Canada Breaks Ground on Graphite Mine in Quebec

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Written by Daniel Graeber for IIR News Intelligence (Sugar Land, Texas)

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Summary

Nouveau Monde Graphite started work on the second phase of the Matawinie graphite mining operation. With global demand on the rise, the Canadian government is keen on setting itself up for success.

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The Largest Operation in the G7

Canadian Prime Minister Mark Carney attended a groundbreaking ceremony for a graphite mine in Quebec, a mine his office said would be the largest in the Group of Seven advanced economies.

According to Industrial Info Resources data, the second phase of the Matawinie graphite mine has an investment value of US$55 million. The Industrial Info Resources Global Market Intelligence (GMI) Metals & Minerals Project and Plant databases offer a detailed project report and plant profile.

Operator Nouveau Monde Graphite believes it can tap some 116,000 tons of natural graphite concentrate annually at an open-pit mine located about 90 miles north of Montreal.

The Northern Graphite Corporation operates the Lac-Des-Seize-Iles Graphite mine in Quebec, which can yield around 25,000 tons of product per year. IIR finds the graphite industry in Canada is small.

Carney, a former central bank governor, is working on nation-building projects to shore up the Canadian economy. Facing the ire of U.S. President Donald Trump, meanwhile, his government has committed to halving U.S. trade in the face of stiff tariff threats.

His office referred six projects last year to the Major Projects Office, which is steering nation-building developments. Support went to the Matawinie project.

Carney said Tuesday during a groundbreaking ceremony that Canada is working to build up industries that cater to global demand.

"Canada has what the world wants -- and we're moving at speed to get it to market," he said. "The Matawinie Mine will position Canada as a choice supplier of graphite in a world where demand is rapidly outpacing supply."

Nouveau Monde also is involved in a downstream outlet for graphite in Quebec that makes high-grade spherical graphite products for use in products such as battery-powered vehicles.

Both the Matawinie Mine and products plant are in secondary stages of development, with the spherical products plant alone increasing production from an initial 40,000 tons per year to 100,000 tons per year of products. Readers can view a full list of related project reports.

"In November, we referred the Matawinie Mine to the Major Projects Office, and six months later, construction is underway to bring Quebec graphite to markets at home and abroad," said Tim Hodgson, the Canadian energy minister.

By the Numbers

• 116,000 tons of natural graphite concentrate annually from Matawinie
• 25,000 tons annually from the Lac-Des-Seize-Iles graphite mine

Trade Expansion in Sight

Canada last year announced a new strategic partnership with the European Union (EU) that included energy and minerals among its priorities. Carney said at the time that his nation was the one to lead a new era of global cooperation.

An early-year audit from the European Union, meanwhile, found the bloc was behind the curve in reshoring parts of its economy. The bloc depends on China for 40% of its graphite supplies, which are among the components necessary to power electric vehicles (EVs) and hybrids.

Global demand for battery-grade graphite is on the rise. In a report released Wednesday, the International Energy Agency (IEA) said it expected 30% of the vehicles sold globally this year will be electric. In the U.S. market, sales are down because of the cancellation of supportive tax credits, though trends elsewhere are improving given the rise in the price of fuels because of conflict raging in the Middle East.

"The growing popularity of EVs has marked a major shift for car markets and the energy system as a whole -- and it is providing some relief now amid the largest oil supply shock in history," said IEA Executive Director Fatih Birol.

That could help support Canadian efforts to cut U.S. trade in half.

"Critical minerals like graphite are at the heart of the clean technologies that will power our future" Julie Aviva Dabrusin, Canada's climate minister, said. "By advancing projects like the Matawinie Mine, we are supporting the transition to a low-carbon economy, strengthening resilient supply chains, and ensuring Canada remains a global leader in clean growth."

Key Takeaways

• The Matawinie graphite mine was included in a list of Canada's nation-building priorities last year.
• Graphite is a necessary component of the modern electric age.

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).