On Strategic Global Mineral Reallignments...

Donald Trump's indulgence of Vladimir Putin may appear unsavoury to Europeans, but it's a perfectly rational strategic reaction to China's critical minerals monopolies.

The idea seems to be to dismantle China's monopoly over essential minerals. This argument stresses the necessity for nations like the United Kingdom to reassess and consolidate their own mineral base so as to limit reliance on other powers.

China's Command Over Critical Minerals

China's dominance of the critical minerals sector is deep.

China leads the world as a producer of 29 commodities, 22 metals, and seven industrial minerals, and produces approximately 60% of world production and 85% of processing plants. C

hina's dominance extends to minerals that are of central importance in advanced technologies, e.g., rare earths, lithium, cobalt, and nickel, which are the central elements contained in electronics, renewable energy systems, and defense systems.​

The UK's Untapped Mineral Wealth

The United Kingdom is rich in deposits of major minerals like lithium, tin, copper, nickel, cobalt, and rare earth elements. The minerals are predominantly located in regions like the Scottish Midlands, the Lake District, northwest Wales, mid-County Tyrone in Northern Ireland, and Cornwall and Devon. Despite this abundance, the UK has not conducted widespread geophysical surveys since the 1950s and 1960s, and therefore there is enormous underexploitation of these resources.

Historical Reluctance and Environmental Issues

The UK's hesitancy to explore its mineral base is a product of several decades of environmental activism and social resistance to mining and refining operations. This "official aversion to mining, refining and petrochemicals" has slowed the development of a robust native mining industry, with the nation being dependent on imports for crucial minerals. But with the global trend towards renewable energy and high technologies, there is a compelling need to reconcile environmental issues with strategic resource development.

Economic Opportunities and Strategic Plans

Investment in local extraction of minerals presents huge economic opportunities. For instance, the UK is now shipping an estimated 2,000 tonnes annually of tungsten—a highly strategic mineral for the defence industry.

With the deployment of new recovery techniques, the amount would escalate to 15,000 tonnes, which could account for approximately 20% of production worldwide. Recognizing this potential, the government of the UK has initiated action towards the formation of a safe critical minerals supply chain. The Critical Minerals Intelligence Centre (CMIC) played a pivotal role in the detection of potential sites to harbour critical raw materials, opening up sites for prospective future extraction and exploration activities.​

Rejigging Home-Grown Mining Operations

A shift of paradigm in the policy of the UK towards mining can be observed more recently. The re-opening of Cornwall's South Crofty tin mine, backed by £28.75 million funding by the UK National Wealth Fund, is evidence of this shift.

This will be generating over 300 jobs and doing a significant amount to supply domestic demand for tin, an element that is essential for the functioning of electronic devices and green energy technology. Similarly, proposals to extract lithium in Cornwall are underway, with the objective of supporting the expanding electric car industry and reducing dependence on foreign supplies of lithium. ​

Final thoughts...

The geopolitics of strategic minerals is inextricably bound up with national security, economic growth, and technological advancement. The UK's recognition of its own potential mineral wealth and the new policy initiatives towards the exploitation of these resources are a forward-looking measure to reduce dependence on external powers.

By embracing safe and responsible mining practices and building in-house capabilities, the UK can become a very powerful force in the global critical minerals industry, offering a safe and sustainable supply to future generations.

Posted Using INLEO