Feds invest $850K in Indigenous critical minerals projects

The federal government has announced a significant investment in Indigenous economic development projects across Northern Ontario. Minister Patty Hajdu, responsible for the Federal Economic Development Agency for Northern Ontario (FedNor), revealed a total funding package of over $850,000 to support 14 initiatives focused on critical minerals and related infrastructure. This investment aims to bolster engagement, capacity-building, and knowledge-sharing activities in Indigenous communities as Canada seeks to develop its critical mineral resources.

The funding comes as Canada's mining industry enters a new phase characterized by rapid development, large-scale operations, and strategic objectives. The country's deposits of critical minerals, essential for low-emission technologies such as batteries, wind turbines, electric vehicles, and solar panels, present substantial economic opportunities, particularly for Indigenous communities in Northern Ontario.

Minister Hajdu emphasized the importance of Indigenous participation. "Supporting Indigenous-led initiatives goes beyond economic reconciliation. Northern Ontario is stronger when Indigenous leadership and knowledge help shape our shared future, creates good jobs, and builds sustainable economies, and partnerships across the region," she said.

"Investments like these build the foundation for a stronger and more competitive resource sector that also advances reconciliation. Working together, we can strengthen the resiliency and security of our supply chains, create opportunities for Indigenous Peoples' leadership and create the good jobs Canadian workers deserve, right here in Canada," Federal Minister of Energy and Natural Resources Tim Hodgson added.

"Canada is proud to invest in critical minerals development that supports Indigenous participation in our world-leading critical minerals sector. Federal support is driving innovation, advancing reconciliation and strengthening global partnerships through responsible resource development across the country," Claude Guay, parliamentary secretary to the minister of energy and natural resources, commented.

The funding announcement aligns with the broader Canadian Critical Minerals Strategy, which aims to develop critical mineral resources and related value chains to support advanced technology and manufacturing while facilitating the transition to a low-carbon economy. The strategy is implemented in collaboration with various stakeholders, including provincial, territorial, and Indigenous partners, as well as industry and international allies.

The government has stated Indigenous engagement is considered essential in mining development and related infrastructure projects, particularly given that many proposed initiatives would occur on traditional Indigenous territories and treaty lands. The CMIF Indigenous Grants program, which provided this funding, supports activities related to clean energy and transportation projects that enable critical minerals development.

Building on these efforts, the government announced in Budget 2025 the creation of the First and Last Mile Fund. This initiative is intended to expand support across various segments of value chains, from mine site development to midstream processing, with a total investment of $1.5 billion over four years starting in 2026-2027. The fund will include increased funding to support Indigenous engagement, leadership, and participation in critical minerals development, further advancing Canada's reconciliation efforts in the natural resources sector.

For a list of the 14 funded projects and for more information, visit: https://www.canada.ca/en/natural-resources-canada/news/2026/01/backgrounder-strengthening-indigenous-participation-in-critical-minerals-development.html