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CRITICAL AND STRATEGIC METALS
Critical and strategic raw materials have high economic importance for countries globally and may pose a high supply risk
Critical and strategic metals are essential to the economy, and any disrupted supply may have a significant impact on the production of critical and strategic end products such as alloys, computer equipment, EV and batteries. Over time the ‘criticality’ of any particular mineral may change as society’s needs shift.The renewable energy, automotive and electronic manufacturing sectors are currently driving the requirement to develop secure supply chains of key critical and strategic metals.
The EV Revolution
The mass adoption of electric vehicles (EVs) is expected to continue for years ahead, with demand driven by policy incentives, rising incomes, and technological advancements. This growth is predicated on the availability and affordability of the input raw materials. EVs and battery storage account for about half of the anticipated metals demand growth from clean energy technologies over the next two decades.
Renewable energy technologies, electric vehicles and batteries are extremely mineral intensive, relying on a small number of key metals.
Electronic components and capacitors are two of the main uses of tantalum, for example, while copper is used in electrical equipment, such as wiring and motors.
This low-carbon future would see strong demand for a wide range of base and precious metals, the World Bank has reported. This demand increase may produce “Supply Gaps”, as metal output rises too slowly to meet demand.
The global clean energy transition will have far-reaching consequences for mineral demand over the next 20 years.
The IEA report The Role of Critical Minerals in Clean Energy Transitions, published in May 2021, outlines that mineral demand for graphite, copper and nickel will dominate demand measured by weight for these minerals. Aterian’s copper projects in Morocco position the Company to benefit from this rising demand. In its Sustainable Development Scenario, involving stringent climate measures, total mineral demand for clean energy technologies quadruples from the present day. The report also states that mineral demand from EVs and battery storage grows by 30 times in this scenario over the period to 2040.
CRITICAL AND STRATEGIC METALS
Essential For A Green
Future
Secure and sustainable supply required for key technologies and strategic sectors such as renewable energy, digital and e-mobility.
Copper is one example of a metal increasingly coming into focus with forecasts for a long commodity super-cycle resulting from the need to electrify business and society to meet the climate targets. Copper plays a fundamental role in electricity networks and renewables technologies and is widely used in energy generation, transmission infrastructure, and energy storage.
CRITICAL AND STRATEGIC METALS
Increasing Pressure & Competition
For Resources
Dependence on critical raw materials may soon replace dependence on oil
Renewable energy technologies, electric vehicles and batteries are extremely mineral intensive, relying on a small number of key metals, with supply chain bottlenecks and supply gaps likely to appear, as metal demand initially outweighs mine output.
CRITICAL AND STRATEGIC METALS
Increasing Pressure & Competition
For Resources
Dependence on critical raw materials likely to replace dependence on oil.
CRITICAL AND STRATEGIC METALS
Rapidly Rising Demand
OECD forecasts global materials demand will more than double by 2060.
Future demand growth for critical and strategic "green" metals will be driven by increased power generation/ transmission requirements and rapidly developing renewable energy and EV sectors, as the world strives to reduce greenhouse gas emissions.
