Next steps for Canada's critical minerals

Despite years of Canada talking about our intention to advance our critical minerals industry, relatively few projects have progressed. Now, against the backdrop of a changed geopolitical and trade context, there is growing political and societal consensus that it is time to fully activate our critical minerals strengths and to build projects that position Canada to supply our allies and the world with the materials and products it wants and needs now and into the future. To truly capture this momentum and this transformative economic opportunity, critical minerals miners, processors, and investors need the new government to act with urgency to introduce policies that reduce project risk and allow them to move forward at pace.

Accelerate convened industry leaders to develop practical recommendations for the federal government that will catalyze action and begin fulfilling our domestic critical minerals promise.

Specifically, we urge:

1

The Minister of Finance develop for Budget 2025, a Financial Strategy to Support Critical Minerals Development that includes:

Expanding corporate mining activities eligible for flow-through shares to include feasibility studies and other administrative costs.
Launching a Debt Security Financing Program for critical mineral projects, including minerals processing projects, in Canada that meet a clear set of criteria to be established within 6 months in coordination with industry, Indigenous partners and other relevant stakeholders.
Creating a Contracts for Difference program for critical mineral projects to combat unfair price manipulation in global minerals markets.
Develop an approach, in collaboration with the Minister of Industry, that will incentivize manufacturers such as battery and other critical technology companies in Canada to source raw and processed materials from Canada.
Ensuring the Indigenous Loan Guarantee Program is empowered to support Indigenous economic and equity partnerships in the critical minerals sector by endowing the Canada Development Corporation (CDEV) with a risk mandate that reflects the economic and financial realities of critical minerals projects.
Beginning with BDC and EDC, and expanding to the Maple 8, develop new guidance on risk tolerance that will encourage investment in Canadian critical minerals projects.

2

The Minister of Natural Resources streamline Canada’s Approach to Critical Minerals Development by:

Delivering by Fall 2025 on promises to critical mineral companies to implement a “One Window” approach to major project decision making.
- Natural Resources Canada can accomplish this by increasing its internal professional capacity to speed up project approvals, including by ensuring that adequate expertise and resources are allocated to discharging the Crown’s duty to consult with Indigenous Peoples.
Simplifying Canada’s Critical Minerals list by treating all 34 critical elements equally and prioritizing projects based on clear and public success criteria like off-take agreements, established financial partnerships, feasibility and environmental studies.

3

The Ministers of Natural Resources, Industry, Global Affairs, and Defence examine creating a Canadian Critical Minerals Strategic Reserve.

A critical minerals strategic reserve could be used to support initial off-take agreements for mining projects and play an important role in ensuring Canada’s supply chains remain resilient and sovereign. The Ministers should direct senior staff within the first months of the Government’s mandate to study the feasibility of establishing a strategic reserve of critical minerals, including Canada’s capacity to develop requisite processing capability on a timeline correspondent to the extraction of our minerals.