Critical Minerals Scarcity: Not Just a Reserves Question

Critical mineral scarcity is not just about reserves, according to GEM Mining Consulting. The company analyzed six critical mineral supply chains and found two distinct problems: whether enough primary tonnes are likely to exist and whether those tonnes can reach users in the required product form.

The International Energy Agency's 2035 supply outlook and a GEM screening framework were used to analyze copper, lithium, nickel, cobalt, battery-grade graphite, and magnet rare earths. The results showed that the expected 2035 mined or raw supply covers only 68% of primary lithium requirements, 74% for cobalt, and 75% for copper.

Copper demand is projected to surge more than 70% from 2021 to 2050, driven largely by data centers and the energy transition. Gunnison Copper (TSX:GCU) has started production at its Johnson Camp mine in the US, which is expected to produce 99.999% pure copper cathode.

Lake Winn Resources (TSX-V:LWR) is focused on developing and advancing the Little Nahanni Pegmatite Group Project in Canada, which provides exposure to lithium, tantalum, and tin. Cobalt Blue (ASX:COB) is an Australian mining company developing an integrated critical minerals platform, including a cobalt refinery.