ROI-Every mineral is critical in the new metals age: Andy Home

By Andy Home LONDON, Dec 29 (Reuters) - The U.S. Geological Survey’s (USGS) updated critical minerals list now encompasses 60 different materials, representing around 80% of all the mined commodities on the periodic table. Some are well-known industrial inputs such as copper, nickel and zinc. Many are not. Among the rare earth elements are exotic metals such as gadolinium, ytterbium and praseodymium. From aluminium through to zirconium, all are considered “essential for national security, economic stability and supply chain resilience,” according to the USGS. The spectrum of metals now deemed “vital for a modern American economy” speaks to a quiet revolution in how metals are used, one nurtured more in the laboratory than in the blast furnace. SPICE METALS Many critical minerals are “spice metals” - used in only tiny quantities but with a transformative impact. Consider, for example, the humble semiconductor chip, the foundation stone of modern technology, ubiquitous but unseen in our laptops, mobile phones and cars. Silicon has been the wafer material of choice for decades but is close to its technical limits when it comes to advanced computing. Sprinkle in a dash of gallium and germanium, however, and the chip’s capacity rises exponentially. As garnish for the finished product, you’ll need a mix of palladium, arsenic, iridium, titanium, copper and cobalt for plating, wiring, doping and packaging. It’s a lot of metal for something so small, but the spice is worth it as the semiconductor industry seeks ever more powerful chips. The spice is also highly prized by the U.S. military, which helped develop the technology at the Defense Advanced Research Projects Agency. Super-powerful gallium nitride chips enhance radar capability and boost drone-jamming capacity, a major defence priority in an age of drone swarms. POWER METALS The accelerator behind much of the recent metals revolution has been the global drive to reduce carbon emissions. The road to phasing out fossil fuels is paved with metals such as lithium, cobalt, nickel and manganese. Lithium was a niche industrial mineral used mainly in industrial lubricants until a little-known start-up called Tesla (TSLA.O) unveiled the Roadster electric vehicle in 2006. Now lithium sits at the heart of the shift from internal combustion engines to cleaner technology. No welding required. Lithium and other metallic cathode ingredients are blended as powders into bespoke recipes for battery makers. It’s more chemistry than metalwork. A battery alone won’t make a vehicle move. For that you need an electric motor, and the best are permanent-magnet motors rich in rare earths. Smaller magnet motors are needed to operate the windscreen wipers, adjust the seats and lower the windows. Like semiconductors, rare earth magnets are everywhere, just not in plain sight. PHOENIX METALS Copper wires the modern technological age and tin glues the whole thing together. These are two of the oldest metals used by humans; in combination they defined the Bronze Age. Thirty or so years ago both were in danger of becoming sunset metals as core applications in telecoms and packaging were steadily replaced by fiber optics and plastics respectively. Tin is still used for brass decorations and long-life food cans, but together these now account for only 17% of global usage, according to the International Tin Association. More than half of all the tin used today is for soldering circuit boards together, making it an indispensable part of the bridge between physical and virtual worlds. As for copper, it’s still the best electrical conductor at the price. It wires every EV, it wires every charging point and it wires every power source. Millennia after bronze transformed tool-making, these two “phoenix metals” have been reborn as core inputs for modern life. METALS AGE Metals, both old and new, have been seeping into our technology in weird, wonderful and mostly unnoticed ways. Without them, nothing works. A study by U.S. defence software company Govini found that more than 80,000 parts across 1,900 U.S. weapon systems incorporate antimony, gallium, germanium, tungsten or tellurium. That’s nearly 78% of all U.S. weapons and just five out of 60 critical minerals. This is a major problem for the Pentagon, since China is the dominant global producer of just about all of them and has this year shown it is quite prepared to leverage that position in the form of export controls. It’s also a big problem for everyone, since civilian life depends on the same spicy metallic mixes. The West’s pressing need to escape China’s chokehold on critical minerals supply has thrust these previously obscure elements to the center of world politics. U.S. President Donald Trump’s deal with Ukraine in May was underwritten by the country’s mineral resources. The Washington-brokered peace deal between the Democratic Republic of Congo and Rwanda opens the door to a part of the world rich in copper and cobalt, currently dominated by Chinese operators. The U.S. International Development Finance Corporation is weighing up an investment with Congo’s state miner Gecamines, which would give the U.S. a right of first refusal on future supply. Critical minerals are going to stay in the news until further notice. So expect more headlines about metals you’ve never heard of, such as indium, niobium and scandium. They’re all critical in one form or another in the 21st century. Welcome to the new metals age. Andy Home is a Reuters columnist. The opinions expressed are his own Enjoying this column? Check out Reuters Open Interest (ROI) for thought-provoking, data-driven commentary on markets and finance. Follow ROI on LinkedIn and X. (Editing by Marguerita Choy) )