Vince Connelly (Stirling, Liberal Party) Share this | Link to this | Hansard source

As the name suggests, critical minerals, including rare earths, are essential to economic wellbeing, with widespread use in mobile phones, widescreen televisions, wind turbines, electric cars and defence equipment and weaponry. For example, there are over 400 kilograms of rare earths used in every Joint Strike Fighter.

China accounts for over 90 per cent of rare earth supply, and this results in critical supply chain risk as well as a heavily distorted market. For all these reasons, the Morrison government is committed to supporting our critical resources sector. Australia is already a world leader in resource exports, and we're well placed to lead the way as a secure, reliable and ethical supplier of critical minerals as well. Already, we have some of the world's largest resources of things like tantalum, zirconium and titanium.

Today I welcomed the news that Arafura Resources, through Export Finance Australia, has been granted a conditional letter of support for a 15-year, $200 million facility. This Australian government support is already helping to advance Arafura's funding sources for their Nolans Neodymium-Praseodymium Project near Alice Springs. The project has the potential to supply five to ten per cent of the world's market at the very time when demand for critical minerals is forecast to boom in the years ahead.