The Government has allocated up to $50 million to two West Coast critical minerals processing operations, with Regional Development and Resources Minister Shane Jones announcing the funding from an $80 million pool designated within the Regional Infrastructure Fund for critical minerals sector development.

The projects

Tāiko Critical Minerals in Barrytown will receive up to $20 million toward a $40 million wet separation facility. The plant forms one component of a broader mineral sands extraction and processing enterprise that has obtained approvals to develop a mine-to-market operation extracting ore from privately owned farmland.

Westland Mineral Sands near Westport will receive $30 million toward a proposed $70 million facility for mineral separation and processing.

Both operations will handle ores containing titanium, zirconium and rare earth-bearing concentrates called monazite. These materials are used in clean energy systems, advanced manufacturing, electronics, aviation and medical equipment.

Jobs and economic impact

The two operations are projected to support around 170 permanent high-value jobs once operational, with approximately 90 roles during construction.

"By turning our natural resources into higher value products here in New Zealand, we are creating skilled jobs, strengthening our regional economies and the national economy by adding value to our exported products," Jones said.

Minister's rationale

"It is clear nations around the world are seeking to secure critical minerals for manufacturing and science. We have those minerals and this Government will back our industry to contribute to a diversified and secure critical minerals supply chain," Jones said.

"Government support is vital, especially at the early stage of development. Resources projects often have multi‑decade lifespans, providing sustained economic activity rather than short‑term gains. This can offer greater certainty for regions, workers and local businesses," he said.