Australia’s $1.2bn critical minerals reserve: funding signals for project engineers
Reviewed by Joe Ashwell

First reported on Australian Mining
30 Second Briefing
Australia’s Federal Government has named lithium, nickel, cobalt, graphite and rare earths as the first commodities eligible for its $1.2 billion Critical Minerals Strategic Reserve, ahead of Treasurer Jim Chalmers’ mid-year budget update. The reserve will allow Canberra to buy and hold physical stockpiles to support downstream processing projects and stabilise supply chains, with details expected to influence financing for operations such as Larvotto Resources’ Hillgrove gold–antimony project in NSW. For miners, the move signals potential price support and new offtake-style backing for qualifying critical mineral projects.
Technical Brief
- For mine safety planning, more stable cashflows can support continuous investment in ground support, ventilation and monitoring.
- Government-backed stockpiles reduce pressure for high‑throughput “catch‑up” campaigns, lowering fatigue and production‑driven safety risks.
- Similar reserve mechanisms internationally have historically been tied to mandatory reporting and audit standards for stored material quality.
Our Take
Hillgrove’s inclusion alongside antimony in the Critical Minerals Strategic Reserve aligns with Larvotto Resources’ recent high‑grade drilling results at the Clarks Gully prospect, signalling that Canberra is willing to back projects still in the resource‑definition and optimisation phase rather than only established producers.
Our database shows relatively few Policy pieces tying gold to ‘critical minerals’ frameworks, so Hillgrove’s gold–antimony profile in NSW may give Larvotto a funding and permitting edge over single‑commodity gold projects that fall outside strategic classifications.
The earlier deployment of an ECORE automated drill core scanner at Hillgrove suggests that projects using advanced characterisation tools may be better positioned to demonstrate resource confidence and ESG traceability, which is likely to be scrutinised for any asset feeding into a federal strategic stockpile in Australia.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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