Australia's critical minerals will be in huge demand in the intended global transition to clean energy, according to a global report.
Control of the extraction and export of five critical minerals - copper, lithium, aluminium, nickel and cobalt (CLANCs) - will shape the energy transition as big economies such as China compete to secure supplies, the report by global bank Barclays found.
Australia is listed among countries with "great potential".
Already taking a leading role in lithium with almost a quarter of global exports, mainly to China, Australia's share in global reserves is high but largely untapped for nickel and cobalt.
The anticipated green energy transition could become a new global driver, and offset the 2014 end of the China-driven commodity super-cycle according to the report released on Monday.
But "mining diplomacy" will become more important as China increasingly looks to Africa to lock in supplies by controlling mining operations.
Australia has a prickly relationship with its biggest trading partner China, with restrictions imposed on coal, barley, wheat, wool, lobsters, sugar, copper, timber, wine and grapes but not iron ore or critical minerals.
Global supply of the metals critical for the energy transition such as copper, nickel and cobalt is likely to be "relatively inelastic" in the short term as new mines take time.
The International Energy Agency estimates surging demand for nickel (up 441 per cent), lithium (659 per cent) and cobalt (413 per...
Read Full Story: https://7news.com.au/business/mining-diplomacy-vital-for-energy-future-c-4832169
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