Indigenous participation central to critical mineral development: Commons report
Barriers to Indigenous participation must be at the centre of Canada’s push to develop critical minerals if the sector is to become an economic opportunity, says a report from the House of Commons Natural Resources Committee.
Indigenous leaders told the committee that development cannot move forward without meaningful consultation and consent.
Assembly of First Nations National Chief Cindy Woodhouse-Nepinak reminded MPs that “First Nations maintain sovereignty over their lands and over their waters and territories. The development of critical minerals must include the free, prior and informed consent of First Nations.”
Sharleen Gale of the First Nations Major Projects Coalition described critical minerals as a “nation-building” opportunity for both Canada and First Nations, but stressed that development “must be rooted in economic partnership” and that “most [mineral] deposits are in Indigenous territories, development must proceed with free, prior and informed consent every step of the way.”
The report, An Extraordinary Opportunity for Canada: The Development of Critical Minerals, heard from more than 30 witnesses, including mining companies, Indigenous organizations and academics. It concludes that Canada is well-positioned to capitalize on growing global demand for critical minerals used in batteries, renewable energy technologies, advanced manufacturing and defence applications.
The committee’s first recommendation calls on the federal government to advance critical mineral projects while respecting Indigenous rights and securing free, prior and informed consent from Indigenous rights holders.
The mining sector contributed $117 billion to Canada’s GDP in 2023 and provided one in every 30 jobs across the country, according to the Mining Association of Canada. “Mining products, particularly critical minerals, are part of the daily lives of Canadians, and in recent years their importance has become more apparent due to factors such as the global energy shift towards electrification and battery power, supply chain concerns, geopolitical issues and a renewed focus on defence,” the report says.
The report also highlights economic reconciliation as a major opportunity. Woodhouse-Nepinak told MPs that economic reconciliation “means that policies and programs must enable First Nations to fully participate not just as stakeholders but also as rights holders, equity partners and co-developers.”
Gale argued that “Indigenous partnership is not a barrier; it is Canada's strategic advantage that needs to be nurtured and supported through real investment in capacity. … When Indigenous rights and ownership are embedded from the beginning, projects will move faster, you'll face fewer disputes and you'll generate shared prosperity for all Canadians.”
At the same time, witnesses identified obstacles facing Indigenous communities, including limited access to capital, insufficient capacity to participate in regulatory reviews and infrastructure deficits. The report notes concerns that some communities still lack basic services despite nearby resource development.
Beyond Indigenous participation, the committee heard that geopolitical tensions are increasing the strategic importance of Canadian critical minerals. Witnesses pointed to supply chain risks involving China and Russia as well as growing demand from allied countries seeking alternative suppliers.
Pierre Gratton of the Mining Association of Canada warned that “for Canada and its allies, this concentration [in China] underscores the urgent need to expand mining production and build and diversify refining, recycling and magnet-manufacturing capacity outside of China.”
The report also emphasizes Canada’s competitive advantages, including abundant mineral resources, a stable regulatory environment and a skilled workforce. Witnesses argued that Canada’s reputation for responsible resource development could become increasingly valuable as buyers focus on sustainability and supply security.
However, industry representatives repeatedly cited lengthy permitting timelines, financing challenges and inadequate infrastructure as barriers to development. Chad Ulansky of Cantex Mine Development told MPs that “the ever-lengthening time required to obtain the permits necessary to do everything from low-level exploration right through to mine development is a real hindrance to our industry.”
The committee recommended streamlining regulatory reviews under a “one project, one review” approach, expanding tax incentives, investing in energy infrastructure and strengthening domestic mineral processing capacity.
Other recommendations in the report called on the government to accelerate Canada’s critical minerals strategy by strengthening Canada’s position in global supply chains, including stockpiling critical minerals, supporting private-sector investment, expanding export infrastructure and creating financial tools to protect projects from market volatility and foreign competition.
