More than $1 billion will be invested in creating a critical minerals reserve if Labor is returned to Government after the May 3 Federal Election.
Labor leader Anthony Albanese said the creation of Critical Minerals Strategic Reserve would boost the country’s economic resilience.
“A re-elected Labor Government will make an initial investment of $1.2 billion in the Reserve, including through a $1 billion increase in the existing Critical Minerals Facility,” Mr Albanese said.
“This will take our total investment in the Facility to $5 billion, providing vital support to private sector and international partners with the upfront capital costs of new projects.”
He said critical minerals and rare earths were essential inputs to the modern and future economy – underpinning the energy transition, high tech manufacturing, AI and the digital economy.
“Australia is home to some of the largest critical minerals deposits on earth – just about the whole periodic table of elements.
“We are uniquely placed to meet the needs of increasing global and domestic demand. The size and sophistication of our mining industry allows us to take maximum advantage of these resources.”
Mr Albanese said the Reserve would build on extensive Australian Government investment in critical minerals through two new mechanisms:
- National Offtake Agreements – through voluntary contractual arrangements the Government will acquire agreed volumes of critical minerals from commercial projects, or establish an option to purchase at a given price, holding security over these assets as part of the Strategic Reserve; and
- Selective stockpiling: the Government will establish Australian stockpiles of certain key critical minerals produced under offtake agreements as required.
He said a Taskforce would be established to consult and finalise the scope and design of the Strategic Reserve in Government, which was expected to be operational in the second half of 2026.
