Critical Minerals Strategy 2023: discussion paper

Beginning with the end in mind:
Submission – Australia’s Critical Minerals Industry
Discussion Paper

February 2023

1
Introduction Beginning with the end in mind – that is,
focusing on accruing long-term positive
outcomes for people, communities, nature and
One of the most important lessons from the the mining and mining equipment, technology development of Australia’s traditional and services sector – provides a valuable resources is the need to plan and act frame as Australia seeks to leverage its critical across a mine’s life for what happens after minerals advantage.
mining ends.
An evidence-based approach
Mining is Australia’s largest industry, a
Established in 2020 through the Australian significant source of national, state and
Government’s flagship innovation and territory income, a driver of national and
research program, CRC TiME (Cooperative regional business investment and broader
Research Centre Transformations in Mining economic activity. It is also often the economic
Economies) brings together diverse backbone of mining regions, a major source of
stakeholders to reimagine and dramatically local infrastructure and a significant employer,
transform mine closure and post-mine social, source of local skills and capability
economic and environmental transitions. 4 development and key contracting partner.1
Our remit includes examining policy settings to
Yet, while many mines extend over
understand how to improve post-mine generations, all mines are based on finite
outcomes for regional and First Nations resources and will eventually come to the end
communities, the environment and industry.5 of operational life.2 Even planned or expected closures create significant social and Some overarching findings from CRC TiME’s economic headwinds. foundational research are particularly relevant
to the discussion questions posed in the
Changes over a mine’s life – such as the shift
Critical Minerals Industry - Discussion Paper.
from construction to operations and impacts of commodity price fluctuations – can also cause This submission aims to inform the significant flow-on effects. Commonwealth’s consultation by highlighting
key messages and making six
And, while important progress has been made recommendations for the strategy. It also in addressing environmental risks and impacts signposts upcoming or ongoing research.
from mining, major challenges remain. The scale of new minerals development required to Recommendations align with the National achieve global decarbonisation reinforces the Transformation Principles and Australia’s need for new and better solutions to Nature Positive Plan.
sustainably manage mine wastes, pit lakes CRC TiME would welcome the opportunity to and other legacy environmental challenges.3 provide further information.
In addition, industry is working to meet increased environmental, social and governance (ESG) expectations. First Nations and regional communities have greater influence on how operations occur, and investors, customers and financiers are sharpening focus on ESG performance.

1 4
See Minerals Council of Australia, 2023-24 Pre-Budget ACIL Allen, Cooperative Research Centres Program:
Submission, MCA, Canberra, 2 February 2023. Impact Evaluation, prepared for the Australian
2
A. Beer, F. Haslam-McKenzie, S. Weller, A. Davies, C. Government Department of Industry, Science, Energy and
Cote, M. Ziemski, K. Holmes and J. Keenan, Post-mining Resources, November 2021, p. vii.
5 land uses, CRC TiME Limited, Perth, 2022, p. 9. See CRC TiME 2021-24 Strategic Plan and Impact
3
International Energy Association, The role of critical Framework.
minerals in the clean energy transition, IEA, 2021, p. 192.

2
About CRC TiME
Impact Objectives
CRC TiME is part of the Australian
Government’s world-leading Cooperative Our diverse partnership has identified five
Research Centre Program. overarching Impact Objectives:

Established in 2020, we are proud to be part of 1. Mines are closed in ways that deliver nation’s innovation ecosystem, working social, economic and environmental value.
alongside other CRCs to drive transformative 2. Closed sites are repurposed to enable change on industry-defined challenges for the faster transition to diverse and resilient benefit of Australia and all Australians.6 economies.
3. Mine closure business solutions drive new
Our purpose is to connect Australia’s best commercial and/or regional opportunities.
researchers with the mining and mining 4. Continued investment in Australian equipment, technology and services industry, resources.
regional and First Nations organisations and 5. Policy, decision and management systems governments to reimagine and help transform reduce risks to people, communities, the for the better what happens after mining ends.7 environment and industry.
Communities preparing for a future transition – whether now or in decades – are at the centre
Our diverse partnership of what we do.
We are fortunate to operate with the support of
the Commonwealth and more than 75 mining
Focused on complex challenges
and mining equipment, technology and service
Our research agenda tackles some of the most industry, research sector, government and complex mine closure and post-mine transition First Nations and regional community partners.
challenges.8
The University of Western Australia and
This includes regional economic development, University of Queensland host us.
social and cultural dimensions of mine closure,
CRC TiME strives for genuine First Nations law and policy (tenure, disconnections
Inclusion. Board-endorsed First Nations between mine closure and regional
Inclusion Principles guide our work and we development policy), barriers to future land
recently established an independent First use, risk, investment expectations, stronger
Nations Advisory to challenge, inform and
First Nations partnerships and outcomes,
shape our priorities.
operational planning and evaluation.9
Our unique engagement model means that
Through this work, CRC TiME aims to
partners in the Bowen Basin, Latrobe Valley, contribute to a future with fewer abandoned
the Pilbara, south west Western Australia, mine sites, increased certainty for all,
South Australia and other regions inform, diversified and equitable regional economies,
shape and directly benefit from our work.
continued investment in Australia resources, new commercial opportunities and improved Further information is available at natural systems.10 www.crctime.com.au.

