TORONTO, March 3, 2025 /CNW/ – As global demand for critical minerals is expected to double by 2040, Canada is uniquely positioned to be a global leader and supply this growing market: we have an abundance of critical minerals and the workers, businesses and communities with the know-how to scale up the mining, processing and manufacturing of products and the recycling of these minerals. Since the launch of Canada’s first-ever Critical Minerals Strategy in 2023, the Government of Canada has made historic investments and removed barriers to get good mines and processing facilities built faster, responsibly.
Today, at the 2025 Prospectors and Developers Association of Canada Convention, the Honourable Jonathan Wilkinson, Minister of Energy and Natural Resources, announced additional measures to further develop Canada’s critical minerals advantage.
First, this includes a two-year extension of the 15-percent Mineral Exploration Tax Credit (METC) for investors in flow-through shares until March 31, 2027. The METC provides important support to junior exploration, mining and mineral processing companies. This extension is expected to provide $110 million to support exploration investment across Canada, including in discovering new mineral deposits, developing mining sites and driving regional economic growth, particularly in Indigenous northern and remote communities.
The Minister also announced the official launch of a second Call for Proposals under the Critical Minerals Infrastructure Fund (CMIF), with up to $500 million in funding available for energy and transportation infrastructure projects necessary to accelerate mining and enable the development and expansion of critical minerals in Canada. This new call for proposals follows the first one launched last year, which has now funded more than 31 projects with up to $265 million in support, spurring job creation and economic growth.
By developing and expanding critical minerals production, including by fostering the growth of an end-to-end value chain, Canada can create good jobs for Canadian workers and businesses, bolster its energy security, reduce our reliance on authoritarian governments and contribute to a resilient and secure economic future.
Lastly, to support infrastructure development, innovation and data collection, while partnering with Indigenous communities on engagement, participation and capacity, Minister Wilkinson also announced a total investment up to $50 million in critical mineral projects.
These announcements will further support Canada as a global leader, a reliable supplier and ally of choice of critical minerals to the world, which are increasingly in demand to power the economy of the future — including semiconductors and processing chips, batteries and clean energy technologies, and much more.
Quotes
“The investments and initiatives announced today will create good jobs for Canadian workers and businesses, support economic opportunities, bolster its energy security, reduce our reliance on authoritarian governments and contribute to a resilient and secure future. With over $700 million in investments under the Canadian Critical Minerals Strategy by the Government of Canada alone in the past two years, Canada’s mining and critical minerals industry have successfully risen to the challenge of meeting the ever-increasing international demand for critical minerals. Collaboration at all levels of government with industry partners and with Indigenous communities across the country has made Canada a supplier of choice for responsibly sourced minerals the world needs.”
The Honourable Jonathan Wilkinson
Minister of Energy and Natural Resources
“Better infrastructure is key to Canada’s critical minerals supply chain. With up to $500 million in new funding under the Critical Minerals Infrastructure Fund, we are accelerating mining and expanding critical mineral development, advancing clean energy and strengthening our economy.”
The Honourable Anita Anand
Minister of Transport and Internal Trade
“The fight against climate change requires all of us to work together. By investing big in critical minerals research and infrastructure development, we are not only accelerating our transition to a low-carbon economy but also securing generational economic opportunities for Canadians to take the lead in the global shift to net zero.”
The Honourable François-Philippe Champagne
Minister of Innovation, Science and Industry
“In the midst of a global shift toward decarbonation, it’s crucially important to support the growth of our world-class mining sector. With this proposed extension to the Mineral Exploration Tax Credit, we continue to foster the sustainable development of Canada’s natural resources, create well-paying jobs for Canadian workers in the mining sector and grow our economy.”
The Honourable Dominic LeBlanc
Minister of Finance and Intergovernmental Affairs
Quick Facts
Canada produces over 60 minerals and metals, including 21 of the 50 minerals listed as critical by the U.S. Geological Survey and is a leading global producer of many of the critical minerals on the 2024 Critical Minerals List, including nickel, potash, aluminum and uranium. Canada has the potential to supply even more critical minerals to both domestic and international markets. Canada ranks among the top countries in the world for sustainable mining, thanks to its unique environmental, social and governance (ESG) advantages. This highlights why leading global ESG-conscious investors look toward Canada as a global leader in the mineral and metal sector. In total, more than 60 minerals and metals are produced from over 200 mines in Canada.The Canadian Critical Minerals Strategy aims to advance the development of these resources and related value chains to drive the transition to a low-carbon economy and support advanced technology and manufacturing. Canada’s whole-of-government approach to critical mineral development is collaborative, forward-looking, iterative, adaptive and long-term. The initiatives presented in the Strategy will be implemented and refined in collaboration with provincial, territorial, Indigenous, industry and other Canadian and international partners. The $1.5-billion Critical Minerals Infrastructure Fund (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. The program also supports clean energy and electrification initiatives as well as transportation and infrastructure projects that will enable the sustainable development of Canada’s critical minerals. The CMIF supports strategic priorities such as decarbonizing industrial mining operations, strengthening supply chains through transportation infrastructure and advancing economic reconciliation by supporting the participation of Indigenous Peoples in infrastructure and critical minerals projects. The Critical Minerals Research, Development and Demonstration program is providing $192.1 million in federal funding to support the development of innovative processing technologies for the critical minerals industry, which will help advance Canadian mining projects toward production and further develop domestic critical minerals value chains.The Critical Minerals Geoscience and Data initiative includes $10 million in contribution funding for the provinces and territories to enhance access to important data and generate new insights on the geological potential of critical mineral sources. By harnessing the power of geoscience and data, we will pave the way for the responsible growth of industries that rely on these minerals, from technology and energy to defence and infrastructure.The Indigenous Natural Resources Partnerships program has $80 million in contributions funding for projects that increase the capacity of Indigenous communities to engage in, benefit from, actively participate in and capitalize on economic development opportunities in the natural resource sectors; and to increase the investment and/or collaboration between Indigenous Peoples and other natural resource development stakeholders, including governments, industry and non-governmental organizations.The mining sector is the second-largest private sector employer of Indigenous Peoples in Canada and provides skills and employment training, contracting opportunities, job guarantees and community investments. Additionally, many Indigenous-owned businesses are involved in the mining supply and services sector, delivering much-needed goods and services to mining companies and generating significant economic benefits for their communities.Budget 2022 provided a new 30 percent Critical Mineral Exploration Tax Credit for specified mineral exploration expenses incurred in Canada and renounced to flow-through share investors. The tax credit would apply to certain exploration expenditures targeted at nickel, lithium, cobalt, graphite, copper, rare earths elements, vanadium, tellurium, gallium, scandium, titanium, magnesium, zinc, platinum group metals and uranium and renounced as part of a flow-through share agreement entered into now and on or before March 31, 2027.
Related Products
Government extending support for mineral exploration in CanadaCritical Minerals Infrastructure Fund: Call for Proposal Applicant’s GuideBackgrounder: Investing to Make Canada a Global Critical Minerals Superpower
Associated Links
Canadian Critical Minerals StrategyCritical Minerals Infrastructure Fund Critical Minerals Research, Development and Demonstration ProgramCritical Minerals Geoscience Date InitiativeIndigenous Natural Resource Partnerships ProgramTax incentives for mining and exploration
SOURCE Natural Resources Canada
Coin Market3 days ago
Technology3 days ago
Near Videos4 days ago
Technology3 days ago
Coin Market3 days ago
Coin Market3 days ago
Near Videos3 days ago