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American Resources Policy Network
Promoting the development of American mineral resources.
  • Department of Energy

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  • Secretary of Energy Jennifer Granholm Commits to “Soup to Nuts” Strategy, with Critical Minerals Being “Part and Parcel” of Renewable Energy Production

    During last week’s Senate Committee on Energy and Natural Resources hearing on President Joe Biden’s FY 2022 budget request for the Department of Energy, Senators questioned Secretary Jennifer Granholm on the Department’s view on the role of critical minerals in energy production.

    Watch the archived webcast here.

    Sec. Granholm stated that critical minerals are “part and parcel of how we are going to be able to electrify the electric vehicle supply, it is part and parcel of making sure that we have the means to [support] the full stream of technology products for clean energy,” domestically.

    While stressing the need for recycling and substitution, when pressed by Sen. Steve Daines (R-Montana), Sec. Granholm expressly rejected the notion of an “anti-mining,” “anti natural resource development” sentiment in the Biden Administration.

    She pointed to page 18 of the just-released National Blueprint for Lithium Batteries by the Federal Consortium for Advanced Batteries, which stipulates “[s]ecure access to raw and refined materials and discover alternatives for critical minerals for commercial and defense applications” as the number one goal and lists the following near-term objectives:

    1. Work with partners and allies to establish reliable sources and supplies of key raw materials for batteries, including critical minerals, both domestic and international
    2. Increase U.S. safe and sustainable production capacity of critical battery minerals (lithium, nickel, and cobalt) by supporting R&D and mining efforts
    3. Develop federal policies to support the establishment of resilient domestic and global sources and supplies of key raw materials

    Calling DOE’s approach a “wrap-around strategy” that includes recycling and substitution, as well as mining, she said:

    “This is the United States. We can mine in a responsible way. And many places are doing it. And there are some places where there are more challenges, but we can do this.”

    It’s a welcome affirmation of the comprehensive “all of the above” approach ARPN and many others have been calling for, in keeping with the objectives the Biden Administration has embraced in its just-released 100-Day Supply Chain Report.

    As Secretary Granholm rightfully says, mining (and processing for that matter) can be done — and is being done — in a sustainable and responsible way in the U.S. APRN will be highlighting some of the more recent efforts undertaken by industry to support the green energy transition in forthcoming posts.

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  • DoE Chapter of 100-Day Supply Chain Report Calls for Immediate Investment in “Scaling up a Secure, Diversified Supply Chain for High-Capacity Batteries Here at Home”

    The Biden Administration made clear early on that it is committed to pursuing a low-carbon energy future, and battery technology is a key driver underpinning the shift away from fossil fuels. Just a few weeks ago, when touting his infrastructure package at Ford’s electric vehicle plant in Dearborn, President Joe Biden declared: “The future of the auto industry is electric. There’s no turning back.”

    Thus, it came as no surprise that President Biden’s February 2021 executive order launching a 100-day review of supply chain vulnerabilities for four key products targeted advanced batteries. The Department of Energy has now completed its review, with the findings released last week as part of a comprehensive 100-Day Supply Chain Report.

    As DoE points out:

    “Advanced, high-capacity batteries play an integral role in 21st-century technologies that are critical to the clean energy transition and national security capabilities around the world—from electric vehicles, to stationary energy storage, to defense applications. Demand for these products is set to grow as supply chain constraints, geopolitical and economic competition, and other vulnerabilities are increasing as well.”

    In its report chapter, DoE notes that

    “The rationale for supporting the U.S. supply chain now is clear: demand for EVs and energy storage is increasing, investors are increasing investment in the clean economy, and the pandemic has underscored the fragility of some U.S. supply chains. China and the European Union (EU) – in contrast to the U.S. approach – have developed and deployed ambitious government-led industrial policies that are supporting their success across the battery supply chain. China has also moved beyond conventional policy support with practices involving questionable environmental policies, price distortion through state-run enterprises to minimize competition, and large subsidies throughout the battery supply chain.”

    In other words, as ARPN expert panel member and Benchmark Mineral Intelligence managing director Simon Moores told members of Congress a while back:

    “We are in the midst of a global battery arms race.”

    Moores had told members of Congress that “[i]t is not too late for the US [to secure global supply chains post-COVID] but action is needed now.” — a sentiment DoE echoes in its report chapter:

    “However, the opportunity for the United States to secure a leading position in the global battery market is still within reach if the Federal Government takes swift and coordinated action.”

    While less explicit about the “all of the above” approach than the Department of Defense, DoE notes that:

    “With the global lithium battery market expected to grow by a factor of five to ten by 2030, it is imperative that the United States invests immediately in scaling up a secure, diversified supply chain for high-capacity batteries here at home. That means seizing a critical opportunity to increase domestic battery manufacturing while investing to scale the full lithium battery supply chain, including the sustainable sourcing and processing of the critical minerals used in battery production all the way through to end-of-life battery collection and recycling.

    Through strong collaboration across the federal government, with U.S. industrial stakeholders, the research community, and international allies, the U.S. must develop a durable strategy that invests and scales our potential industrial strengths to meet this challenge.”

    Among the Agency’s key recommendations for immediate and future action to strengthen the domestic advanced battery supply chain are:

      • Strengthening U.S. manufacturing requirements in federally-funded grants, cooperative agreements, and research and development (R&D) contracts.
      • Procuring stationary battery storage.
      • Providing financing to the advanced battery supply chain for electric vehicles.
      • Releasing the National Blueprint for Lithium Batteries by the Federal Consortium on Advanced Batteries (FCAB).
      • For Congress to catalyze private capital with new federal grant programs to support battery cell and pack manufacturing.
      • The electrification of the nation’s school bus fleet, and the acceleration of the electrification of the nation’s transit bus fleet.
      • Providing consumer rebates and tax incentives to spur consumer adoption of EVs.
      • Investing in the production of high-capacity batteries and products that use these batteries to support good-paying, union jobs.

