Australia weighs nationalising rare earths company as China-linked investors
Resources Minister Madeleine King said nationalisation is one option for Northern Minerals after Chinese investors ignored federal orders to sell their stake.
Chinese-linked investors have defied federal orders to sell their stake of around 17 per cent in Northern Minerals, a Perth-based rare earths company. The company is developing the Browns Range project in Western Australia's Kimberley region.
Treasurer Jim Chalmers ordered six investors to sell by July 2, but the companies still held most of their shares when they reported to the ASX in July. Resources Minister Madeleine King said nationalisation is one possible option.
She cited the company's strategic importance to Australia and America's efforts to reduce reliance on Chinese supplies of critical minerals. Northern Minerals is already on track for about $500 million in US government funding.
King also appeared to confirm that the companies had failed to pay the fines imposed for not following divestment orders.
- 17 per cent
- Investor stake
- $500 million
- US funding
- July 2
- Divestment deadline
- Browns Range, east Kimberley
- Project location
Why it mattersControl of rare earths supply is crucial for renewable energy and military technology; allowing foreign state-linked investors to hold strategic assets threatens national security and supply chain independence.
AustraliaIf nationalised, the company could accelerate Australia's ability to develop its own critical minerals supply, reducing prices on imported technology and strengthening the US-Australia strategic partnership.
✓ Claims checked against the source and corrected before publish. checked 2 h ago
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