Australia’s Critical Minerals: What They Are, What They’re Used For, and How Much We Have

Australia is one of the world’s leading suppliers of critical minerals—essential raw materials that are vital for modern technologies, national security, clean energy, and the global shift to a low-carbon economy. These minerals underpin everything from smartphones and solar panels to electric vehicles and advanced defense systems. With increasing global demand and geopolitical interest in securing stable supply chains, Australia plays a pivotal role in the critical minerals landscape.

What Are Critical Minerals?

Critical minerals are non-fuel mineral resources deemed essential for the functioning of modern economies and whose supply chains are at risk of disruption. The Australian Government maintains a list of critical minerals based on strategic importance and supply risk. Some of the key minerals on this list include:

• Lithium

• Cobalt

• Nickel

• Rare Earth Elements (REEs): Including neodymium, praseodymium, dysprosium, and terbium

• Graphite

• Manganese

• Vanadium

• Tungsten

• Zirconium

• Titanium

• Tin

• Tantalum

What Are These Minerals Used For?

Each mineral plays a specific role in modern industries and clean technologies:

1. Lithium

• Uses: Rechargeable batteries (laptops, phones, electric vehicles), energy storage systems

• Sectors: Clean energy, electronics, transportation

2. Cobalt

• Uses: Lithium-ion batteries, superalloys, jet engines

• Sectors: Electric vehicles, aerospace, defense

3. Nickel

• Uses: Stainless steel, battery cathodes for EVs, alloys

• Sectors: Green technologies, construction, electronics

4. Rare Earth Elements (REEs)

• Uses: Magnets for wind turbines and EV motors, lasers, military tech, electronics

• Sectors: Renewable energy, defense, consumer electronics

5. Graphite

• Uses: Battery anodes, lubricants, refractories

• Sectors: Energy storage, steel production, electronics

6. Manganese

• Uses: Steel strengthening, battery components

• Sectors: Construction, batteries

7. Vanadium

• Uses: High-strength steel alloys, redox flow batteries

• Sectors: Grid energy storage, construction

8. Zirconium & Titanium

• Uses: Ceramics, heat-resistant alloys, aerospace parts, pigments

• Sectors: Defense, aerospace, chemical processing

9. Tin, Tantalum, Tungsten

• Uses: Soldering electronics, capacitors, cutting tools

• Sectors: Electronics, manufacturing, automotive

How Much Does Australia Have?

Australia boasts some of the world’s largest reserves and production capacities for critical minerals:

Lithium

• Reserves: ~6.3 million tonnes (second largest globally)

• Production: World’s largest producer, primarily from the Greenbushes mine (WA)

Rare Earths

• Reserves: ~4.2 million tonnes of REO (Rare Earth Oxide equivalent)

• Production: One of the top producers, notably from Lynas Rare Earths in Western Australia

Cobalt

• Reserves: ~1.4 million tonnes (third largest globally)

• Production: Emerging producer, often as a byproduct of nickel mining

Nickel

• Reserves: ~20 million tonnes

• Production: Major global supplier, with significant growth expected in battery-grade nickel

Graphite

• Reserves: Substantial but underdeveloped

• Production: Currently limited but increasing with new projects

Vanadium

• Reserves: Large undeveloped deposits in WA, NT, and QLD

• Potential: High export potential as demand for grid storage increases

Other Minerals

• Australia also has significant resources of tantalum, tungsten, zirconium, titanium, and manganese, though many are not yet fully commercialized.

Australia’s Role in the Global Supply Chain

Australia’s vast resource base, political stability, and strong environmental standards make it a reliable partner in global supply chains. As countries like the United States, Japan, and those in the EU seek to diversify their sources away from China, Australia is emerging as a key strategic ally.

The Australian Government has launched initiatives such as the Critical Minerals Strategy and provided funding through the Critical Minerals Facility to support exploration, development, and downstream processing to create more value-added products domestically.