United States, Australia Reach Deal On Rare Earth Minerals

In response to the Chinese government’s new, stricter export controls on rare earth minerals — read more about that policy at this link — on Oct. 20, U.S. President Donald Trump and Australian Prime Minister Anthony Albanese signed a critical minerals agreement. The proclamation, available at this link, pledged that the two countries “will mobilize government and private sector support including for capital and operational expenditures via guarantees, loans, or equity; finalization of offtake arrangements; insurance; or regulatory facilitation.”

The two nations also will take “measures to accelerate, streamline, or deregulate permitting timelines and processes, including to obtain permits for critical minerals and rare earths mining, separation, and processing within their respective domestic regulatory systems, consistent with applicable law.”

The deal includes plans for projects worth a total of up to $8.5 billion and the U.S. Export Import Bank will issue seven Letters of Interest for more than $2.2 billion in financing, and the U.S. Department of War, formerly the U.S. Department of Defense, will invest in the construction of a 100 metric ton-per-year advanced gallium refinery in Western Australia.

The White House provided more information about the agreement in a fact sheet that is available at this link.