10 buzzing ASX-listed critical metal stocks to power new energy future

Highlights

• Australia holds a huge potential for significant resources, including critical minerals, which are highly essential for society.
• Critical minerals are recovered as a by-product from the processing of ores of major commodities.
• Critical minerals include rare earth elements, platinum group elements, and other metals like lithium, indium, tellurium and gallium.

Australia is one of the leading suppliers of coal, gold, bauxite, zinc, copper, lead, iron ore, manganese, and a lot of other commodities. The country holds huge potential for significant resources, including critical minerals, which are highly essential for society.

Demand for critical minerals has increased significantly in recent years because of their wide-ranging applications across high-tech commercial and personal devices and the increasing popularity of these devices. These devices include smart devices, electronic equipment, solar panels, wind turbines, etc. The most common among these devices is a mobile phone.

The manufacturing of mobile phones today requires various critical minerals like indium, nickel, gallium, neodymium, and a lot more for the production of batteries for displays, touchscreen and casings.

Source: © Airubon | Megapixl.com

By now, you must be curious to know where the manufacturers are getting these critical minerals from?

Critical minerals are recovered as a by-product from the processing of ores of major commodities like nickel, copper, zinc, lead and gold. The production of these minerals is strongly dependent on the production of major commodities.

However, the concentration may differ based on the deposits and ore quality. Critical minerals include rare earth elements, platinum group elements, and other metals like lithium, indium, tellurium, and gallium.

As per the International Energy Agency, China is the biggest processor of several critical minerals in the world and processes nearly 90% of the world’s rare earth elements.

Given this backdrop, let's have a look at 10 ASX-listed critical minerals producers, which are very popular among investors.

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Australian Strategic Materials Limited

Australian Strategic Materials Limited (ASX:ASM) is engaged in the production of specialty metals and oxides for the utilisation of advanced technologies. The company holds and operates its flagship Dubbo Project in Australia, which indicates a long-term resource of rare earth, niobium, zirconium, and hafnium.

Iluka Resources Limited

Iluka Resources Limited (ASX: ILU) is a Perth, Australia-based high-grade titanium dioxide producer. The company has more than 60 years of experience in exploration, development, mining, processing, marketing and rehabilitation, and is a leading producer of zircon.

Lynas rare Earths Limited

Incorporated in 1983, Lynas rare Earths Limited (ASX:LYC) is engaged in the processing and extraction of rare earth minerals. The company holds a mining and concentration plant at Western Australia’s Mt Weld (known as one of the world’s premier rare earths deposits) and a refining facility in Malaysia.

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Image Description-Critical element mining

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Ionic Rare Earths Limited

Ionic Rare Earths Limited (ASX:IXR) is an Uganda-focused company engaged in the exploration of heavy rare earth elements in the Mukuutu Project. The project is one of the largest ionic adsorption clay deposits of heavy rare earth elements outside China.

Northern Minerals Limited

Northern Minerals Limited (ASX:NTU) is a Perth-based rare earth player engaged in the exploration and evaluation of rare earth elements. The company holds and operates its flagship Brown Range Project, which is rich in heavy rare earths.

Hyperion Metals Limited

Incorporated in 2017, Hyperion Metals Limited (HYM) is engaged in the sustainable extraction of critical metals. The company holds and operates its flagship Titan Heavy Mineral Sand Project in west Tennessee and the Milford Base Metals Project in Utah.

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EQ Resources Limited

EQ Resources Limited (ASX:EQR) is targeting critical minerals that are in high demand for the transition in global energy, industry and sustainability. The company holds and operates its flagship tungsten assets at Mt Carbine in North Queensland.

Krakatoa Resources Limited

Krakatoa Resources Limited (ASX:KTA) is engaged in the acquisition and development of various copper, gold, and critical metal projects that are significant for defence purposes. The company's most projects are located in the world-class Lachlan Fold Belt of New South Wales. 

Pan Asia Metals Limited

Pan Asia Metals Limited (ASX:PAM) is a battery-critical metal exploration company and has three highly prospective projects in the Southeast Asian Tin-Tungsten Belt. The company is exploring further opportunities for tungsten and lithium.

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Arafura Resources Limited

Based in Perth, Australia, Arafura Resources Limited (ASX:ARU) is focused on the exploration and development of rare earth minerals. The company is engaged in the advancement of the world-class Nolans Neodymium-Praseodymium (NdPr) Project (100% owned), located in the Northern Territory.

Bottom Line

Australia holds a significant position in the production and reserves of critical minerals, required significantly for high-tech commercial and personal uses. Various mining stocks across the globe are capitalising on the ongoing critical metal boom to power a new energy future.