Financing pathways for investors in Australia’s critical minerals supply chain

The Australian Government’s Future Made in Australia agenda identifies critical minerals processing as an area that can make a significant contribution to Australia’s economic security and resilience. Critical minerals are also crucial to support Australia to decarbonise and reach net zero by 2050.

Foreign investment will make a major contribution to the development of Australia’s critical minerals industry. As a trusted, reliable supplier with large reserves of critical minerals and a growing number of downstream processing facilities, Australia can support like-minded international partners to diversify and strengthen their supply chains.

The Australian Critical Minerals Prospectus showcases 94 investment-ready projects, comprising 58 upstream and 36 midstream projects. International companies will find investment and offtake opportunities across extraction, processing, manufacturing and technology development and application.

The Australian Government offers specialist direct investment vehicles (SIVs), incentives, grants and other support for critical minerals investors and infrastructure developers. The SIVs listed below work with each other where mandates overlap to provide whole-of-government solutions. This ensures viable projects receive the relevant finance and support required to proceed. 

Critical Minerals Strategic Reserve

The Critical Minerals Strategic Reserve (CMSR) secures the supply of select critical minerals for Australia and its key international partners. The current priority minerals are antimony, gallium and rare earth elements. 

The CMSR has a range of tools the Australian Government can deploy to support strategic projects, including securing rights to offtake. Support for projects depends on the needs and conditions of specific mineral markets. This allows Australia to respond to fast-moving market dynamics and the unique circumstances of different minerals.

The CMSR draws on A$1 billion in funding from the expanded A$5 billion Critical Minerals Facility. The Australian Government has allocated a further A$150 million for selective stockpiling of minerals, where required. 

Learn more about the Critical Minerals Strategic Reserve.

Export Finance Australia

Export Finance Australia (EFA) is the Australian Government’s trade and strategic finance agency. It provides finance for commercially viable critical minerals projects when private markets or commercial lenders cannot meet a project’s funding needs.

EFA also supports critical minerals projects and supply chains that strengthen Australia’s economic security by administering the Australian Government’s A$5 billion Critical Minerals Facility and supporting the delivery of the Government’s A$1.2 billion Critical Minerals Strategic Reserve.   

Learn how EFA supported Arafura Rare Earths.

EFA works with export credit agencies and government counterparts in countries including the United States, Japan and Korea, as well as commercial financiers, to share risk and help viable projects secure the finance they need to proceed.

EFA and the Export-Import Bank of the United States (U.S. EXIM) have established a single point of entry to accelerate referrals and joint financing for eligible critical minerals transactions. Australian and US businesses can approach either EFA or U.S. EXIM for streamlined access to financing support from both agencies.

For more information, contact Export Finance Australia. 

EFA provided support to Arafura Rare Earths’ Nolans Project.

Northern Australia Infrastructure Facility

The Northern Australia Infrastructure Facility (NAIF) is helping unlock the infrastructure needed to support new industries, strengthen supply chains and drive private investment across the north.

NAIF has earmarked up to A$500 million for critical minerals projects in the Northern Territory, Queensland and the Northern Territory. Projects under consideration include developments in rare earths, vanadium, lithium hydroxide, high-purity alumina, and silicon. 

Learn how NAIF supported Alpha HPA to develop a high-purity alumina facility.

For more information, contact the Northern Australia Infrastructure Facility.

National Reconstruction Fund Corporation

The A$15 billion National Reconstruction Fund Corporation (NRF) provides investment to companies and projects delivering sovereign capability across priority areas of the Australian economy, including critical minerals. It also operates the A$5 billion Net Zero Fund, designed to support Australian industrial firms to decarbonise as well as backing low-emissions technologies.

The NRF invests in activities that add value to Australia’s critical minerals and metals. This includes:

• manufacturing innovative products used in or in connection with mining, such as exploration and drilling technology, safety solutions and transport
• processing, refining and using minerals in Australia including refining materials for use in battery manufacturing and technologies
• manufacturing products and technologies to advance mineral processing, refinement and fabrication.

Learn how NRF funding helped Liontown Resources to ramp up its Kathleen Valley Lithium Operation.

For more information, contact the National Reconstruction Fund Corporation.

Critical Minerals Production Tax Incentive

The Critical Minerals Production Tax Incentive (CMPTI) aims to support companies processing and refining minerals on Australia's Critical Minerals List.

The CMPTI will be available from 1 July 2027 to 30 June 2040.

• It will provide a 10% tax offset on eligible Australian processing expenditure for critical minerals processed and refined during the period.
• It allows for up to 10 years per registered processing activity.
• The offset is uncapped and refundable. If your tax liability is reduced to zero, you may get a refund on the remainder.

Learn more about the Critical Minerals Production Tax Incentive.

Further information

Learn more about Australia’s critical minerals capability, projects and policies in Australian states and territories, and international partnerships.

• Why Australia is made for critical minerals investment
• An investor’s guide to state and territory critical minerals programs
• International partnerships drive the development of resilient critical minerals supply chains

How Austrade can help

The Australian Trade and Investment Commission (Austrade) supports foreign investors to establish and expand operations in Australia. Our experts in Australia and around the world can help you through every stage of your investment journey.

We offer the latest industry insights, connections with key stakeholders and decision-makers, and virtual or physical site visits to Australia. Thousands of foreign businesses have worked with us to tap into the Australian market.

For information on investment opportunities in Australia, contact an Austrade investment specialist.