Arizona Lithium welcomes Canadian critical minerals reforms

Arizona Lithium has welcomed a swathe of new measures to accelerate project approvals and development in Canada.

AZL says the reforms will support the advancement of its flagship lithium project in Canada. Pic: Getty Images.

Special Report: Arizona Lithium has welcomed a series of major policy reforms from the Canadian government aimed at strengthening the country's critical minerals sector.

• AZL welcomes new Canadian government’s critical minerals initiatives
• The policies are designed to accelerate project development and investment
• Company well placed to pursue phase 1 development of Prairie lithium project

New Canadian Prime Minister Mark Carney announced the national initiatives, which include measures designed to accelerate project development and investment in critical mineral supply chains.

Key elements of the policy include:

• the removal of interprovincial trade barriers;
• streamlined project approvals through a new ‘One Project, One Review’ framework;
• the creation of a ‘First Mile Fund’ to boost early-stage investment;
• improved labour mobility across provinces; and
• increased participation by Indigenous communities.

Arizona Lithium (ASX:AZL) says these reforms align directly with its strategic priorities and will support the advancement of the company’s flagship Prairie lithium project in the resource-rich Williston Basin in Saskatchewan.

Prairie holds a 6.3Mt lithium carbonate equivalent resource over 345,000 acres of mineral rights and hosts an operational direct lithium extraction (DLE) pilot plant currently producing lithium chloride. 

A pre-feasibility study (PFS) is underway, with the project expected to contribute significantly to North America’s future lithium supply, critical for electric vehicle batteries and renewable energy storage.

Watch: Ticking key approvals at the Prairie project

Perfect policy environment for Prairie

Arizona Lithium is committed to working closely with Canadian federal and provincial governments, as well as local communities and indigenous groups, to ensure the Prairie project delivers long-term economic and environmental value. 

The project also aims to have strong environmental credentials, with the company targeting to use less freshwater, land and waste, for a sustainable approach to lithium development.

“The Canadian government’s strong commitment to enabling investment, removing regulatory hurdles, and building a robust supply chain for critical minerals is a positive signal for the industry,” AZL managing director Paul Lloyd said.

“These initiatives not only create a more supportive environment for our Prairie lithium project, but also reinforce Canada’s ambition to lead in the global energy transition. 

“We’re excited to play a key role in this effort while delivering benefits to local communities and the broader clean energy economy.”

AZL has also recently launched a $2m share purchase plan (SPP) to advance the project as it looks toward phase 1 production.

Watch: Your ABCs on DLE

This article was developed in collaboration with Arizona Lithium, a Stockhead advertiser at the time of publishing. 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

Originally published as Arizona Lithium welcomes Canadian critical minerals reforms