Australian Prime Minister Anthony Albanese and United States President Donald J. Trump have signed a landmark bilateral framework on critical minerals and rare earths at the White House in Washington DC.
The United States–Australia Framework for Securing of Supply in the Mining and Processing of Critical Minerals and Rare Earths will deliver a US/Australia secured supply chain for critical minerals and rare earths, required for defence and other advanced technologies.
To complement the framework, the US and Australia will each provide at least USD$1 billion in investments towards an USD$8.5 billion pipeline of priority critical minerals projects in Australia and the United States over the next six months.
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Two of those priority projects include the Alcoa-Sojitz Gallium Recovery Project in Wagerup, Western Australia and the Arafura Nolans project in the Northern Territory.
The Australian Government has announced USD$200 million in concessional equity finance for the Alcoa-Sojitz Gallium Recovery Project, which includes a right of offtake for the Australian Government. The United States Government is also making an equity investment with a right of offtake.
This project will provide up to 10% of total global gallium supply. Gallium is an essential input for defence and semiconductor manufacturing. This is a trilateral project with Japan, the United States and Australia, which will strengthen our collective economic security. Japan has already provided 50% of the project costs to date.
The Australian Government will also make a USD$100 million equity investment in the Arafura Nolans project. Once operational, this project will produce 5% of global rare earths essential for energy security and defence.
A US-Australia Critical Minerals Supply Security Response Group will be established under the leadership of the US Secretary of Energy and the Australian Minister for Resources to identify priority minerals and supply vulnerabilities and to develop a coordinated plan to accelerate delivery of processed minerals under this framework.
Prime Minister Anthony Albanese said, “There are no closer friends and allies than the United States of America and Australia.
“President Trump and I agreed today we will work very hard together in both our nations’ interests.
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“We’ve agreed today Australia and America are going to make more things together with our historic framework on critical minerals.
“Australia is home to much of the periodic table of critical minerals and rare earth metals that are vital for defence and other advanced technologies.
“Cooperation on critical minerals and rare earth supply chains is testament to the trusted partnership between Australia and the United States as strategic defence allies.
“I look forward to continuing to work with President Trump to strengthen our partnership and support American and Australian workers, businesses and investors.”
