Miners seek 'critical' status
Big miners are pushing to have their products recognised as nationally significant.
Whitehaven Coal's managing director, Paul Flynn, has urged the Albanese government to recognise the importance of coal in powering defence allies such as Japan and South Korea. As the Australian government prepares to release its new critical minerals strategy, Flynn says there is a heavy reliance on Australian coal from nations like India, Japan, and South Korea in defence pacts and strategic alliances.
Flynn argues that although coal is not currently considered a “critical” mineral domestically, it plays a vital role in the short and long-term futures of key strategic partners in Southeast Asia, offering significant economic and social benefits beyond the industry.
He suggests that the government should adopt a more strategic approach and consider the needs of allies and customers throughout Asia in the critical minerals list.
Producers of other materials also want Labor to grant “critical minerals” status to a wider range of commodities, including bauxite, nickel, and copper.
The request for extended special status is driven by the need to support smaller players in securing taxpayer support for their projects.
The nation's leading tungsten project, Group 6 Metals, is seeking government backing to help deliver on the recent deal between Anthony Albanese and Joe Biden regarding critical supplies.
With China dominating global tungsten supply, Group 6 Metals aims to increase downstream processing in Australia to capture more value through taxes, job creation, and provenance for US buyers.
The company says it is important to develop APT production (ammonium para tungstate) and calls for government support in advancing downstream processing, which would benefit both the project and the Australian taxpayer.
Amidst these developments, the Australian government is poised to release its latest critical minerals strategy, which will identify priority areas.
Labor is expected to expand the critical minerals list to include potash, phosphate, aluminium, alumina, bauxite, nickel, copper, and zinc.
The inclusion of these traditionally unrelated resources is seen as crucial for providing certainty and security to the industry, particularly as global supplies remain vulnerable to disruption.
Designating minerals as critical opens up opportunities for special treatment, such as loans and direct payments. Industry groups, including the Australian Aluminium Council, support the calls for critical minerals listing, emphasising the potential to create additional new economy industries from these minerals' value chain.