Fortune Minerals Limited will use the C$3.8 billion ($3B U.S.) of financial support provided by the Government of Canada to accelerate the production and processing of Critical Minerals, like cobalt, nickel and lithium.
Those materials are key to use in lithium-ion rechargeable batteries for EVs, portable electronics, and stationary storage cells. Bringing more production to North America could lessen the reliance on supply from Russia, China and other nations
The firm is engaged with the Canadian and Alberta governments to obtain support to accelerate the development of its 100%-owned NICO cobalt-gold-bismuth-copper project, a vertically integrated Critical Minerals development, comprising an underground mine and mill, a planned open pit and a planned hydrometallurgical refinery in Alberta.
In the 2022 Budget, financial support was provided by the Canadian government to address concerns like high capital costs impacting Critical Mineral developments and an infrastructure deficit for some northern projects.
The government says it recognizes the importance of establishing a strong domestic raw material supply chain for industries in North America that are involved in the transition to a green economy. It will provide a transparent source of Critical Minerals produced while complying with Canadian environmental-social governance values.
Support extended by the government includes:
· C$1.5 billion for new Critical Minerals projects, prioritizing mineral processing, materials manufacturing and recycling for key mineral and metal products
· C$80 million for public geoscience and exploration programs
· An increase in Mineral Exploration Tax Credit
· C$1.5 billion for new mineral projects in key regions
· C$144 million for R&D pertaining to responsible extraction and processing of Critical Minerals
· C$10 million renewal for the Centre of Excellence on Critical Minerals
· C$40 million to provide support for northern regulatory processes
· C$15 billion to support the Canada Growth Fund
· C$70 million to support global partnerships to promote Canadian mining leadership
