Utah allocates $11M to expedite critical mineral mining amid supply chain concerns

January 31, 2025 | 2025 Utah Legislature, Utah Legislature, Utah Legislative Branch, Utah


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Utah allocates $11M to expedite critical mineral mining amid supply chain concerns
The Senate Natural Resources, Agriculture, and Environment Committee convened on January 31, 2025, to discuss critical issues surrounding the extraction of essential minerals in Utah. A significant focus of the meeting was a proposed bill that aims to streamline the mining process for critical minerals, which are vital for both the national economy and security.

The bill proposes an appropriation of $11 million from a throughput infrastructure fund, which is not derived from the general fund and will not impact the state’s overall budget. Instead, this funding will be structured as a loan, with the expectation that the money will be repaid to the state with interest. The initiative is designed to expedite the opening of mines for minerals that are currently imported from foreign nations, many of which are not aligned with U.S. interests.

Among the minerals discussed, fluorspar was highlighted as a critical resource. Currently, the United States relies entirely on imports for this mineral, primarily from China and Mexico. Fluorspar is essential for various industries, including uranium enrichment, lithium-ion battery production, and steel manufacturing. Utah is noted for having the only fully permitted fluorspar mine in the country, which is nearing completion.

Another mineral of concern is gallium, which is crucial for the U.S. microchip industry. The meeting revealed that the U.S. has not mined gallium since 1987 and is heavily dependent on imports, particularly from China. Recent restrictions on gallium exports from China have raised alarms about the U.S.'s reliance on foreign sources for this critical mineral.

The committee underscored the urgency of developing domestic sources for these minerals to bolster national security and economic stability. With Utah possessing a significant amount of these critical elements, the discussions indicated a proactive approach to mining and resource management in the state. The outcomes of this meeting may set a precedent for future initiatives aimed at enhancing the U.S. mineral supply chain.

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