward,” said Bushie. “By taking a nation-to-nation approach, this strategy will unlock the benefits of critical minerals for Indigenous nations through healthy resource development. This strategy will ensure Indigenous Peoples’ voices are heard and that they receive fairer financial value within the resource sector in order to advance economic reconciliation.”
“Manitoba needs to get new mines brought online faster,” said John Morris, co-director, Mining Association of Manitoba Inc. (MAMI). “MAMI agrees that by streamlining policy and regulation, permitting will improve with the new single-desk Critical Minerals Office. MAMI looks forward to working with the Province of Manitoba as we develop many of the action items contained in this strategy.”
The Manitoba government will continue to engage with rights holders, communities and business as work on the action items from the strategy begins to be implemented, said Moses.
Lithium, Potash Interest Drives $2.3 Million in Subsurface Bids
The Government of Saskatchewan’s second subsurface mineral public offering of the fiscal year, held on Monday, November 25, 2024, raised $2,270,322.67 in revenue, driven by interest in lithium.
Of the 13 subsurface permits posted for this offering, 12 received bids for a total area covering 22,922.229 hectares. Ten of the permits are prospective for lithium-in-brine while two are prospective for potash.
Millennium Land Ltd. made the highest bid, $909,356.61 for a 3,914.410-hectare permit block located north of Stoughton. The company also had the winning bid, $550,018.00, for a second permit block totaling 2,369.031 hectares north of Kisbey. Both permit blocks are prospective for lithium in brine.
Hub City Lithium Corp. acquired two permits southwest of Stoughton totaling 1,405.403 hectares with a $354,161.53 bid. These permits are also prospective for lithium in brine.
One potash permit is in the Tuxford area and was awarded to Upcycle Minerals Inc., which bid $10,200 on the 4,275.594-hectare block. The second is near Davidson and was awarded to Sun Valley Land Ltd., which offered $9,937.00 for the 6,288.726-hectare block.
The November subsurface mineral offering is the second of three public offerings scheduled for the 2024-25 fiscal year. Of note, due to the fact the February 10, 2025, offering received no posting requests, it has been cancelled.
Through two such offerings this fiscal year, the Ministry of Energy and Resources has raised $8,205,749.13, up from the $1,459,502.41 through the one public offering held last fiscal year.
Lithium is one of the 27 critical minerals occurring in Saskatchewan that will play a key role in the province achieving the goals set out in Saskatchewan’s Critical Minerals Strategy. Several firms are actively pursuing lithium exploration and production in the province.
The next offering is scheduled for the 2025-26 fiscal year on July 7, 2025.
British Columbia Creates New Ministries for Energy and Mining
Premier David Eby announced on November 18 the restructuring of the former Ministry of Energy, Mines, and Low Carbon Innovation, which will now be split into the Ministry of Energy and Climate Solutions and the Ministry of Mining and Critical Minerals.
The changes reflect the province’s commitment to addressing climate change and seizing opportunities in critical mineral production to support the global energy transition.
Under the new structure, the Ministry of Energy and Climate Solutions will oversee BC’s energy policies to ensure its alignment with climate goals, specifically under the Paris Agreement. The Climate Action Secretariat, which coordinates the province’s climate initiatives, will also now operate under this ministry. Adrian Dix, previously responsible for health, will lead it.
The ministry will manage the electricity, alternative energy and petroleum resource sectors, while also working to expand the province’s electricity and low-carbon energy projects. This will include oversight of major projects such as the North Coast Transmission Line and BC Hydro’s Capital Plan.
Meanwhile, the Ministry of Mining and Critical Minerals, led by Jagrup Brar, will focus on enhancing the province’s mining capabilities, particularly in critical minerals like copper, lithium and rare earth elements.
BC’s focus on critical minerals aligns with global trends as the demand for materials such as lithium is projected to grow significantly, driven by the transition to low-carbon energy systems. These materials are essential for the renewable energy infrastructure critical for the ongoing energy transition, as well as technologies such as lithium-ion batteries and electric vehicles.
Government data suggests that copper demand could double by 2050, creating opportunities for BC to attract investment and generate employment, particularly in rural areas.
Brar, who previously served as Minister of State for Trade, is expected to prioritize regulatory reforms and streamline project approvals. The ministry will oversee the advancement of 17 critical mineral projects and work to modernize the Mineral Tenure Act to meet regulatory requirements, including Indigenous consultation standards.
The provincial government sees the critical minerals sector as a driver for economic growth and a contributor to North American energy security goals. However, it has acknowledged the need to address environmental concerns and Indigenous rights as part of the development process.
The creation of a dedicated mining ministry has been welcomed by industry leaders. The Association of Mineral Exploration and the Mining Association of British Columbia (MABC) view the restructuring as a step toward attracting investment and addressing long-standing issues such as permitting delays and regulatory uncertainty.
First Nation Considers Legal Options as B.C. Approves Mining Permit ‘Without Consent’
The Xatśūll First Nation says it is “disappointed” that British Columbia’s Mines Ministry has granted an operating permit for the Cariboo Gold Mine without meeting its leadership or obtaining the nation’s consent.
The mine is on the nation’s territory in central B.C. and it issued a statement earlier this month calling for the project to be halted until the nation had given its consent.
The B.C. government announced Thursday that Barkerville Gold Mines, owned by Osisko Development Corp., was issued the permit for the underground mine in a process that took 13 months to complete.
The ministry said it was the first project entirely assessed under the new Environmental Assessment Act, which was modernized to enhance public confidence, and was done in consultation with experts, the public and First Nations, including the Xatśūll.
But, the Xatśūll nation says it was not consulted, which showcases “troubling inconsistencies” with how B.C. deals with First Nations and “demonstrates a lack of commitment” to adhere to the United Nations Declaration on the Rights of Indigenous Peoples.
The nation says it is considering all legal options and is calling on the newly appointed mines minister, Jagrup Brar, to “ask for clarification on the inconsistent application of UNDRIP across government, including his ministry.”
“Xatśūll would like to see sustainable resource development in our territory, but it has to be done properly,” it says in a news release.
“The government must honour its commitments and truly collaborate with Xatśūll in a respectful and inclusive manner and in alignment with UNDRIP. That means immediately moving to consent-based decision-making with Xatśūll in relation to major permits and authorization for mines in our territory.”