6
Department of Industry, Science and Resources, Mining Economies, Research Prioritisation Plan 2021-24,
Investing in Australia’s mining and energy future, CRC TiME, Perth, 2021.
9
Australian Government, viewed 1 February 2023. Ibid.
7 10
See Cooperative Research Centre for Transformations in Cooperative Research Centre for Transformations in
Mining Economies, Strategic Plan 2021-24, CRC TiME, Mining Economies, Strategic Plan 2021-24, CRC TiME,
Perth, 2021. Perth, 2021.
8
Cooperative Research Centre for Transformations in

3
Key messages
A complex challenge Case studies, tools and resources will be
valuable for critical minerals developments.
As global decarbonisation accelerates, increased demand for Australia’s critical Early planning for better outcomes minerals presents enormous economic
Planning for an eventual post-mine social and opportunity. At the same time, the scale and
economic transition should begin as early as speed of likely development could present
possible – ideally before development of a new social, economic, environmental and
mine or basin – to leverage and capitalise on governance challenges.11
mining-related economic opportunities as they
Unless managed well, our research shows that occur. It is especially important as decisions challenges accumulate over mine life.12 and investments made before development
and during operations – by all stakeholders –
A driving factor is that mine closure is usually
affect what is possible after mining ends.
seen as a proponent-led responsibility, focused largely on return of the site to prior CRC TiME is working to develop new state. This limits dialogue and engagement on frameworks so regions can leverage economic what is possible – and how risks, opportunities gains to build transition capacity for long-term and impacts are understood and managed. It sustainable growth.
also does not recognise interconnected
Unlocking new commercial opportunities benefits, effects and impacts over mine life,
from mine wastes and closure creating uncertainty for all – including industry.
A priority for CRC TiME is quantifying and
Coordinating with regional and First
identifying new ways of extracting economic
Nations communities across mine life
value from mine wastes, repurposing of mined
Our research shows that coordinated, strategic land and infrastructure for renewable energy and ongoing planning and action at a regional generation, tourism and biodiversity scale supports improved long-term outcomes. conservation and rehabilitation activities. The
potential is huge - particularly for local and
Effects are often cumulative and
First Nations communities and businesses.
interconnected, especially when more than one mine operates in a region, meaning Research will begin in early 2023.
whole-of-community response is required.13
Global leadership and CRC advantage
While recognition of cumulative environmental effects has advanced, better understand Australia is well-placed to position itself as a cumulative cultural, social and economic global leader in post-mine outcomes, effects over mine life to plan for future. leveraging its investment in the CRC TiME and
broader research and innovation ecosystem.
Recognising this, CRC TiME is advancing development of a Regional Cumulative Effects The CRC program has delivered for Australia
Framework. This will include understanding and all Australians since its establishment by how Indigenous-led and focused effects the Hawke Government. Further harnessing assessments can enable First Nations mining and energy-related CRCs to drive communities to drive their own opportunities innovation across the critical minerals value and support management of cultural, social chain is a substantial opportunity.
and economic risks.14 It is especially important given the scale of the Indigenous Estate in
Australia. 15

11
See International Energy Association, The role of Pershke, R.J Standish, M.E Kragt, F. Haslam-McKenzie, critical minerals in the clean energy transition, IEA, 2021. V. Subroy and R. E Young, Towards a framework for
12
See G. Boggs, T. Measham, A . Littleboy & F. Haslam- regional cumulative impact assessment, CRC TiME
McKenzie, Transformation for positive post mine futures, Limited, Perth, 2022, Australia, p. 9.
14
Australia Centre for Geomechanics, Perth, 2022, p. 52-53. Ibid, p.31.
13 15
L. Sinclair, J. Pope, S. Holcombe. L. Hamblin, D. Ibid, p. 31.

