Critical metals: Essential for ensuring a sustainable future for all

Recent decades have seen a once unfathomable transition to technological ubiquity, where globally it has become pervasive, with a now unstoppable momentum. Key to such rapid advancements have been critical metals – notably rare earth elements, but also nickel, cobalt, copper, and lithium – with their unique properties expediting the development of a plethora of technologies. With ongoing scientific research and innovation, the significance of these elements to aid our planet’s transition to a sustainable future through the adoption of clean energy technologies, is only going to increase.

Sustainability is multi-factorial and requires a holistic approach that considers the interconnectedness of environmental, economic, and social factors at a regional, national, and international level. As the developer of key critical metals projects in Botswana for copper, nickel, and rare earths – including neodymium, praseodymium, dysprosium, and terbium – Eastport Ventures is attuned to the criticality of these metals, and the current geopolitical dynamics surrounding their supply. Accordingly, Eastport is committed to the advancement of its critical metals projects with the objective of playing a key role in their supply for uses including clean energy technologies that will transition the world to a sustainable net-zero future.

These clean energy technologies include wind turbines, for which copper is integral due to its electrical and thermal conductivity, whilst nickel also plays a crucial role being used as a superalloy, as well as in different components. For direct-drive wind turbines, neodymium is a key rare earth used in the manufacture of permanent magnets, which are essential for the efficient conversion of energy from the wind into electrical energy. Direct-drive turbines aid sustainability by having lower maintenance compared to those turbines with gearboxes, as well as leveraging neodymium’s durability to function unchanged in both high and low temperature extremes, thereby ensuring sustained energy production.

One challenge with wind turbines has been energy storage, since surplus energy generated during periods of high wind is wasted if not used immediately or stored for later use. Addressing wasted energy has been a key driver behind energy storage technologies, which will play an important role in aiding sustainability by stabilising the grid through the provision and absorption of energy, in turn reducing the need for power generation from fossil-fuels. Copper and nickel are integral to energy storage technologies, as are rare earths including lanthanum and cerium in nickel-metal hydride batteries.

Solar Panels, meanwhile, have become more efficient in terms of the absorption by the cells of sunlight, their resistance to temperature extremes, and their design, through integrating rare earths such as neodymium, dysprosium, and praseodymium.

These metals have become critical to the most efficient design and operation of these renewable technologies, but also their longevity, an important factor in encouraging their global adoption. However, the geopolitical dynamics surrounding these critical metals raise concerns that are finally being addressed.

As discussed, these renewable technologies, whilst crucial to the elimination of fossil fuel dependence and the transition to a net-zero world, are interconnected with the supply of critical metals. China’s dominance over critical metals, particularly rare earths, where in 2022 it was responsible for 70% of global production and 85% of global refinement, has led to it being a monopsonist. In December 2023, China banned the export of rare earth magnet technologies – i.e. neodymium, praseodymium, dysprosium, and terbium – thereby highlighting the USA and other Western nations’ vulnerability to their reliance on China for the production and processing of these rare earths. As the transition to a net-zero world gathers pace, demand for rare earths has been forecast to increase by up to seven times from today’s level over the next 15 years, led by electric vehicles and wind turbines.

It is becoming apparent that the West is recognising the immediate and longer-term ramifications of China’s continued monopsony over rare earths. In June, Australia instructed several investors linked to China to dispose of their shareholdings in rare earths miner, Northern Minerals, developer of the Browns Range heavy rare earth project in Western Australia, on grounds of national interest. The geopolitical sensitivities between the West and China and its allies suggest that these manoeuvrings may become commonplace in the years ahead.

Clearly one way to reduce the dependence on China is for new discoveries of these critical metals to be made in both established and emerging jurisdictions, whilst reducing the lead time to production, aided by potential fiscal incentives. Furthermore, countries need to invest heavily in their domestic processing and refining capacities, and educating a workforce to be adept in their operation.

Eastport Ventures is cognisant of its responsibility to deliver for investors by proactively advancing its portfolio of critical metals projects in Botswana. The company’s proactive approach ensures regular news flow to keep investors engaged, which is crucial to attracting capital to the sector, whilst delivering on its in-country work commitments.

The demand for critical metals is not going to abate any time soon, and in order to ensure that countries meet their net zero emissions targets, as committed to at COP26, comprehensive investment must be made at all levels from discovery, to production, to refinement. Ensuring a secure supply of these critical metals will aid the financial viability of the rollout and adoption of renewable technologies to ensure sustainability is met globally at an environmental, economic, and social level.

Read the article online at: https://www.globalminingreview.com/mining/01072024/critical-metals-essential-for-ensuring-a-sustainable-future-for-all/