Rich, in a testimony before the Senate last year, you noted that there is a widespread recognition that we are entering the most mineral- and metal-intensive era in human history. What, in your view, are the right policies to ensure that the mining industry is capable of meeting that demand?
We are witnessing mining becoming central to the global supply chain for manufacturing, the energy transition, and energy security. It is an exciting time, and policies need to align with this emerging opportunity. The demand for battery materials, copper, and electrification is unprecedented. Therefore, investment is crucial, and we are beginning to see governments globally making significant investments in the mining sector, from exploration to production, and into downstream processing and manufacturing.
Policies and capital markets indicate that this investment is forthcoming. Governments and public-private partnerships are developing worldwide, including in the U.S., emphasizing the importance of permitting for production facilities and operations on public lands. While the U.S. offers stability and encourages investment, permitting delays and backlogs remain challenges. Policies must incentivize permitting to meet future demand effectively.
Last year you told us that you are working hard to ease permitting legislation. Have you had any success since?
We have seen some improvements with NEPA permitting through the Fiscal Accountability Act last year. However, these changes have been somewhat modified by the administration's regulations. We remain in active discussions with the Senate's committee of jurisdiction, and recent reports suggest potential breakthroughs in permitting reform for mining. We are optimistic about revised legislation possibly being introduced soon.
Relatedly, you also talked about the problem of unfettered legal challenges when it comes to new mining projects. Have you seen results in that regard as well?
Legal challenges continue to be a high priority. The U.S. has a robust tort system, and the public's right to challenge has delayed many major mining projects, especially on public lands. We are working on streamlining the timelines for these challenges, aiming to address them early in the process so projects can proceed more smoothly. Legal reform remains a challenge for investments in the U.S., and we are dedicated to working with legislators and the administration to address this issue.
The Biden administration has just introduced new heavy tariffs on electric cars coming from China. What is the mining industry’s take on that?
China has a 20-year head start in mine development, processing, permitting, and battery production. The Biden administration's review is a wise move. We anticipate that it will spur additional investments in nearshoring and reshoring both battery production and the mining of metals needed for these batteries in the U.S.
But is the U.S. capable to actually replace, for example, lithium imports with domestic mining? The U.S. actually has significant deposits of lithium, which are unexplored. Why is that?
The U.S. has significant lithium resources, though market fluctuations and prices have impacted development. Our membership's fastest-growing sector is in the resource developer category. While the U.S. was late to the game, investments are now being made. The U.S. has enough lithium resources – and a range of other essential battery minerals – to meet domestic and global demand for electric vehicle battery production.
Expanding on that, what are the top resources that can be exploited in the U.S. at a significantly larger scale than they currently are?
Besides lithium, the U.S. has substantial deposits of nickel, cobalt, and copper, essential for global electrification. The U.S. produces a significant amount of copper and has vast known resources. The market's recent price increases for commodities like gold, copper and silver highlight their importance for future projects, including solar panels.
Another piece of news is the administration's ban on Russian uranium. Is the industry ready to respond with ramping up domestic production?
We applaud the ban on Russian uranium imports. The U.S. has long relied on international uranium for its nuclear power industry. The market has responded positively, with uranium prices improving and production ramping up. New operations are coming online, and we worked hard to support the ban.
NMA has a campaign called Count on Coal. Could you introduce us briefly to that and tell us what underpins the Association's positive stance on coal?
Coal remains a key component of baseload electricity in the U.S., essential for keeping the lights on in over a dozen states relying on coal for the majority of their electricity supply. U.S. energy policy varies by region due to different resources and fuels. With over a 250-year supply of recoverable coal reserves, turning our back on this resource would be unwise.
Overall, would you say that you are optimistic about the future of U.S. mining in the near-term?
We are incredibly optimistic about the future of U.S. mining and the opportunities ahead.
There is a strong bipartisan and global recognition of the importance of our work and the products we produce, which are vital for modern society and the economy. It is an exciting time to be in mining.
