MINEX Forum

Tag: Rare Earth Elements

  • Norway to Launch Seabed Mineral Exploration Amid Environmental Concerns

    Norway to Launch Seabed Mineral Exploration Amid Environmental Concerns

    Two companies announced on Wednesday their intentions to acquire offshore seabed acreage on the Norwegian continental shelf for mineral exploration, marking the potential inception of a controversial new mining industry. Norway is poised to become the first nation to commence commercial production of metals like copper, cobalt, zinc, and rare earth elements (REE) from its continental shelf, which are crucial for transitioning away from oil and gas.

    Nominations for seabed acreage, submitted by the May 21 deadline, will set the stage for Norway’s inaugural seabed mineral exploration licensing round later this year, according to Norwegian authorities. The country’s energy ministry has yet to comment on the process.

    Loke, a startup backed by TechnipFMC, Wilhelmsen, and Kongsberg Gruppen, revealed that it had nominated numerous blocks rich in polymetallic crusts containing cobalt and rare earth elements. “We are encouraged by the significant resource potential and are looking forward to the first licensing round,” Loke’s CEO Walter Sognnes said in an email to Reuters.

    Oslo-listed Green Minerals has also nominated four areas, each consisting of multiple blocks, and anticipates beginning pilot production by 2028, as per a recent investor presentation.

    Environmental organizations, including Greenpeace, have urged a global moratorium on seabed mineral mining, citing the risk of irreversible harm to little-studied marine life. In response, the Norwegian government asserts that the exploration phase will help assess the environmental impact and enhance knowledge of seabed ecosystems.

    Norwegian oil firm Aker BP AKRBP has not disclosed whether it submitted nominations but has previously expressed interest in exploring the resource potential. The government plans to issue the first licenses in 2025, but companies will need additional approvals to start production. Furthermore, the Norwegian parliament, which decided in January to open extensive areas in the Norwegian and Greenland Seas for potential mining, must approve the initial projects.

  • Global Efforts to Reduce Dependence on China’s Rare Earth Elements Dominance

    Global Efforts to Reduce Dependence on China’s Rare Earth Elements Dominance

    The article underscores the global reliance on China for rare earth elements (REEs), essential components in various high-tech applications, particularly amid the burgeoning shift towards green energy technologies. China’s stranglehold on REE production and its monopoly over the entire supply chain have sparked apprehensions regarding supply chain vulnerabilities and geopolitical ramifications for other nations.

    China’s dominance in the REE market is fueled by factors such as its control over critical materials for electric vehicle (EV) batteries and its vertically integrated production chain. Nevertheless, concerns over the environmental repercussions of REE extraction and processing, coupled with geopolitical risks associated with overreliance on a single supplier, have prompted Western nations to explore alternatives and diminish their dependence on China.

    The article delves into initiatives by the United States, Europe, and other regions to diversify their sources of REEs. Tesla’s strategy to incorporate rare earths-free magnets in next-gen motors and collaborative efforts between US and European rare earth companies exemplify these endeavors. Furthermore, the US Department of Defense’s agreement with Australia’s Lynas Rare Earths to establish a heavy rare earths separation facility in Texas is perceived as a stride towards bolstering domestic industrial capabilities and reducing dependency on China.

    Japan’s strategic maneuver to lessen its rare earth dependency on China by increasing investments in Lynas underscores a broader trend of nations endeavoring to secure their rare earth supply chains.

    The article accentuates the imperative for China to embrace more sustainable and environmentally responsible practices in REE mining and processing. It advocates for transparency in supply chains and a commitment to social and environmental responsibility to sustain China’s dominance in the carbon market and REEs sector.

    In conclusion, Western concerns, driven by environmental and geopolitical apprehensions, are propelling nations to explore alternatives and diminish reliance on China for rare earth elements. Collaborative ventures, investments, and technological advancements are being pursued to diversify supply chains and ensure a more secure and sustainable future for the global REE market.

  • Poland extracts key metal needed for energy evolution, looks for rare earths abroad

    Poland extracts key metal needed for energy evolution, looks for rare earths abroad

    “Copper is the driving force behind the energy revolution and a crucial strategic resource. Without it, the energy transformation is not possible,” emphasized Tomasz Zdzikot, CEO of KGHM Polska Miedź, during the XXXII Economic Forum in Karpacz. Poland is also actively engaged in geological explorations in Mongolia to locate deposits of rare earth elements.

    Zdzikot participated in a panel discussion titled “Raw Materials of the Future – Which Raw Materials Should Poland Extract.” He highlighted the significance of “The State Raw Materials Policy 2050,” a strategic document accepted by the government last year, which identifies critical resources for Poland.

    The CEO of KGHM stressed that copper plays a pivotal role in the energy revolution. He pointed out that the US Energy Department added copper to its list of strategic raw materials in August, signaling a projected doubling of global copper demand by 2035. Additionally, copper is classified as a strategic raw material in the European Union.

    Zdzikot underlined the copper requirements for green technologies, noting that an electric car necessitates 150 kilograms of copper, while a 3MW wind turbine requires nearly 5 tons of the metal.

    He also emphasized KGHM’s role in ensuring Poland’s raw material security, highlighting that 50 percent of the EU’s total copper output comes from copper extraction in Poland’s Lower Silesia. Furthermore, KGHM is recognized as the world’s second-largest producer of silver.

    In the same discussion panel, Poland’s chief geologist, Piotr Dziadzio, disclosed the country’s geological work in Mongolia to locate rare earth element deposits. These geological surveys are conducted in collaboration with the local geological service.

    Dziadzio noted that various countries have established strategies for identifying rare earth element deposits, which are expected to yield benefits in the long run. He emphasized the need for transparent partnerships and community engagement in mining these minerals, ensuring they are not perceived as a form of colonialism.

    Furthermore, Dziadzio indicated that Poland has proposals for additional cooperation on rare earth element projects, including one in the Dominican Republic.