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In a letter sent on Wednesday to the Canadian Minister of Energy and Natural Resources, Jonathan Wilkinson, the CEOs of 19 miners, including top producers Coeur Mining, Hecla Mining, and First Majestic Silver, say that considering silver a critical mineral would position the country to be a supplier of choice for strategic allies.
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The Energy Act of 2020 defines a “critical material” as:
- Any non-fuel mineral, element, substance, or material that the Secretary of Energy determines: (i) has a high risk of supply chain disruption; and (ii) serves an essential function in one or more energy technologies, including technologies that produce, transmit, store, and conserve energy; or
- A critical mineral, as defined by the Secretary of the Interior.
The Energy Act of 2020 defines a “critical mineral” as:...
- Any mineral, element, substance, or material designated as critical by the Secretary of the Interior, acting through the Director of the U.S. Geological Survey.
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The Department's list of critical minerals is not static and will be reviewed at least every three years and revised as necessary to reflect current data on supply, demand, and concentration of production, as well as current policy priorities, as required under the Energy Act. The 2022 final list of critical minerals was created using the most recent available data for non-fuel minerals and the current state of the methodology for evaluation of criticality.
The methodology used to develop the 2022 final list of critical minerals is based on the definition of “critical mineral” and the criteria specified in The Energy Act. The methodology was published by the USGS in 2020 [1] and 2021 [2] and includes three evaluations: (1) A quantitative evaluation of supply risk wherever sufficient data were available, (2) a semi-quantitative evaluation of whether the supply chain had a single point of failure, and (3) a qualitative evaluation when other evaluations were not possible. The quantitative evaluation uses (A) a net import reliance indicator of the dependence of the U.S. manufacturing sector on foreign supplies, (B) an enhanced production concentration indicator which focuses on production concentration outside of the United States, and (C) weights for each producing country's production contribution by its ability or willingness to continue to supply the United States. Further details on the underlying rationale and the specific approach, data sources, and assumptions used to calculate each component of the supply risk metrics are described in the references cited in this notice.
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... In addition to informing crosscutting DOE priorities including the Critical Materials Research, Development, Demonstration, and Commercialization Application Program (RDD&CA), the DOE Critical Materials List will inform eligibility for tax credits under the Inflation Reduction Act 48C
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For more than a decade, the U.S. Department of Energy (DOE) has funded basic and applied research and development (R&D) related to critical materials to address the scientific and technological (S&T) challenges that underpin supply chain vulnerabilities. These investments were made possible through the first DOE Critical Materials Strategy in 2010. This included the first DOE Critical Materials Assessment – identifying which materials were critical for clean energy technologies. It also defined the pillars that form the foundation of the DOE research strategy that guided these investments.
The Energy Act of 2020 expanded DOE authorities to address critical materials challenges through a Critical Materials Research, Development, Demonstration, and Commercialization Application (RDD&CA) Program. The Critical Materials RDD&CA Program allows DOE to invest across the entire research continuum and supply chain. Through the Critical Materials RDD&CA Program, DOE implements the DOE Vision and Strategy for Critical Minerals and Materials (CMM):
Vision:
- Develop reliable, resilient, affordable, diverse, sustainable, and secure domestic critical mineral and materials supply chains,
- support the clean energy transition and decarbonization of the energy, manufacturing, and transportation economies, and
- promote safe, sustainable, economic, and environmentally just solutions to meet current and future needs.
Strategy:
- Diversify & Expand Supply: Diversify and expand critical mineral and material supply from varying sources while minimizing waste and increasing techno-economic coproduction of materials – to ensure material availability;
- Develop Alternatives: Innovate alternative materials and/or manufacturing components – reduce demand and partially offset the need for virgin materials;
- Materials and Manufacturing Efficiency: Use and process materials efficiently across the entire supply chain and life cycle – to reduce waste;
- Circular Economy: Remanufacture, refurbish, repair, reuse, recycle, and repurpose – to extend the lifetime of materials and partially offset the need for virgin materials;
- Enabling Activities: Cross-cutting functions, such as criticality assessments, stockpiling, international engagement, market development, and advanced theoretical, computational, and experimental tools – to accelerate progress.
The 2023 Critical Materials Assessment will enable DOE to set priorities for investments through the Critical Materials RDD&CA, continuing advancements in S&T innovation in combination with expanded focus on derisking and deploying commercialization technologies to build and transform domestic supply chains.
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so the miners want silver to be declared as critical mineral because of trade/tax benefits?"critical mineral" is a legal term and items classified as such are subject to special trade/tax rules.
As we said, leave it to the Government to try and change things with their idiotic "Legal" definitions. Still wrong.
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While the mining leaders surveyed by KPMG want to see more action from Canada when it comes to critical minerals, the country has been advancing its Critical Minerals Strategy since its implementation in December 2022.
With substantial governmental backing worth nearly C$4 billion over eight years, notable milestones attained so far include the launch of the C$1.5 billion Critical Minerals Infrastructure Fund, which is aimed at fortifying clean energy and transportation infrastructure. Two critical minerals projects have also been allocated C$249 million.
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KPMG also found that survey respondents have growing concerns about the potential non-renewal of the 15 percent federal Mineral Exploration Tax Credit in the 2024 budget. This credit incentivizes exploration targeting critical minerals excluded from the CMETC, as well as other non-critical minerals such as gold and silver.
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