Australia and Canada have signed a Joint Declaration of Intent on Critical Minerals Collaboration. The agreement was formalized on the sidelines of the G7 Energy and Environment Ministers' Meeting in Toronto by Australian Minister for Resources and Northern Australia, Madeleine King, and her Canadian counterpart, Minister for Resources and Energy, Tim Hodgson.
The declaration, signed by Australia's Department of Industry, Science and Resources and Canada's Department of Natural Resources, aims to deepen cooperation and trade across the entire critical minerals value chain. As nations rich in critical mineral reserves, including rare earth elements, lithium, graphite, and nickel, Australia and Canada are leveraging their natural advantages to become reliable suppliers within the global clean energy and defense sectors.
Both ministers emphasized the importance of strategic partnerships in navigating today’s complex geopolitical and trade landscapes. Canada, like Australia, possesses some of the world’s most significant critical minerals and rare earths reserves that are essential for the production of electric vehicles, wind turbines, semiconductors, defense equipment, and other advanced technologies. "From defence applications to clean manufacturing, critical minerals are at the heart of the economic and national security of both our countries,” said Minister King. “By working together, we can build secure, diversified, and sustainable critical minerals supply chains.”
Tim Hodgson echoed this sentiment, noting that Canada is committed to strengthening ties with G7 partners to enhance supply security, accelerate energy transition goals, and counterbalance trade concentration with China, a country that continues to serve as the primary global supplier for many rare earth and critical materials.
This new agreement builds on growing momentum in Australia’s international critical minerals strategy. It follows the recently signed Australia U.S. Framework for Securing Supply in the Mining and Processing of Critical Minerals and Rare Earths, which aims to unlock a US$8.5 billion pipeline of projects across the sector. In earlier meetings between Prime Minister Anthony Albanese and global leaders, including Canadian Prime Minister Justin Trudeau, critical minerals featured prominently as a key area of bilateral and multilateral cooperation.
Among the core objectives of the agreement is the promotion and strengthening of cooperation and trade within critical minerals value chains. The countries aim to advance projects of mutual interest that span exploration, processing, and recycling, while also encouraging commercial partnerships and bilateral investment opportunities. Moreover, they will focus on sharing best practices regarding ESG compliance and project development. A key aspect of this initiative is the establishment of resilient, sustainable, and geographically diversified supply networks. Additionally, the collaboration will involve shared research on strategies for mineral stockpiling, the development of new extraction techniques that comply with ESG standards, and innovation in refining and processing technologies.
The countries are also advancing specific projects on the ground. In Australia, the Dubbo rare earths project by Australian Strategic Materials (ASX: ASM) is targeting a final investment decision by 2026. The project, which recently received AU$5 million from the government’s International Partnerships in Critical Minerals (IPCM) Program and AU$6.5 million from the Critical Minerals Development Program, is expected to create 1,000 jobs during construction and 270 permanent roles.
In Canada, the Matawinie graphite project near Montreal, led by Nouveau Monde Graphite Inc. (NYSE:NMG), is a flagship development targeted under the G7 Critical Minerals Action Plan. The project secured a letter of interest for funding up to US$430 million from Export Development Canada and aims to become the largest fully integrated natural graphite production facility in North America.
With global demand for critical minerals expected to increase exponentially amid the green energy transition and continued technological advancement, this strengthened partnership reflects a shared vision between Canberra and Ottawa. Together, the nations aim to reshape the critical minerals supply landscape, ensuring that responsible, democratic mineral producers play a foundational role in the world's industrial future. “As producing nations, it is important we collaborate to ensure both our communities and industry can benefit from growing demand for critical minerals,” King concluded. “I look forward to working with Canada to build resilient supply chains that support innovation and economic growth.”
This partnership between Australia and Canada signals a clear commitment to secure, ethical, and sustainable supply chain development, ensuring two of the world’s most resource-rich nations are allies in building the clean energy economy of tomorrow.