Washington has grown increasingly concerned that low U.S.
production of minerals essential for the construction of future
technologies could leave it beholden to China and other nations
that have heavily invested in mining.
That has sparked a range of attempts by Biden, as well as his
predecessors, to boost U.S. output of lithium, rare earths and
other strategic minerals while balancing opposition from
environmental and indigenous groups.
"We can't build a future that's made in America if we ourselves
are dependent on China for the materials that power the products
of today and tomorrow," Biden said at a White House event.
Even still, the president emphasized he would not support new
U.S. mines unless "the historical injustices that too many
mining operations have left behind" are avoided.
"Environmental protections are paramount," said Biden. "We have
to ensure that these resources actually benefit folks in the
communities where they live, not just shareholders."
Biden, who spoke just after outlining the latest U.S. response
to Russian aggression against Ukraine, was joined virtually by
industry and labor leaders, as well as California Governor Gavin
Newsom. U.S. Energy Secretary Jennifer Granholm and national
climate adviser Gina McCarthy joined in person.
STANDARDS
To address environmental concerns, the White House said it would
form a committee to recommend changes to the 1872 Mining Law,
which has governed hard rock mining across much of the United
States since the 19th Century.
Biden also announced a $35 million grant from the U.S. Defense
Department to MP Materials Inc to process rare earths, which are
used to make magnets found in consumer goods and weapons.
The Pentagon has already awarded roughly $10 million to MP,
which controls the only U.S. rare earths mine but depends on
China for processing.
The Las Vegas-based company said it will invest $700 million of
its own funds and create more than 350 jobs by 2024. The company
has said it aims to begin processing rare earths in California
by the end of the year.
Jim Litinsky, MP's chief executive, told Biden the investments
will help the company produce enough rare earth products to
build 500,000 EVs domestically by 2025.
Additionally, Berkshire Hathaway Energy Renewables said at the
event it will break ground this spring on a California facility
to test sustainable ways to produce lithium from geothermal
brines found underneath California's Salton Sea and elsewhere.
Biden also announced that the Pentagon plans to boost its
stockpile of strategic minerals, a development that Reuters
reported last week.
His comments on Tuesday were the clearest to date about the
rubric administration officials deploy when determining whether
or not to support a proposed U.S. mining project.
"It's my hope and my expectation that those communities ... get
the benefit of being able to be employed and being able to
generate a living from what's going to be happening and are
protected environmentally," Biden said.
Last month, the Biden administration blocked a proposed
Minnesota copper mine from Antofagasta Plc. It has also taken
steps to slow down development of a lithium mine in Nevada from
ioneer Ltd and a copper mine in Arizona from Rio Tinto Ltd.
Other announcements at the event included a $140 million pilot
project to recover rare earths from coal ash, with funding from
the recently passed infrastructure law.
The White House has also touted an agreement between Talon
Metals Corp and the United Steelworkers to train workers in
northern Minnesota near Talon's Tamarack nickel project. Talon
signed a nickel supply deal with Tesla Inc last month.
Talon has also agreed to remain neutral in any union organizing
effort, the White House said. Biden has been a large supporter
of organized labor throughout his presidency.
(Reporting by Steve Holland and Jeff Mason in Washington and
Ernest Scheyder in Houston; Editing by Robert Birsel and Tim
Ahmann)
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