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DOE Injects $45m into Regional Consortia Targeting Rare Earth Element Supply Chains – But More is Necessary

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Highlights

  • DOE announces $45 million in funding for regional projects targeting critical mineral recovery from unconventional sources like coal waste and industrial effluents.
  • University-led consortia will explore mineral extraction opportunities in different U.S. regions, including Alaska, the Midwest, and the Gulf Coast areas.
  • The investment aims to strengthen domestic mineral supply chains crucial for clean energy and national defense technologies.

The Department of Energy (DOE) announced a $45 million investment to support six regional consortia focused on developing domestic critical mineral and materials supply chains. This funding is part of the DOE’s broader effort to leverage secondary and unconventional feedstocks, such as coal by-products, effluent waters from oil and gas production, and acid mine drainage, to rebuild U.S. supply chains for critical minerals. These resources are vital for technologies essential to clean energy and national defense.

Use of Funds

The funds will be used to support projects led by universities and research institutions across the U.S., each targeting unique regional opportunities. For example, the University of Alaska Fairbanks will study underexplored mineral deposits in the Northwest, while the University of Illinois Urbana-Champaign will focus on critical minerals from coal waste in the Upper Midwest. Similarly, the University of Texas at Austin will evaluate resources from petroleum industry waste and other unconventional sources in the Gulf Coast and Permian Basin. These projects aim to build on the DOE’s Carbon Ore, Rare Earth, and Critical Minerals (CORE-CM) Initiative by identifying economically viable strategies for critical mineral recovery.

A Modest Positive Step

However, in the context of the larger critical mineral supply chain challenges, this investment, while a step in the right direction, is relatively modest. The article does not delve deeply into the scale of the demand-supply gap or the structural barriers to scaling up domestic production. Key challenges such as permitting delays, environmental concerns, and competition with established global players like China remain unaddressed.

Additionally, the recent U.S. Department of Energy article (opens in a new tab) could benefit from a discussion of how these regional initiatives integrate with federal strategies to create a cohesive national approach to critical minerals security. So many ad hoc, reactive, and disjointed efforts, collectively piecemeal, will not help the U.S. counter China.

Large, Integrated National Mission Necessary

In summary, the DOE’s funding highlights an important focus on leveraging unconventional sources and regional expertise for critical mineral recovery. Yet, the broader complexities of building a robust domestic supply chain and reducing dependency on foreign sources require more substantial investment, clearer benchmarks, and policy alignment. The scale and urgency of the challenge demand a more comprehensive strategy to match the U.S.’s clean energy and national security goals.

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