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Recommendations
Recommendation 1:
Incorporate post-mine transitions as a focus area.
Recommendation 2:
Encourage ongoing regional-scale and coordinated environmental, social and economic planning and action to support positive long-term resilience and manage risks and impacts.
Recommendation 3
Recognise CRC TiME’s focus on supporting consistently high post-mine transitions processes and outcomes nationally.
Recommendation 4:
Foster the growth of a specialist mining, equipment and technology sector focused on extracting value from mine wastes, mine rehabilitation and asset repurposing.
Recommendation 5:
Harness the collective impact of Cooperative
Research Centres focused on mining, energy and decarbonisation to unlock innovation and improve outcomes.
Recommendation 6:
Ensure First Nations and regional communities can access tailored, independent information to fully participate in critical minerals development processes.

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Recommendation 1: Incorporate Recommendation 2: Recognise post-mine transitions as a strategy work underway to support focus area. consistently high post-mine
In its leadership role, the Australian transitions processes and
Government can reinforce the importance of outcomes nationally.
post-mining transitions being considered early,
Over time, CRC TiME’s work will provide a strategically and collaboratively as critical
strong evidence base to inform policy, practice minerals development accelerates.
and processes to improve certainty for all and
Incorporating this focus could: strengthen post-mine outcomes.
• signal the importance of seeking to While states and territories are primarily
leverage economic opportunities for long- responsible for resources and environmental
term community and regional economic matters, the Commonwealth could support
resilience, including by First Nations knowledge-sharing and facilitation.
communities. This builds on the approach Work underway or planned by CRC TiME will:
articulated in the National Transformation
Principles.16 • clarify definitions for core mine closure and
post-mine transition terms in a policy
• encourage new ways of thinking about
context.
mine closure, including how to unlock
commercial opportunities from wastes and • propose new policy frameworks to address
mine closure activities, particularly for barriers to repurposing mined land for new
regional and First Nations businesses. uses. These will consider how to
appropriately address risk, provide
• further facilitate knowledge-sharing, data
certainty for industry and improve
sharing and leading practice to support
availability of mined land and infrastructure
consistently high-quality processes and
for new purposes, such as renewable
outcomes and improve stakeholder
energy generation.
certainty, including industry certainty.
• result in an Australian business case,
• recognise post-mine social and economic
roadmap and case studies for Natural
transitions are a shared activity, requiring
Capital Accounting (NCA) mining sector.
collaboration between mine operators,
Australian Government-funded and
regional and First Nations communities,
delivered in partnership with CSIRO,
governments, suppliers and contractors
Curtin University and Murdoch University,
and others.
the project will show how NCA can inform
• recognise increasing expectations by decision-making, improve on-site
regional and First Nations communities, biodiversity conservation and contribute to
investors, financers and others about regional and national scale nature positive
social and economic as well as outcomes.
environmental transitions.17
• deliver new frameworks to support regions
• recognise how post-mine environmental to realise long-term, sustained and
outcomes can support Australia’s Nature equitable benefits from new mine
Positive aspirations. development and mining activity.

These focuses recognise the Commonwealth’s • provide case studies on regional distinct responsibilities as well as opportunities cumulative effects assessments, including to support advances in leading practice lessons from Indigenous-led cumulative nationally. effects assessment processes in Canada

16 17
National Cabinet, National Transformation Principles, G. Boggs, T. Measham, A . Littleboy & F. Haslam-
Department of Prime Minister and Cabinet, 9 December McKenzie, Transformation for positive post mine futures,
2022. Australia Centre for Geomechanics, Perth, 2022, p. 52-53.

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and potential applicability in Australia. abandoned assets, it limits how existing assets
may be used.
• provide First Nations communities with
opportunities to define their own research Encouraging early, ongoing regional-scale
objectives and provide information to planning to harness economic and social
inform their decision-making. benefits arising from new critical minerals
development provides opportunity to:
• provide new knowledge, tools and
guidance to address some of the most • support early identification of policy and
significant mine closure challenges, regulatory barriers that may inhibit
including management of acid mine repurposing
drainage and pit lakes.
• fully consider potential repurposing options
• consider options to facilitate data sharing, in consultation with mine owners
including proposing shared data
• develop new and complementary
infrastructure needs.
opportunities from existing infrastructure
Recommendation 3: Encourage • address the cyclical nature of commodity ongoing regional-scale and markets, which create uncertainty.
coordinated planning to support
• ensure operators have certainty and clarity positive long-term resilience and
and can address questions regarding cost manage risks and impacts. and management.20
Mining brings with it significant jobs, training
Regions in control and development and business opportunities.
Yet, how to harness these opportunities for Many communities, including key mining long-term economic resilience in regions and regions and First Nations communities, gained communities remains a challenge. significant employment, training, business and
income benefits during the most recent mining
Recognising mining infrastructure as
construction boom. However, while sustaining significant regional assets
higher incomes than in comparable areas, the
It may seem unusual to be raising post-mine transition from mine construction to operations land use in a strategy focused on maximising phase led to considerable economic responsible new critical minerals development. challenges in some regions.
Mines and mining-related infrastructure are
While economic activity has or is expected to significant regional assets, and there are many
surge again – including activity associated with examples globally – and nationally – of this
critical minerals development – many infrastructure being repurposed post-
communities are also aware of the need to operations for new community, environmental
take concurrent steps to prepare for the future or commercial purposes. 18 Yet there remains
transitions. To support this, CRC TiME is
‘limited understanding of the economic and
working with several regions to develop social potential embedded in former mines.’19
evidence-based tools to enable them to
Foundational CRC TiME research examined prepare for future changes. These will be why this is, identifying barriers such as policy relevant to other regions preparing for critical settings focusing on return to prior state minerals development.
(usually through site rehabilitation).
Other relevant work underway includes
While these requirements were implemented development of: to reduce environmental impact and the risk of
• an analytical framework to enable

