A recent industry conference heard Exploration Insights newsletter writer and analyst Joe Mazumdar warn that a blind rush toward carbon neutrality by 2030.
He told The Mining Investment Event in Quebec City, Que., last month that one of the main challenges was the lack of sufficient time and thoughtful consideration given to the complex issues surrounding the plan for carbon neutrality by 2030.
“Rushing the transition without thorough planning can lead to suboptimal outcomes,” he said.
Further, a misalignment of policies means different regions have varying perspectives on what constitutes critical minerals, creating challenges in aligning policies and strategies for their sustainable extraction, supply, and usage.
Geopolitical tensions and conflicts can also disrupt the critical minerals supply chain, leading to potential shortages and an increased reliance on foreign adversaries for supplies.
Meanwhile, infrastructure constraints, such as a lack of roads, ports, and clean power generation, pose challenges for bringing critical mineral projects online in a timely manner.
Mazumdar further points out the mining industry faces lengthy timelines for project development, from discovery to production, due to factors like substantial investments required, permitting processes, and logistical complexities.
Producing minerals for clean energy technologies while ensuring environmental, social, and governance standards can be challenging. Increasing costs and declining ore grades can impact emissions intensity and create hurdles for obtaining funding from ESG-focused investors, Mazumdar noted.
Click below to watch a video of Mazumdar’s keynote address during The Mining Investment Event:
Fascinating and important presentation Joe. Hmm…neither copper nor uranium critical elements in the US. Well done USGS. Thank you.