1. Accelerating strategically important projects to production

Why action is needed

The economic and strategic value of Australia’s critical minerals is growing but will not be realised by market forces alone. Targeted government support that crowds in private capital can accelerate strategically important projects towards production. 

Many projects face challenging project economics, particularly as they move from exploration into development, processing and production. These projects often require high upfront capital, specialised technology, reliable energy, skilled workforces, and supporting infrastructure at commercial scale, all while operating in volatile markets. 

These challenges, especially for midstream processing and refining projects, span across technical, financial and operational requirements. They include:

• navigating technical risks from complex mineralogy and the need for specialised processing
• project risks associated with operating in remote areas, significant capital and energy requirements, long development timeframes and the fact that many proponents are junior miners and mid‑tier producers
• market risks from concentrated supply chains, opaque markets, uncertain revenue outlooks and limited pricing data.

Private capital remains essential to developing the sector, but it is not always enough to bring strategically important projects to market. High-tech manufacturing sectors, such as those that produce parts for electric vehicles, renewable energy and storage, telecommunications, and defence and aerospace applications, are not always willing to pay prices that reflect the costs of sustainable and secure supply chains despite clear demand for diversified supply.

While some projects are technically viable and supported by strong long‑term demand, they still struggle to attract investment. Factors such as technical complexity, construction and commissioning risks, market uncertainty, long development timelines and operating costs, and expected returns can fall outside private sector investment thresholds. These projects may sit close to commercial viability, but not close enough to proceed without targeted risk‑sharing or other support.

This creates a gap between what private markets will fund and what Australia needs to do to build a resilient, competitive and secure critical minerals sector. Private investment decisions do not always capture the broader benefits these projects can deliver, including more diverse supply chains, stronger economic resilience and improved national security. Targeted public investment for strategically important projects can help close this gap by improving project economics, sharing selected risks with industry and attracting private capital. 

We have world class mineral resources, a world-leading mining sector, and advanced geological and metallurgical expertise. Targeted intervention for strategically important projects can turn these strengths into commercially viable supply, create greater domestic value and support stronger trade relationships. This reflects the role of critical minerals as long‑term national assets that create strategic value extending beyond the immediate returns of individual projects.

The government will continue to de-risk and invest in the critical minerals project pipeline. This support helps maintain a sufficient stock of investment‑ready projects and strengthens our role as a reliable supplier. Government support will help build the industrial base needed to support future processing, refining and downstream opportunities under the Future Made in Australia agenda. 

Building a resilient critical minerals sector also strengthens Australia's defence and industrial capability and complements the objectives of the National Defence Strategy and Defence Industry Development Strategy.

Areas of action to nurture our critical minerals pipeline 

The Australian Government understands that the critical minerals sector needs active, targeted and proportionate support across the life cycle of exploring, extracting and processing to achieve the 2030 vision of a growing sector.

Unlocking critical minerals through precompetitive geoscience

Building a globally competitive critical minerals sector begins with discovery, and much of Australia is still underexplored. Improving our understanding of the nation's geology through pre‑exploration and exploration activities is an important step to support future critical minerals projects. 

Leveraging our national innovation network to de-risk projects 

Innovation is critical to move projects from early development through piloting, feasibility and commercial production. Targeted research and technology development can reduce technical risk, lower costs, improve environmental performance and shorten development timelines. This helps Australian firms compete in fast moving global markets. 

The Australian Renewable Energy Agency provides financial support to advanced, lower-emissions approaches to critical minerals processing, helping companies test new technologies at scale, reduce technical risk and build pathways towards commercial application.

Australian Government science agencies, universities and industry research centres are also supporting technology to reduce the technical and commercial barriers to commercialise early-stage critical minerals projects. The government is focusing investment on research and development (R&D) to improve process efficiency and reduce costs. 

Geoscience Australia, the Commonwealth Scientific and Industrial Research Organisation (CSIRO) and the Australian Nuclear Science and Technology Organisation (ANSTO) provide technical expertise that supports project development. This is helping proponents navigate technical challenges, reduce risk and progress projects towards investment decisions and commercial outcomes. These agencies bring proven real‑world scientific and technical capability that is highly valued by industry in Australia and internationally.

These science agencies have developed significant intellectual property and technical expertise that can assist Australian companies to commercialise value‑adding processing routes for products such as high purity silica, high purity alumina, tungsten, and rare earths including metallisation. CSIRO and ANSTO provide skills and capabilities arising from decades of engagement with the Australian mining and mineral processing industry. Both organisations have a long track record of process co‑development and providing flowsheet design and piloting services. ANSTO has strengths in rare earth circuit designs and has been a cornerstone of the success of several Australian companies.

Australian intellectual property is an important economic asset turning research and technical capability into commercial outcomes. Developing, protecting and commercialising Australian intellectual property reduces technology risk to enable resilient and globally competitive businesses. It also creates significant additional value in global supply chains through licensing, partnerships and services.