18 A. Beer, F. Haslam-McKenzie, S. Weller, A. Davies, C. Cote, M. Ziemski, K. Holmes and J. Keenan, Post-mining
Cote, M. Ziemski, K. Holmes and J. Keenan, Post-mining land uses, CRC TiME Limited, Perth, 2022, p. 77.
20 land uses – a literature review, CRC TiME Limited, Perth, Ibid, p. 78.
2021, pp. 9-13.
19
A. Beer, F. Haslam-McKenzie, S. Weller, A. Davies, C.

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individual regions to identify transition uses.
capacity drivers and regional resilience
CRC TIME is commissioning the first national
components
study to understand the economic value of a
• tools to support communities to identify mine closure solutions industry. It will map
and consider potential future development activity across the value chain of three
scenarios categories of activity:

• case studies on regional effects to support • Extracting value from mine wastes,
improved understanding and including materials recovery, alternative
management. This will include case uses and reprocessing of tailings.
studies to show Indigenous-led
• Improving rehabilitation outcomes,
Cumulative Impact Assessments can
including geotechnical activities and
support decision-making.
managing contaminations.
Once complete, the Commonwealth could
• Establishing post-mining land uses, such share and promote these evidence-based
as renewable energy and energy storage, resources to regions where critical minerals
recycling, agriculture and tourism.
development is underway or planned.
Once complete, the study is expected to
provide a compelling case for the Australian
Recommendation 4: Foster the growth Government to profile and support growth of of a specialist mining, equipment and the specialist mine closure solutions industry.
technology sector focused on Doing so concurrently to critical minerals
sector development would support further extracting value from mine wastes,
incorporation of opportunities into planning.
mine rehabilitation and asset repurposing.
Recommendation 5: Ensure First
Focus on the circular economy provides significant potential to consider how mining
Nations and regional communities can wastes can be used as inputs for new access tailored, independent commercial purposes.21 At the same time, information to fully participate in critical
Australia’s commitment to positive post-mine minerals development processes environmental outcomes presents opportunity to further develop the sector providing Mine closure is a fundamental part of the rehabilitation, revegetation and specialist mining lifecycle. And while planning and work technical services. to support a positive post-mine transition is
undertaken across mine life, many decisions
This presents particular opportunities for before development and during approvals regional and First Nations, including processes shape what is possible when mining
Traditional Owners’ businesses. There are ends.
numerous examples of Indigenous-owned and regional businesses providing exceptional Information asymmetry, resourcing disparity mine rehabilitation, seeding and other and complex processes can limit the ability of services. First Nations and regional communities to
meaningfully participate in consultation,
Furthermore, CRC TiME foundational research negotiation and agreement-making showed the potential for repurposing of processes.22 mining-related infrastructure for new commercial, community and environmental It can also limit the ability of local businesses,
First Nations landholders and communities

21
A. Parbhakar-Fox, A (critically) wasted opportunity, McKenzie, Transformation for positive post mine futures,
Sustainable Minerals Institute, SMI, viewed 6 February Australia Centre for Geomechanics, Perth, 2022, p. 58.
2023.
22 G. Boggs, T. Measham, A . Littleboy & F. Haslam-

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and others to capitalise on commercial opportunities, including those involved in mine closure such as land rehabilitation.
There is a role for governments to develop independent, high quality and tailored information about critical minerals development, risks and opportunities and consultation and approval processes.

Recommendation 6: Harness the collective impact of Cooperative
Research Centres focused on mining, energy and decarbonisation to unlock innovation and improve outcomes.
CRC TiME proudly works alongside other energy and resources sector-focused CRCs.
In 2022, Decarbonisation and Mining and
Energy Networks were formed by these CRCs to drive further commercialisation, innovation and development opportunities through improved coordination.
Hosted by Cooperative Research Australia, the networks could provide a useful mechanism for the Australian Government to test new ideas and connect across the research and innovation ecosystem.

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