Canada invests to connect Quebec critical minerals to market

SAGUENAY, QC, Aug. 5, 2026 /CNW/ -- Canada is ready to build the critical minerals projects that will strengthen our economy, diversify our trade and secure the supply chains Canadians depend on. As global demand for critical minerals grows, strategic investments in clean energy and transportation infrastructure are unlocking new mining projects and connecting Canadian resources to domestic and international markets -- creating jobs and supporting long-term prosperity.

Today, Claude Guay, Parliamentary Secretary to the Honourable Tim Hodgson, Minister of Energy and Natural Resources, announced a nearly $5-million investment under the First and Last Mile Fund in the Saguenay–Lac-Saint-Jean region that will help advance infrastructure essential to responsibly developing Quebec's critical minerals, specifically First Phosphate's Bégin–Lamarche phosphate mine. First Phosphate is matching NRCan's contribution for both projects, catalyzing an additional close to $5 million in private investment.

Quebec accounts for nearly one-fifth of Canada's mineral production, containing significant deposits of critical and strategic minerals including phosphate, which is used in lithium iron phosphate (LFP) batteries -- durable, cost-effective technology that powers electric vehicles, renewable energy storage systems, off-grid power solutions and emergency backup systems used by Canadians every day.

This funding will go towards pre-development work including feasibility and environmental studies and engagement with Indigenous and local communities to help determine the best routes and designs for power transmission and transportation infrastructure that would link the mine to regional rail networks and the Port of Saguenay. This will speed up responsible development by addressing infrastructure gaps that can delay resource development. Once launched, the projects are expected to create approximately 500 jobs during construction while the mine is expected to create approximately 300 jobs once production begins in 2029.

By investing in enabling infrastructure, the Government of Canada is building more resilient, sovereign supply chains; reducing reliance on non-allied materials; supporting Indigenous and community participation; and creating good-paying jobs. Canada has what the world wants, and we are working with Quebec and Indigenous Peoples to unlock our resources to create jobs, prosperity and security for all.

Quotes

"Canada has what the world wants, and we are building the infrastructure required to get those resources to diverse markets. Investments like these help unlock our full potential by connecting projects to the infrastructure they need to move forward -- creating jobs, strengthening supply chains and delivering lasting prosperity for Quebec and Canada."

The Honourable Tim Hodgson
Minister of Energy and Natural Resources

"Canada and Quebec have an opportunity to become a reliable supplier of the critical minerals the world needs for the technologies and industries of the future. We're supporting critical minerals projects in Saguenay–Lac-Saint-Jean and beyond to strengthen Canadian supply chains, create economic opportunities and build Canada Strong."

Claude Guay
Parliamentary Secretary to the Minister of Energy and Natural Resources

"This support from the Government of Canada for First Phosphate sends a strong message to our investors and partners in Quebec, Canada and internationally. It reinforces confidence in our ability to carry out this strategic mining project and deliver our high-purity igneous phosphate to the market on schedule."

Armand MacKenzie
President, First Phosphate

Quick Facts

• The Canadian Critical Minerals Strategy aims to advance the development of critical minerals and related value chains, focusing on promoting domestic production and processing of critical minerals in strategic areas in order to protect Canada's sovereignty and economic resilience by safeguarding critical minerals value chains and partnering with Indigenous groups, provinces and territories, domestic stakeholders and international allies on critical minerals development.
• The First and Last Mile Fund (FLMF) is supported by $1.5 billion in federal funding, as announced in Budget 2025. The FLMF supports infrastructure that will unlock and bolster new mines, prioritizing projects that move Canada's resources to customers at home and abroad. Recognizing that most critical minerals deposits and enabling- infrastructure projects in Canada are located on Indigenous territories, the FLMF makes specific funding available to enable Indigenous leadership, engagement and participation throughout the mining value chain.
• Through the FLMF, Natural Resources is providing $3,071,587 in funding for First Phosphate's Ligne de transmission électrique pour l'exploitation durable du gisement de Phosphate Bégin-Lamarche project and $1,771,350 for its Infrastructures routières pour l'exploitation responsable du gisement de Phosphate Bégin-Lamarche project.
• This funding builds on a $16.7-million investment through NRCan's Global Partnerships Initiative for First Phosphate's Bégin-Lamarche demonstration and feasibility project to produce LFP-CAM quality phosphorous in Saguenay–Lac-Saint-Jean, Quebec, announced in March 2026.
• Quebec is home to some of the most diverse mineral resources in North America and is one of the world's leading producers of high-purity iron, scandium oxide, titanium, niobium and graphite. In addition, it is home to nearly half of Canada's lithium mining projects.

Associated Links

• First Phosphate
• Canada's Critical Minerals Strategy
• First and Last Mile Fund
• Programs and funding for critical minerals projects

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SOURCE Natural Resources Canada

Contacts: Natural Resources Canada, Media Relations, 343-292-6096, [email protected]; Charlotte Power, Office of the Minister of Energy and Natural Resources, [email protected]