Canada Launches $4.6 Billion Critical Minerals Initiative Under G7 Alliance Framework

The G7's transition from resilience discussions to a fully operational Critical Minerals Alliance represents a fundamental shift in Western industrial policy, with Canada taking the lead through a $4.6-billion package of projects that combines long-term supply contracts, price-stability mechanisms, strategic stockpiling and co-investment tools. This initiative marks a departure from simply acknowledging supply chain risks to actively co-investing and partnering with industry to secure critical minerals, positioning Canada as the trusted alternative supplier to the Western World. Canada's Energy and Natural Resources Minister Tim Hodgson emphasized the significance of this development, stating that these first-round G7 Alliance projects demonstrate serious commitment to reducing market concentration and dependencies while safeguarding national security and sovereignty.

Graphite occupies a central position in this alliance strategy, given China's continued dominance in supplying the overwhelming majority of the world's processed graphite materials. The alliance aims to accelerate projects that can deliver secure, vertically integrated capacity, ensuring locally sourced minerals remain within allied nations rather than being exported to China for processing. This approach seeks to retain the technological, economic and de-risking added value of advanced materials domestically while addressing national security concerns.

Nouveau Monde Graphite has emerged as a front-runner in this initiative, featured prominently in the Government of Canada's announcements during the G7 energy summit. The company has secured multiple strategic commercial agreements that demonstrate how government policy is translating into industrial execution. These include a binding supply and marketing deal with the Government of Canada providing 30,000 tonnes per annum of graphite concentrate for allocation to Canada and allied countries, an updated joint marketing and offtake agreement with Traxys covering North American and European refractory markets for 20,000 tpa of graphite concentrate, and an updated agreement with Panasonic Energy fast-tracking construction for 13,000 tpa of active anode material through Nouveau Monde Graphite's integrated value chain at their Bécancour Battery Materials Plant.

The company is also in advanced negotiations with a leading anode manufacturer to secure additional volumes of up to 30,000 tpa of graphite concentrate from its Matawinie Mine. Collectively, these commitments provide Nouveau Monde Graphite with visibility over nearly 100% of its planned Matawinie Mine output before construction begins, representing exceptional de-risking in a sector where most projects typically secure buyers after financing. According to company leadership, these agreements constitute a first-of-their-kind public-private delivery in the Western graphite sector, creating rare alignment of government, industry and market forces.

Eric Desaulniers, Founder, President and CEO of Nouveau Monde Graphite, emphasized that these commercial agreements provide targeted financial partners with visibility on the project's bankability and risk profile, facilitating confidence in moving toward final investment decision and commercial operations. The company's development plan is strategically timed to capitalize on firm orders while supporting energy autonomy, national security, and manufacturing efforts across the Western World. With contracts signed, engineering and permitting largely completed, and community partnerships secured, Nouveau Monde Graphite is advancing toward project financing and positioned to become one of the G7's largest fully vertically integrated producers of natural graphite. Additional insights are available through the executive interview discussing the company's execution path and role in delivering Western graphite supply.