Canada Invests to Strengthen Critical Minerals Supply Chains in Quebec
October 8, 2025
On October 4, the Honourable Tim Hodgson, Minister of Energy and Natural Resources, announced that Arianne Phosphate Inc. has been conditionally approved for an investment of up to $735,000 through the Critical Minerals Research, Development and Demonstration (CMRDD) program. This funding is part of an $80.3-million investment announced by Prime Minister Carney on the margins of the 2025 G7 Leaders’ Summit to build reliable critical minerals supply chains in Canada.
This investment will support Arianne Phosphate Inc.’s work to process phosphate rock from its Lac à Paul deposit and optimize the phosphoric acid purification process. If commercialized, this project could establish a source of Canadian phosphorus, a key ingredient in lithium-iron-phosphate batteries. Phosphoric acid is also essential for fertilizers and other specialty products.
Critical minerals, including phosphorus, are the essential building blocks for the technologies necessary to the global economic and industrial transition. By investing in a resilient and sustainable Canadian mining and mineral processing sector, the Government of Canada is creating Canadian jobs, securing Canadian sovereignty and seizing the opportunity of the clean energy transition.
Quotes
“By investing in projects like Arianne Phosphate’s Technology Centre, we are strengthening Canada’s leadership in critical minerals and building a cleaner, more secure future — furthering the goals spelled out at the G7 in Kananaskis. This investment not only supports innovation, supply chain security and good jobs here at home, it also ensures we are leveraging our natural resources to stay at the forefront of the global shift to clean technologies.”
The Honourable Tim Hodgson
Minister of Energy and Natural Resources
“This investment in Arianne Phosphate’s innovative project highlights Canada’s commitment to securing a reliable and sustainable supply of critical minerals essential for, among other uses, clean energy generation and storage. By backing projects like this, we are creating jobs and securing a sustainable, homegrown supply of essential resources for the future.”
Claude Guay
Parliamentary Secretary to the Minister of Energy and Natural Resources
“On behalf of the Board and management team, we want to thank the Government and Minister Hodgson for their support. The Government of Canada’s support of Arianne allows us to move forward the development of our Lac à Paul project to the benefit of the country, our stakeholders and our shareholders. Recognized as a critical mineral in 2024, phosphate is an essential mineral used in lithium-iron-phosphate batteries, as well as food and agriculture. The advancement of our project will help bring about the government’s vision of being a leader in critical minerals.”
Marco Gagnon
Executive Chairman, Arianne Phosphate Inc.
Quick facts
- The Canadian Critical Minerals Strategy aims to advance the development of critical minerals and related value chains to drive the transition to a low-carbon economy and support advanced technology and manufacturing. The initiatives presented in the Strategy will be implemented and refined in collaboration with provincial, territorial, Indigenous, industry and other Canadian and international partners.
- At the 2025 G7 Leaders’ Summit in Kananaskis, Alberta, Prime Minister Mark Carney announced $80.3 million to build reliable critical minerals supply chains. This includes $50.3 million to support domestic research and development initiatives, strengthen global supply chains and level the playing field to better respond to deliberate market disruption.
Related Story
Investing to Make Canada a Global Critical Minerals Superpower
As global demand for critical minerals is expected to double by 2040, Canada is uniquely positioned to be a global leader and supply this growing market: we have an abundance of critical minerals and the workers, businesses and communities with the know-how to scale up the mining, processing and manufacturing of products and the recycling of these minerals. Since the launch of Canada’s first-ever Critical Minerals Strategy in 2022, the Government of Canada has made historic investments and removed barriers to get good mines and processing facilities built faster, responsibly.