The Cooperative Research Centres (CRC) Program provides funding for industry‑led collaborative research partnerships to improve the competitiveness, productivity and sustainability of Australian industries. In 2026, the Critical Metals for Critical Industries (CMCI) CRC was awarded $53 million over 10 years under the CRC Program to accelerate the development and commercialisation of new critical metals refining technologies. This will include research efforts to:

• identify and prioritise Australia’s best critical metal opportunities 
• develop and pilot next generation refining and recovery technologies 
• accelerate commercialisation and workforce capability development.

In parallel to these efforts, the government is more broadly considering reforms to Australia’s R&D system which will contribute to enabling innovation in the critical minerals sector. This is informed by the Ambitious Australia report and will be supported by advice from the National Resilience and Science Council.

Financial support to de-risk strategic projects

Directed financial support is available to strategic critical minerals projects to help address barriers, reduce risks, and ultimately progress towards final investment decision. This includes where capital is constrained by scale, risk or market conditions. 

Support is delivered through a range of mechanisms and special investment vehicles, including: 

• Export Finance Australia
• the Northern Australia Infrastructure Facility
• the National Reconstruction Fund Corporation
• the Clean Energy Finance Corporation
• Indigenous Business Australia. 

These mechanisms advance Australia's shared economic objectives with our partners and complement our joint efforts to build secure and resilient critical minerals supply chains. They reduce vulnerabilities to supply disruptions and strengthen the long term availability of critical inputs for strategic industries.

Export Finance Australia

Export Finance Australia (EFA) is Australia’s export credit agency which supports Australian businesses to expand globally. It also administers the Australian Government’s Critical Minerals Facility (CMF). EFA provides finance on its Commercial Account to commercially viable critical minerals projects within Australia and abroad. Support via the CMF is designed to crowd‑in private finance and buyers from international partners, helping to diversify global supply chains and meet demand. As of June 2026, EFA has approximately $3.1 billion in funding that has been committed to 5 major critical minerals projects across Australia.

The Northern Australian Infrastructure Facility

The Northern Australia Infrastructure Facility (NAIF) is a government financier, providing concessional loans for the development of infrastructure projects in Northern Australia and the Australian Indian Ocean Territories. NAIF continues to play an important role in supporting the growth of the critical minerals sector in northern Australia. NAIF provides finance to support projects that deliver public benefit in northern Australia, creating jobs, economic growth, opportunities for local suppliers and supporting First Nations outcomes. 

As at 30 June 2026, NAIF has committed up to $835 million to support 5 critical minerals projects in Northern Australia*. This includes investments made through the expanded $500 million funding allocation earmarked in 2023 under the NAIF Investment Mandate for projects that advance the Critical Minerals Strategy 2023–2030.

* HPA First Project; Nolans Rare Earths Project; Thunderbird Mineral Sands Project; PLS P680 Expansion Project; Coburn Heavy Mineral Sands Project. 

The National Reconstruction Fund Corporation

The National Reconstruction Fund Corporation (NRFC) can support critical minerals projects through its broader mandate to strengthen priority sectors of the economy including value adding in resources and renewable and low emission technologies. Through debt, equity and guarantee investments, NRFC aims to crowd-in private capital, improve supply chain resilience and support projects that expand Australia’s capability in value adding stages of production. As of July 2026, NRFC has announced $325 million in investments to critical minerals projects.

The Clean Energy Finance Corporation 

The Clean Energy Finance Corporation (CEFC) invests in the latest technologies to generate, store, manage and transmit clean energy. This includes:

• investing in mining technology and industrial decarbonisation to support Australia’s transition to lower emissions
• supporting critical mineral supply chains
• addressing financing gaps
• mobilising private investment in projects that contribute towards decarbonising the economy. 

Since inception to June 2026, the CEFC has made investment commitments of more than $300 million to support Australia’s emerging critical mineral supply chains and build further momentum in the sector.

Indigenous Business Australia 

Indigenous Business Australia (IBA) is a Commonwealth Corporate Entity that assists Aboriginal and Torres Strait Islander Peoples to build economic independence and wealth. Over the next 5 years of IBA’s Towards 2030 Strategy, it aims to mobilise between $5 billion to $7 billion to advance the commercial and economic interests of Indigenous peoples. IBA considers mining and critical minerals as one of its priority sectors and an area that represents significant emerging opportunities for First Nations peoples.

IBA Investments is a financial investor, that co-invests at a minority level with Indigenous entrepreneurs and corporations to grow viable operating businesses and projects that have reached the final investment decision stage. IBA Investments can invest or lend funds to larger projects and works together with the Commonwealth Special Investment Vehicles.

Market-enabling supports to advance critical minerals processing in Australia 

The government is also improving the investment environment for critical minerals projects and strengthening the commercial case for processing and refining in Australia. 

Australia wants to incentivise first movers to produce processed critical minerals. The government is providing support that improves project economics and provides a more competitive return on investment for activities beyond traditional upstream production.