    Developing strong environmental review permitting practices for the extraction of critical minerals.

    Under the sub-head “Mapping the Supply Chain,” while the Department zeroed in on the usual suspects — notably Lithium, Cobalt, Graphite, Manganese — all of which were officially deemed critical on the U.S. Government’s official 2018 Critical Minerals list — DoE also prominently features Nickel and Copper. For Nickel, DoE even notes that “if there are opportunities for the U.S. to target one part of the battery supply chain, this would likely be the most critical to provide short- and medium-term supply chain stability.”

    Which would make Nickel the most critical “non-Critical” – a status consistent with the word cloud we created based on the number of 100-Day Report mentions (footnotes included) of the metals and minerals that made the official U.S. Government Critical Minerals List of 2018 — and the two that didn’t but should have (Nickel and Copper).

    As we noted in our post earlier this week, the Biden Administration is right to give prominence to Nickel and Copper in its strategy.

    After all, as Reuters’s Andy Home has pointed out,

    “There is no domestic nickel processing capacity outside a limited amount of by-product salt production.

    Yet this particular battery metal is the one likely to experience the most significant demand increase over the coming years, the report says, with ‘market indications that there could be a large shortage of Class 1 nickel in the next 3-7 years.’

    Indeed, with nickel content rising in battery cathode design, not having enough of the right kind of nickel ‘poses a supply chain risk for battery manufacturing globally, not just in the United States.’”

    And for Copper, the latest IEA report has estimated that — largely driven by the EV revolution — demand will be 25 times greater in 2040 than it was in 2020.

    Thankfully, there are opportunities to alleviate our supply chain vulnerabilities and to begin the “sustainable sourcing and processing” here at home, both for Nickel and Copper, as well as for the other battery “Criticals,” and many other metals and minerals.

    With the Administration having endorsed an “All of the Above” strategy to secure our supply chains “soup to nuts,” as Secretary of Energy Jennifer Granholm phrased it earlier this week, here’s hoping that this broad-based approach will find swift application via policy, programs and projects.

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  • Amidst Big Policy Shifts, Signs for Continued Emphasis on Securing Critical Mineral Supply Chains at DoE

    Parents of young children will know: Transitions are hard. And what is true for toddlers, is also true for government. Observers of the critical mineral resource realm have been closely monitoring the transition from the Trump Administration to the Biden Administration. There were early indications that, unlike some other areas, the critical mineral resource realm [...]
  • Russia Pushes for Global Rare Earth Market Share as U.S. Struggles to Move Forward With Critical Minerals Initiatives

    Russia is certainly making headlines this week.  Quite obviously, much of the media attention is focused around President Vladimir Putin’s declaration that Russia has approved a vaccine for the coronavirus (after less than two months of testing) — but developments in the critical minerals realm also warrant attention: A top Russian government official has told [...]
  • ARPN’s Wirtz: “COVID Should Be the Last Warning the U.S. Needs to Bolster Mineral Resource Security”

    ***Posted by Daniel McGroarty*** “The current coronavirus pandemic has exposed significant supply chain challenges associated with our over-reliance on foreign (and especially Chinese) raw materials,” — writes ARPN’s Sandra Wirtz in a new piece for The Economic Standard:   “PPE has become the poster child, but whether it’s smart phone technology, solar panels, electric vehicles, or [...]
  • ARPN Expert Zeroes in on Issues Surrounding Uranium – an “Underappreciated Energy Source”

    In a new series for Capital Research Center, Ned Mamula, member of the ARPN expert panel, adjunct scholar in geosciences at the Center for the Study of Science, Cato Institute, and co-author of “Groundbreaking! America’s New Quest for Mineral Independence,” takes a closer look at Uranium – an “underappreciated energy source.”  In the four-part-part series, Mamula [...]
  • Materials Science Profiles of Progress: DoE’s New Research Center on Lithium Battery Recycling to Leverage Resources of Private Sector, Universities and National Laboratories

    Speaking at the Bipartisan Policy Center’s American Energy Innovation Council last week, Energy Secretary Rick Perry announced the launch of a new research center on lithium battery recycling. The Battery Recycling R&D Center will focus on reclaiming and recycling “critical materials (e.g. cobalt and lithium) from lithium based battery technology used in consumer electronics, defense, energy [...]
  • “Materials Science Profiles of Progress” – REE Extraction From Coal

    In the fairy tale realm, Rumpelstilskin was able to turn straw into gold. Meanwhile, in the real world, as part of our feature series “Materials Science Profiles of Progress,” we’re taking a closer look at a recently-announced research partnership that may not be able to turn straw into gold, but promises to extract precious Rare [...]
  • Materials Science Profiles of Progress: CMI Public-Private Partnership Studies New Ways to Capture Gateway Metals and Critical Co-Products

    As part of our latest feature series “Materials Science Profiles of Progress,” in the context of which we highlight positive steps towards the development of the comprehensive mineral resource strategy our country is so sorely lacking, we’re zeroing in on a promising public private partnership that recently celebrated its first birthday. In October of last [...]
  • 2016 – A Mixed Bag for Mineral Resource Policy

    It’s that time of the year again.  And as people are gearing up for the New Year, we are taking the opportunity to take stock of the last twelve months, and want to highlight a few select notable developments of relevance to ARPN followers. From a mineral resource policy perspective, we saw some positive developments [...]

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