First and Last Mile Fund

Advancing strategic mining and infrastructure projects that support critical minerals development in Canada

The First and Last Mile Fund (FLMF) will provide up to $1.5 billion in federal funding until 2030 to support strategic mining and infrastructure projects that are key to developing Canada’s critical minerals supply chains and getting critical minerals to market. The FLMF subsumes and builds on the Critical Minerals Infrastructure Fund (CMIF) with an expanded mandate to support more activities at the upstream and midstream segments of critical minerals value chains.

The FLMF will provide funding for:

• critical minerals development projects, including infrastructure enabling mining and processing (transportation and energy), as well as mine-site development
• Indigenous engagement, participation, and capacity building related to critical minerals development projects funded under the FLMF

Program details

Expected outcomes

FLMF funding will address key infrastructure gaps in the upstream (mining) and midstream (processing) segments of critical minerals value chains, while enabling the capacity of implicated Indigenous nations, communities, and groups to:

• unlock and accelerate the development of new critical minerals resources and regions
• strengthen Canada’s critical minerals supply chains
• improve access to markets

Types of funding

The FLMF will offer non-repayable contributions, conditionally or unconditionally repayable contributions and non-repayable grants.

Critical minerals development project funding

Canada’s rich endowment of critical minerals represents an opportunity to spur economic development, create jobs, and unlock new trading potential to drive one Canadian economy. As market and economic uncertainties persist and worsen, Canada must increase market confidence and attract the capital needed to build faster and with purpose.

Contribution funding under this stream is available for the following activities that support critical minerals in Canada:

• on-site critical minerals mine development
• enabling transportation and clean energy infrastructure for critical minerals mines and midstream processing facilities
• infrastructure needed for onward market access

Supported projects may include both preconstruction and deployment activities. They may also be regional in scale or focus on supporting a single critical minerals development.

Indigenous capacity funding

As most critical minerals deposits and enabling infrastructure projects in Canada are located in or near Indigenous communities, Indigenous groups are central partners in expanding Canada’s supply of critical minerals. Given the accelerated pace of critical minerals development in Canada, the capacity of Indigenous groups should advance in lockstep with critical minerals and enabling infrastructure projects.

Funding will be available to enable the leadership, engagement, and participation of Indigenous nations, communities, and groups that are implicated in FLMF critical minerals development projects.

Funding under this stream may be used by Indigenous groups and/or eligible partner organizations, for the following activities:

• engagement (for example, in-person or virtual meetings with project proponents)
• capacity building (for example, completing training or hiring personnel)
• knowledge gathering and sharing (for example, publishing reports or studies to inform decisions)

Indigenous support for the development of critical minerals or enabling infrastructure projects is not a requirement for funding.

Directed application intake

The FLMF targets strategic projects that align with key Government of Canada priorities. There is currently no open call for proposals. Instead, Natural Resources Canada (NRCan) will identify proponents whose projects best align with program objectives and invite them to submit applications.

Critical minerals development projects

Invitation process

Applicants will be invited to submit an expression of interest (EOI) and, as applicable, a full application based on the alignment of their projects with program priorities, including the extent to which their projects:

• significantly contribute to the production of priority critical minerals for energy and defence
• demonstrate potential for near-term production
• are well positioned to leverage an FLMF contribution to attract investment
• support vertical and/or horizontal value chain integration within Canada
• unlock a critical minerals–rich region
• support Indigenous groups leading critical minerals development
• align with provincial and territorial priorities
• align with strategic priorities of international partner jurisdictions
• support vertical integration with international partner value chains

Applicants invited to submit an EOI or application will be identified by the Government of Canada based on robust engagement among federal experts as well as consultation with provincial, territorial, and Indigenous partners to prioritize the most strategic projects that will help achieve Canada’s critical minerals development objectives.

Support for priority projects takes into consideration funding need, alongside other federal instruments such as Investment Tax Credits (ITCs) and Canada Infrastructure Bank (CIB) financing.

Invited applicants will be provided with further information about the application and selection process.

Selection process and timelines

FLMF project assessments will involve an interdepartmental process engaging expertise from relevant federal departments, as well as consultations with provincial and territorial partners, to inform recommendations on applications.

Invited applications will be evaluated using the following criteria:

• an eligible project’s expected support for critical minerals production in Canada
• due diligence related to the application quality, project feasibility, and project risks
• the project’s expected economic, environmental, and Indigenous reconciliation benefits and impacts

Once a full assessment is completed, successful projects will receive a conditional funding offer which will begin the process to negotiate a contribution agreement, including a comprehensive due diligence exercise.

Indigenous capacity funding process

FLMF Indigenous capacity funding will be offered in sequence with the assessment and approval of FLMF critical minerals development projects.

An EOI process will be leveraged to understand the engagement, participation, and capacity-building needs of Indigenous nations, communities, and groups that are likely to be implicated by critical minerals development projects under the FLMF.

Based on the details outlined in the EOI process, NRCan will invite eligible recipients to submit applications in line with funding availability. The purpose of this funding is to support capacity building of Indigenous nations, communities, and groups in parallel with critical minerals development projects enabled by the FLMF.

Collaboration with other federal support mechanisms

Applications received under the FLMF will be shared with federal partners, including the CIB, and will undergo an assessment of potential investment under complementary funding programs. In cases where support would be offered to a project by other funders or lenders, the FLMF contribution to that project will be scaled accordingly.

Timeframe

FLMF funding will run until March 31, 2030.

Contact us

For information on federal funding opportunities related to critical minerals development, please contact the Critical Minerals Centre of Excellence concierge service, at cmce-cemc@nrcan-rncan.gc.ca.

For further guidance on development projects, please send an email to the FLMF program inbox, at flmf_dev-dev_fpdk@nrcan-rncan.gc.ca with the subject line: Inquiry - FLMF.

For more information on Indigenous capacity funding, please send an email to flmf_icf-fca_fpdk@nrcan-rncan.gc.ca with the subject line: Inquiry - FLMF.