A new report from The Payne Institute for Public Policy at Colorado School of Mines in Golden emphasizes the potential of mining tailings, the high cost curve associated with nickel, new legislation aimed at increasing domestic mining of critical minerals, and the U.S. government’s recent $4.9 billion investment in mining and processing. This marks the second year the Payne Institute has produced the State of Critical Minerals Report.
The report builds on last year’s analysis, which offered a comprehensive overview of critical minerals’ global supply, demand and political landscape. This year’s edition focuses on the U.S. federal response and examines the dynamics affecting the mining industry amid the global energy transition.
Key takeaways from the report include the following:
- Mining tailings, produced at a rate of 12.7 billion tons per year and stored at approximately 30,000 sites globally, represent a significant source of critical minerals. Mining tailings are the waste materials left over after the extraction of valuable minerals from ore. Legislation that relieves liability, alongside advancements in technology and processing, can help access these minerals.
- Proprietary analysis from the Payne Institute indicates that nickel’s “cost curve” is four times steeper than that of cobalt, which can influence the adoption of clean-energy technology as electric vehicle fleets expand worldwide.
- Since 2021, 17 bills promoting domestic critical mineral mining have been passed or introduced in the U.S. Congress, including bipartisan legislation introduced last month by Senators John Hickenlooper (CO) and Thom Tillis (NC) aimed at creating a coordinating body and providing innovation support.
- The U.S. currently graduates 160 mining undergraduate degrees per year, compared to 2,500-3,000 in China, pointing to a need for increased educational support in mining engineering.
- There is growing attention on appropriate engagement with the 574 federally recognized Native Nations in the U.S. to support mining development.
- From early 2021 to Q1 2024, federal government agencies announced $4.9 billion in financial support for specific mining and processing projects.
“It is clear that the only viable path to mining development in the U.S. requires a dual focus on innovative technologies and techniques and engagement with communities, Tribes and wider society,” said Morgan Bazilian, director of the Payne Institute. “This year’s State of Critical Minerals report considers the many steps being considered to address both fronts. It also highlights the leading research and workforce development being done by the extraordinary, interdisciplinary teams at the Colorado School of Mines.”