Continued growth in mineral demand in the coming decades calls for substantial contributions from supply sources that are sustainable and minimise losses and waste. However, progress on upstream and midstream, or “supply-side”, innovations has been lagging. Building resilient and responsible mineral supply chains will require efforts to scale up new technologies that can increase supply volumes, improve the energy efficiency of production processes, and reduce water consumption, waste generation and emissions all along the supply chain.

These innovations can help achieve various policy goals: improving security of supply, enhancing production and operational efficiency, boosting yield rates, lowering environmental and social impacts, and shortening project timelines. A range of emerging innovations hold the potential to transform mineral production. Examples include the lowering of energy and capital intensity of rare earths production by leveraging ionic adsorption clay deposits (IAC); boosting overall supply levels for lithium through the commercialisation of direct lithium extraction (DLE); reducing energy and emissions intensity for synthetic graphite production through novel technologies; accelerating exploration times with the use of artificial intelligence (AI).

Innovations such as AI-based geological exploration can reduce drilling costs by up to 60% and increase discovery success rates by as much as four times. Technologies that enable rare earth extraction from ionic adsorption clay deposits could significantly reduce capital intensity and waste generation, opening up new production opportunities in countries such as Australia, Brazil, and Uganda. 

Diversifying supply sources face significant technological and cost bottlenecks that stem from gaps in processing expertise, environmental regulations, and capital and operating costs. Addressing these gaps requires innovation in extraction, refining and recycling technologies, alongside strategic investments in alternative processing methods, supply chain partnerships and policy frameworks that can accelerate the development of diversified midstream capabilities.

Recent export restrictions by China on LFP cathode production, rare earth separation and lithium refining technologies highlight the importance of technology in establishing geographically diverse refining and processing capabilities. Intellectual property bottlenecks present an additional challenge, limiting the transfer of knowledge and impeding the development of new refining capacities in other regions. Developing and deploying innovations is thus a long-term endeavour that requires sustained investment and integration with existing industrial infrastructure.

Beyond domestic efforts, international collaboration on technology innovation is essential. Countries can leverage each other's strengths through strategic partnerships, technology-sharing agreements and co‑investments in refining infrastructure. This approach not only enhances supply chain resilience but also fosters sustainable, environmentally responsible mineral processing practices worldwide. For example, the IEA’s Technology Collaboration Programme supports global efforts towards scaling up novel technologies through its ability to convene different stakeholders for constructive dialogue and collaboration and its wide network of research and industry experts, which could be leveraged to support technology innovation for critical mineral supply chains.