US in talks over critical minerals fund to counter Chinese dominance

Group 1 - The US Government is negotiating with Orion Resource Partners to establish a multibillion-dollar fund for overseas mining projects, focusing on critical minerals like copper, cobalt, and rare earths [1][2] - The fund is expected to see investments of $600 million or more from both the DFC and Orion, with potential participation from other sovereign investors and US agencies [2][5] - The DFC plans to invest $600 million, allocating $100 million for equity stakes in mining projects and $500 million for debt, while facing limitations on equity stakes due to its mandate [4][6] Group 2 - The collaboration between the DFC and Orion is driven by concerns over supply chain dominance, particularly regarding China's processing capabilities and acquisition of overseas mining assets [1][3] - The DFC has previously invested in mining projects, including $105 million for TechMet and $50 million in a South African rare earths project, with the Orion deal poised to be its largest investment [6][7] - The White House is prioritizing the security of critical mineral supplies and aims to rapidly expand investments in mining and supply chains under the leadership of Ben Black [6]