The Minns Labor Government has launched a new $2.5 million co-investment seed funding program to unearth the state's next major critical minerals projects.
The new Critical Minerals Exploration Program is a key part of the government's Critical Minerals and High-Tech Metals Strategy and highlights its commitment to an industry which provides high-quality jobs in regional NSW and mines the materials needed to build the net-zero future.
NSW critical minerals projects contribute to global supply chains which are required to manufacture products like wind turbines, batteries and solar panels and are needed to electrify the energy grid.
There are already dozens of critical minerals projects at different stages of the exploration, planning and production pipeline across NSW, including:
- 190 exploration titles that are currently being explored, searching for the next big critical minerals, high-tech metals or rare earth elements deposit.
- More than 10 critical minerals and high-tech metals projects that are ready for investment. This includes projects like ASM's Dubbo Project searching for rare earth elements and a scandium project in Nyngan. These projects need around $7.6 billion in capital investment value and are expected to generate about 4,600 jobs during construction and 2,700 ongoing jobs.
- 13 active major metals and critical minerals mines in NSW, employing more than 6,000 people, mostly across the state's Central West and Far West.
The $2.5 million fund requires a 50% co-investment from successful applicants and will encourage more exploration in the state, supporting companies to undertake drilling, geophysics and geochemistry, all crucial steps to determine the scale of a critical minerals deposit.
The $2.5 million Exploration Program has four funding streams:
- Exploration Geochemistry: Up to $50,000 per project
- Exploration Geophysics: Up to $70,000 per project
- Exploration Drilling - less than 250 metres depth: Up to $150,000 per project
- Exploration Drilling - greater than 250 metres depth: Up to $250,000 per project
Exploration geochemistry, geophysics and drilling are important tools that explorers use to discover new critical minerals deposits. Intense exploration activities are required to confirm the strength of a minerals deposit and the viability of a project before it undertakes the planning process.
Applications for the co-investment fund open at 10am Wednesday, 16 April 2025 and close at 5pm on Monday 30 June 2025, with a requirement that projects be completed by 30 September 2027.
Interested parties are encouraged to apply and can find more information on the NSW Resources website.
For further information on the Critical Minerals and High-Tech Metals Strategy 2024-35 visit the Critical Minerals and High-Tech Metals Strategy 2024-35 web page.
Quotes attributable to Minister for Natural Resources Courtney Houssos:
"This important funding will help get more explorers out into regional NSW to find new deposits of critical minerals.
"The Exploration Program is about supporting a pipeline of investment, helping explorers with discoveries that can lead to new opportunities for mining, processing and manufacturing.
"Critical minerals are going to power the net-zero future. Whether it's solar panels, wind turbines, batteries or electric vehicles, they all need materials and minerals that are found right here in NSW.
"NSW has a long history with mining and this $2.5 million co-investment fund points to its bright future.
"I encourage experts and explorers from around the world to come here, partner with the NSW Government, and kick off a new round of groundbreaking discoveries."
Quotes attributable to Association of Mining and Exploration Companies CEO Warren Pearce:
"Exploration is undoubtedly the lifeblood of the mining industry. It's highly speculative, high risk but has also proved highly rewarding for Australia. We need incentives like this from the New South Wales Government to discover new critical minerals deposits.
"AMEC and our members welcome this co-investment fund from the State Government. It shows a high level of understanding and listening to the concerns of industry from Minister Houssos.
"If we can get it right at the ground level, New South Wales can position itself as a major player in the critical minerals space."
