Australian Government supports Arafura Rare Earths
The Australian Government will provide up to $840 million (US$550 million) to help deliver Australia’s first combined rare earths mine and refinery in the Northern Territory, creating local jobs and securing Australia’s position as a renewable energy superpower.
The refinery will create over 300 new jobs across the Northern Territory while also diversifying our critical minerals supply chain. A first of its kind in Australia, the project is an ambitious step forward for our rare earths and critical minerals industry.
This ground-breaking investment will position Australia as a global leader in ethical and sustainable manufacturing of these minerals.
The rare earths mine and refinery will be operated by Australian mineral exploration company Arafura and is located 125 km north of Alice Springs. During construction it will create over 200 jobs, with over 125 full time jobs ongoing, including the company’s stated ambition of securing 20 per cent local Indigenous employment.
Rare earths are used to make powerful magnets, and are an essential component in renewable energy and defence technologies. Electric vehicle motors, wind turbines, robotics and mobile phones are examples of the kinds of technologies that rely on rare earths.
The Australian Government’s contribution will unlock further investment from international financiers and commercial banks, highlighting the value placed on this important investment.
This project is possible due to the Australian Government’s commitment to a future made in Australia, which has seen the expansion of the Critical Minerals Facility and the Northern Australia Infrastructure Facility to a combined $11 billion.
Critical minerals are the building blocks for a clean energy future, and Northern Territory Government has become a major investor and partner of this important sector, creating jobs and opportunities for more Australians.