What’s so critical about critical minerals?
Certain minerals are so essential to Canada’s climate objectives, economic and national security, they have been designated as “critical minerals.”
These minerals, such as copper, lithium, nickel, cobalt and a whole suite of rare earth elements are essential components in the construction of wind turbines, electric vehicles and electrical networks.
Solar panels need these critical minerals. Wind farms? Need these minerals. Electric Vehicles (EVs)? Need these minerals. According to the International Energy Agency (IEA), a typical electric car requires six times the mineral inputs of a conventional car, while an offshore wind plant requires thirteen times more mineral resources than a similarly sized gas-fired plant.
Since 2010 the average amount of mineral resources needed for a new unit of power generation capacity has increased by 50 percent as the share of renewables in new investment has risen.
What minerals are used varies by what is being build. Lithium is used to build batteries, while rare earth elements are needed in wind turbines and EV motors. Power is conducted over copper.
“As countries accelerate their efforts to reduce emissions, they also need to make sure that energy systems remain resilient and secure,” says the IEA. “The rising importance of critical minerals in a decarbonising energy system requires energy policy makers to expand their horizons and consider potential new vulnerabilities. Concerns about price volatility and security of supply do not disappear in an electrified, renewables-rich energy system. This is why the IEA is paying close attention to the issue of critical minerals and their role in energy transitions.”
But it’s not just about the climate. These minerals are used in aerospace, defence and communications technologies.
According to the Mining Association of British Columbia (MABC), BC is home to many of the minerals on Canada’s critical mineral list, including aluminum, cadmium, chromium, copper, nickel, silver, zinc and a host of others.
“All of these critical minerals are vital to achieving a net-zero economy by 2050.”
There are 31 minerals on Canada’s critical mineral list, many of which are found or produced in BC, with considerable untapped potential. In Canada, demand for these minerals could grow by as much as six times by 2040.
China is currently the dominant global refiner of critical minerals, and the world’s largest producer of EV batteries and clean technologies like solar cells.
“Western governments recognize that dependence on countries governed by authoritarian regimes for critical mineral supplies is a strategic vulnerability,” says the MABC. “That’s why countries like Canada, the U.S. and others are working independently and in partnership to build up their own critical mineral supply chains.”
And so EV battery plants are now starting here in Canada, like the St. Thomas Battery Cell Gigafactory in Ontario.
British Columbia currently hosts seven near-term copper, gold and steelmaking coal mines or mine extension projects that will reach their final investment decisions in the next 18 months.
“Together, they represent more than $4 billion in capital expenditures, 6,400 new construction and operating jobs, Indigenous partnerships and an economic impact topping $10 billion.”
There is a second queue of 11 other medium-term advanced critical mineral projects that will produce copper and copper-gold, and copper-zinc-silver. According to MABC, projects also include the world’s largest un-mined niobium deposit and two of the world’s largest nickel deposits. “These offer value-added refining and processing opportunities for BC and a significant source of battery-grade nickel sulphate for Canada’s emerging battery and electric vehicle sectors.
“While providing Canada and our allies with responsibly produced critical minerals, these projects can deliver new high paying jobs, more prosperous communities, new revenues for government and economic reconciliation within Indigenous communities.”
However, says MABC, to make the transition, both provincial and federal governments must work on reducing lengthy permitting processes without reducing environmental protection. They must provide the financial resources to ensure Indigenous nations have the governance, administrative and technical capacity to participate on an equitable footing in shared decision making and major mine reviews, while supporting Indigenous co-ownership and equity participation in critical mineral projects, and expand BC’s electrical grid to support and electrify mine extensions and new mines and advance decarbonization so BC’s mines and smelters will continue to have among the lowest emissions in the world.
According to a recent public survey, three quarters of British Columbians would like to see the province become a world leader in supplying critical minerals essential to clean technologies and fighting climate change.
Trent is the publisher of Tumbler RidgeLines.
