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Critical Minerals: Securing raw material supply to underpin electrification ambitions

Global mining organisations and automotive OEMs are starting to accept their unequivocal role in underwriting the investment required to develop the critical mineral raw materials needed for the energy transition.

Our critical mineral thought leadership, explores the unique challenges and opportunities critical mineral market participants can expect to encounter as they race to secure raw material supply.

The innovations and high-tech applications vital to the energy transition can only be achieved with investment in underdeveloped supply channels of critical mineral raw materials, be it by industry, downstream users and/or government.

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To continue supplying the EV industry, whole sectors, workforces and supply chains must change – catalysed by new EV-focused market entrants and timely government support. In a world of volatile market dynamics and heightened competition, supply solutions that illuminate complex supply problems, facilitate supply chain control, and draw upon a resilient supply of raw materials will serve as an enduring competitive advantage for EV market participants.

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Developing sustainable sources of critical raw materials for use in Electric Vehicle (EV) applications are limited by constraints that are more complex than those of a traditional internal combustion engine (ICE) supply chain. For the world to remain in line with IEA (Net Zero Emissions) targets, such constraints must attract proactive and realistic solutions at the speed and scale required to supply energy transition technologies. Can OEMs revolutionise their existing supply chains at the pace required to meet the ramp-up in EV demand?

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Alongside securing supply through mining partnerships and acquisitions, auto OEMs recognise that pursuing new supply chain and inorganic growth strategies means new risks to their business, specifically regarding potential environmental and social impacts. Several OEMs also have ambitious ESG commitments and targets, compelling them to carefully navigate the alignment of their sustainability objectives when investing and operating in the mining industry, driving distinct and larger ESG footprints.

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