Australia announces funding for key minerals
The Australian federal government has announced a $2 billion expansion of funding under its Critical Minerals Facility to support critical mineral extraction and processing projects in the country.
Speaking in the United States, Australian Prime Minister Anthony Albanese said the increased funding would facilitate the transition to a decarbonized economy while strengthening Australia's position as a leading global supplier of critical minerals used in clean energy technologies such as electric vehicles, batteries, turbine wind turbines and solar panels.
Albanese said key minerals are the cornerstone on which Australia's clean energy future is built, and utilizing key mineral resources is critical to the government's commitment to making Australia a renewable energy superpower.
Speaking at a press conference in Washington, the Prime Minister said, "We want to move Australia up the global value chain in key minerals, energy and manufacturing." He added that increased funding would help develop supply chains with the United States and provide support to realize shared clean energy and manufacturing ambitions. "Australia is committed to building a sustainable and secure supply chain for key minerals with the United States. This is central to framing a clean energy future and delivering economic growth."
Independent modeling studies have shown that increasing exports of key minerals and energy transition minerals would create more than 115,000 new jobs and increase Australia's GDP by A$71.2 billion through 2040.
Albanese said, "This critical mineral investment will benefit Australians in a number of ways, from technology, skills, jobs and economic gains."
The additional funding will double the size of the Critical Minerals Financing Facility administered by the Australian Government's Export Finance Agency (EFA). Under the terms of the facility, companies can apply for loans, financial guarantees or performance bonds to help establish projects and develop export markets.
Australian Resources Minister Madeleine King said creating a sustainable and reliable supply chain for critical minerals plays a vital role in driving manufacturing in Australia and the United States.
The pathway to net zero emissions runs through Australia's resource-based industries," she said. We are on track to become a leading global supplier of key minerals, including rare earth elements, and to fuel the global clean energy transition."