Rare Earth Technologies Inc reposted this
The Opportunity Ahead for Critical Minerals The steep decline we’re seeing in critical mineral prices, has cast a shadow over the critical minerals and mining sectors. This situation has compelled some operations to be put into care and maintenance like the Avebury nickel mine in Tasmania and Wyloo Metals' Kambalda mine in Western Australia. This downturn, exacerbated by an oversupply of nickel from Indonesia, underscores the pressing need for immediate, concrete actions within 2024 to stabilize the industry and mitigate further impacts. It is important to accept that things could get significantly worse before they get better. This is not only the reality for nickel, but current market conditions may be hurting the opaquer markets like rare earths and other non-listed specialty minerals worse with prices for many of those declining further following the Chinese New Year in February. Given the challenging market dynamics, governments, alongside industry experts and private capital partners, could and should expedite a cohesive strategy targeted at mining, processing, and the conversion of these minerals into advanced materials. This should go beyond battery minerals and materials, which is only part of the problem. A broader and more aggressive critical minerals initiative is needed because there are many nuanced co-dependencies that exist across these supply chains that make for a holistic competitive industry such as suppliers (reagents, consumables, equipment, etc.), labor, concurrent availability in ores, and others. This is the time to be bold and commit. China knows this. They plan to more double the number of critical mineral mines they own overseas according to GlobalData, and their natural resource exploration budget increased again in 2023 to $15B USD. This current downturn in the critical minerals market presents a pivotal opportunity for a strategic reset. As industries and economies grapple with the ramifications of declining prices and operational suspensions, the moment is ripe for a bold approach from forward-looking leadership in the space. This is underscored by the ambitious strides of global competitors like China, signaling a clear call to action for the rest of the world. Embracing this opportunity mindset, we can transform this moment of apparent crisis into a catalyst for a resilient, diversified, and flourishing critical minerals industry. Additional reading: https://lnkd.in/gvEyrJSp