Canada is finalizing a critical minerals partnership with Germany that encourages joint public financing of natural-resources projects. Prime Minister Mark Carney says Canada left key minerals such as nickel and cobalt underdeveloped for too long while China and Russia dominate the global critical minerals market.
Carney says the two countries also plan to cooperate closely on energy, including liquefied natural gas and hydrogen. The two countries also made some announcements on joint Canadian-German ventures.
Carney is on a five-day tour of Europe and will meet with German business leaders later today. When he met German Chancellor Friedrich Merz this morning, the two leaders also discussed the war in Ukraine. They agreed that no one should determine Ukraine’s future without Ukraine’s participation.
The critical minerals talks also produced some collaboration work. Rock Tech Lithium (TSXV: RCK; CQX: RCKTF) and ENERTRAG also signed a memorandum of understanding (MoU) for supplying renewable energy to the planned lithium hydroxide converter in Guben, Germany. The signing took place in the presence of Canadian Prime Minister Mark Carney, Canadian Minister of Energy and Natural Resources Tim Hodgson, Canadian Minister of Innovation, Science, and Industry Mélanie Joly, and Germany’s Federal Minister for Economic Affairs and Energy Katharina Reiche. The partnership aims to secure a sustainable and competitive electricity supply, providing Rock Tech with planning security for the converter’s operating costs (OpEx).
The European Commission’s Critical Raw Materials Act recognizes this converter project as a strategic initiative, modeling decarbonization of European industry through cross-border cooperation. It also lays the groundwork for establishing a resilient supply chain for critical minerals in Canada.
The renewable energy initiative relies on direct electricity supply from new wind and photovoltaic plants in Gubin, Poland. ENERTRAG plans to supply at least 70 GWh of renewable electricity annually under a power purchase agreement (PPA), meeting at least 50 percent of the converter’s expected electricity demand. This supply will decrease Rock Tech’s indirect CO2 emissions (Scope 2 GHG) by at least 25 percent.
Mirco Wojnarowicz, CEO of Rock Tech Lithium, remarked, “By directly supplying our converter with renewable energy, we achieve a significant milestone for producing sustainable and competitive lithium hydroxide in Europe. Our collaboration with ENERTRAG demonstrates a practical approach for industry and energy producers to decarbonize the value chain, ensuring planning security for our project while contributing to European climate goals.”
Once commissioning begins, renewable sources will cover a significant portion of the converter’s electricity demand, with at least 50 percent being met by renewables starting in 2030. This project serves as a decarbonization model for European industry, emphasizing the need for cross-border and cross-company collaboration for sustainability.
Dr. Gunar Hering, CEO of ENERTRAG, stated, “This partnership showcases how today’s industry can be powered by climate-friendly and competitive renewable energy. We focus on innovative solutions like direct electricity supply from new wind and solar parks in Gubin and sector coupling with process heat use. Our project with Rock Tech marks a milestone in the cross-border energy transition, positioning the Lausitz area in Brandenburg as a future hub for sustainable industry. Together, we enhance planning security, strengthen regional value, and contribute to the European economy’s decarbonization.”
The cooperation hinges on positive investment decisions by both parties and was formalized at the German-Canadian Critical Minerals Round Table. The Honourable Tim Hodgson, Minister of Energy and Natural Resources, noted, “The partnership between Rock Tech Lithium and ENERTRAG exemplifies how Canadian innovation and international collaboration propel the clean energy transition. The Guben converter project and its future counterpart in Red Rock, Ontario, demonstrate Canada’s dedication to establishing resilient, low-carbon supply chains for critical minerals, while reinforcing our strategic partnership with Germany, in pursuit of shared climate and economic objectives.”
Natural Resources Canada’s (NRCan) involvement illustrates the close bilateral cooperation between Canada and Germany in the critical minerals and clean energy sectors, highlighting Rock Tech’s impact as a Canadian company developing a sustainable transatlantic supply chain.
