New transatlantic agreement aims to attract investment, reduce reliance on China and strengthen economic security
Ontario positions itself as key ally in global race for critical minerals
LONDON — Ontario has signed a new agreement with the United Kingdom aimed at strengthening critical mineral supply chains, deepening transatlantic cooperation and attracting investment into the province’s mining sector as Western allies seek to reduce dependence on China for strategic resources.
Ontario Energy and Mines Minister Stephen Lecce and U.K. Industry Minister Chris McDonald signed a Statement of Intent on Monday in London that commits both jurisdictions to working together on critical mineral development, research collaboration and supply chain integration.
The agreement comes as governments across North America and Europe intensify efforts to secure access to minerals such as lithium, nickel, cobalt and rare earth elements, which are essential for electric vehicles, batteries, defence technologies and energy infrastructure.
Ontario said the partnership is designed to create more resilient and sustainable supply chains while opening new opportunities for investment and technological innovation.
“With the global race for critical minerals reshaping economies and redefining geopolitical partnerships, from defence systems to advanced manufacturing to energy infrastructure, access to critical minerals has become essential to economic and national security,” the province said in the release.
The announcement also reflects growing concerns among Western allies over China’s dominance in the critical minerals sector. Ontario noted that China produces roughly 60 per cent of the world’s raw critical mineral ore and controls as much as 90 per cent of refining capacity for rare earths, lithium and cobalt.
“In a world where economic security is national security, trusted allies must work together to secure the minerals that power our economies, strengthen defence capabilities, and support the jobs of the future,” Lecce said.
“Ontario is home to the resources, talent, and world-class mining expertise global allies are looking for. This agreement solidifies Ontario’s commitment to building secure supply chains that create jobs, attract investment, and reduce reliance on unstable and adversarial foreign regimes.”
Under the agreement, Ontario and the U.K. will coordinate engagement between governments, financial institutions, academic organizations and private industry to support strategic investment in Ontario’s critical minerals sector.
The two governments also pledged to collaborate on research, geoscience data and innovation initiatives designed to advance the critical minerals value chain and strengthen supply chain resilience.
The province said the agreement builds on broader efforts to improve Ontario’s attractiveness as a mining jurisdiction through regulatory reforms and funding initiatives. Ontario cited measures including the Critical Minerals Processing Fund and its “One Project, One Process” framework, intended to streamline approvals for advanced exploration and mine development projects.
Ontario also said it is continuing efforts to support economic reconciliation and partnerships with Indigenous communities connected to resource development projects.
The province said Ontario is now ranked the second-most attractive mining investment jurisdiction globally and the highest-ranked jurisdiction in Canada.
“We need critical minerals for the phones we use to the cars we drive, and this new partnership with Ontario shows our commitment to building resilient supply chains with allies as demand for these vital minerals continues to rise,” McDonald said.
“Through our Critical Minerals Strategy, we’re leveraging Britain’s mineral wealth, attracting new investment and forming dynamic relationships with partners across the world to boost our economic security.”
Ontario’s mining and mineral products sector contributed approximately $23.8 billion to provincial GDP in 2023, according to government figures. The province said mining, mineral processing and mining supply and services currently support about 74,000 jobs.
Industry groups and mining companies welcomed the agreement, saying stronger ties between Ontario and the U.K. could improve investment certainty and help expand access to global markets.
Priya Tandon, president of the Ontario Mining Association, said the agreement would help reinforce Ontario’s position in responsibly produced minerals while deepening ties with “a trusted and reliable ally.”
Major mining firms and exploration companies also expressed support for the initiative, including Glencore, Vale Base Metals, Anglo American, First Class Metals Plc., Fulcrum Metals Plc. and Panther Metals Plc.
“As the global demand for critical minerals continues to rise, it has never been more important to secure a reliable critical minerals supply chain that drives industrial growth and strengthens long-term economic competitiveness,” said Vic Fedeli, Ontario’s Minister of Economic Development, Job Creation and Trade.
“The relationship between the United Kingdom and Canada is like no other, rooted in deep historic ties and a shared vision for the future,” said Fouzia Younis, British Consul General in Toronto.
Ontario is home to significant deposits of nickel, lithium, cobalt, graphite, copper and rare earth elements, resources viewed as increasingly important to global manufacturing and clean energy supply chains.
The province said the agreement demonstrates continued progress on Ontario’s Critical Minerals Strategy and broader plans to expand the province’s role in the global mining and mineral processing industry.