Premier Doug Ford will unveil the province's plan on Thursday to capitalize on the growing global demand for metals considered essential for industries such as electric car batteries, smartphones, and laptops.

Strategic metals – including nickel, cobalt, lithium, and platinum – are already a $3.5 billion per year industry in Ontario. These metals are classified as critical due to their essential role in producing specialized technologies. Their supply is usually at higher risk than the rest of the mining sector due to geopolitics and market demand.

China, Russia, and the Democratic Republic of Congo are currently among the largest global sources of various critical metals. The Russian war in Ukraine and the sanctions imposed on its economy have made Ontario's announcement particularly timely.

The Ford government wants to position Ontario as a reliable supplier of critical metals and calls its 53-page strategy a "comprehensive five-year roadmap" to do so.

Greg Rickford, Minister of Northern Development, Mines, Natural Resources and Forestry, says, "The global conflict has exacerbated these supply vulnerabilities, and Ontario must intensify its efforts to meet the increasing demand for critical metals."

The strategy outlines six areas of government action, including offering new financial incentives for critical metal exploration, investing in research and development, and "improving" mining regulations in the province.

Ford and Rickford will also announce $29 million in new government funding dedicated to the strategy, most of which is allocated to support start-up exploration companies and establish an important innovation fund in the metals sector. Rickford said in a Wednesday interview, "This is an extraordinary opportunity and undoubtedly a challenge. We believe Ontario serves the best supply chain in the world, from what is in the ground to what drives the cars of the future."

The critical metals strategy is linked to the automotive sector strategy recently launched by the Ford government, called Driving Prosperity. This plan envisions Ontario car manufacturers building 400,000 electric and hybrid vehicles annually by 2030, supported by batteries made in the province, using metals extracted and processed in Ontario.

Rickford said senior trade officials in the United States are interested in Ontario’s ability to supply and process critical metals.

He and Ford met last week with European Union representatives and discussed what Rickford called a "strategic alliance" on supplying critical metals for the automotive sector, national defense, and technology. The province's $10.7 billion mining industry is not just an economic driver in Northern Ontario. The TSX and TSXV exchanges in Toronto are home to over 40 percent of the world's publicly traded mining companies. There are also metal processing or refining operations in places like Brampton, Ottawa, and Port Hope.

Rickford says in the strategy document: "Ontario's vast mineral wealth in the North is perfectly complemented by a world-class manufacturing sector in the South."

He adds, "We believe we have a great opportunity to connect and vertically integrate our northern and southern economies to build an Ontario-made supply chain for innovative technologies like electric vehicles and battery storage." The promised regulatory changes in the document aim to "reduce the burden and achieve cost savings for the mineral development sector" and "reduce the time it takes for application processing in government."

When asked about environmental concerns regarding mining expansion, Rickford opposed them citing potential environmental benefits.

He said, "Without mining, there is no such thing as a green economy; without these critical metals, you will not be able to drive a clean, green car of the future."

While much of Ontario’s critical metal supply lies in current extraction areas, some are located in the Ring of Fire, which is currently difficult to access, about 500 kilometers north of Thunder Bay. The provincial government is amid environmental assessments for building roads to the area.

Some Indigenous groups in Northern Ontario actively support mining in the Ring of Fire, while others have declared an optional moratorium on mining development in their traditional territories and have launched legal challenges against the provincial government. 

Chris said political stability, rule of law, and clean electricity supply for the province give Ontario an advantage in attracting mining business where critical metals exist. 

Editing: Dima Abu Khair