The Albanese Government will provide up to $840 million (US$550 million) to help deliver Australia's first combined rare earths mine and refinery in the Northern Territory, creating local jobs and securing Australia's position as a renewable energy superpower, according to officials.
The government reckons the refinery will create over 300 new jobs across the Northern Territory while also diversifying Australia's critical minerals supply chain. The rare earths mine and refinery will be operated by Arafura Rare Earths.
Minister for Resources and Minister for Northern Australia Madeleine King said the "project is a major vote of confidence in the Northern Territory and a major step in the Albanese Government's efforts to reduce emissions and diversify supply chains."
This ground-breaking investment will position Australia as a global leader in ethical and sustainable manufacturing of rare earths and critical minerals, the government said in a statement on 14 March.
YOU MIGHT ALSO LIKE
The rare earths mine and refinery will be operated by Australian mineral exploration company Arafura and is located 125 km north of Alice Springs.
During construction it will create over 200 jobs, with over 125 full time jobs ongoing, including the company's stated ambition of securing 20% local Indigenous employment.
Rare earths are used to make powerful magnets, and are an essential component in renewable energy and defence technologies. Electric vehicle motors, wind turbines, robotics and mobile phones are examples of the kinds of technologies that rely on rare earths.
The government's contribution will unlock further investment from international financiers and commercial banks, highlighting the value placed on this important investment.
This project is possible due to the Albanese Government's commitment to a future made in Australia, which has seen the expansion of the Critical Minerals Facility and the Northern Australia Infrastructure Facility to a combined $11 billion.
Critical minerals are the building blocks for a clean energy future, and the government has become a major investor and partner of this important sector, creating jobs and opportunities for more Australians.
Northern Territory Chief Minister Eva Lawler said "backed by record levels of investment into exploration, the mining and processing of critical minerals is a priority opportunity for the Territory to create more work opportunities for Territorians."
Minister for Trade and Tourism Don Farrell said "our government is committed to unlocking new critical minerals projects to help us become a renewable energy superpower, and create hundreds of local high-paying jobs in the industries of the future.
"We have some of the largest deposits of critical minerals in the world and through this project, we're encouraging more international partners like the Republic of Korea and Germany to invest in Australia and diversify global supply chains.
"International buyers and investors are key to developing our abundant critical minerals opportunities, which is why we are also building strong partnerships with major economies."
