Canada has invested Growth Fund capital into graphite mining as part of a deliberate effort to boost its economy and ensure long-term growth in important industrial sectors.
Canada Growth Fund’s significant commitment to invest roughly US$82 million (C$113 million) in Nouveau Monde Graphite (NMG), a graphite miner and refiner based in Québec, was welcomed by the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, reinforcing this strategic direction.
This investment forms part of a broader US$297 million (C$411 million) financing package that also includes Eni S.p.A., Investissement Québec, and public equity financing, highlighting a strong institutional and private sector backing for the project.
According to the Minister of Finance and National Revenue, this investment by the Canada Growth Fund is a strategic anchor for Québec’s economy and a vital step in securing Canada’s economic sovereignty.
“By building resilient domestic supply chains for critical minerals like graphite, we are not only creating high paying jobs, we are protecting our national security and ensuring Canada’s place at the top of the global value chain. We are positioning our country to lead in clean technology, advanced manufacturing, and national security applications, delivering real value for Canadians today and tomorrow.”
Honourable François-Philippe Champagne
Given graphite’s vital significance in clean technologies, innovative manufacturing, and national security applications, mining and refining are increasingly viewed as foundational to this endeavour.
This endeavour is based on NMG’s objective of creating a fully integrated Canadian graphite supply chain. This includes the Matawinie Mine in Saint-Michel-des-Saints and the current building of a refinery in Bécancour.
The Matawinie Mine is planned to become one of North America’s largest graphite mining operations, positioning NMG as a critical supplier in the regional supply chain for firms focused on clean technology, innovative manufacturing, and national security.
Honourable Tim Hodgson, Minister of Energy and Natural Resources also stated that, “this announcement is another example of how we’re getting projects built to make Canada an energy superpower and the strongest economy in the G7.”
“We referred the Matawinie Mine to the Major Projects Office because Canada has what the world wants. Quebec’s graphite is used globally for the energy transition and advanced manufacturing.”
Honourable Tim Hodgson
This recent investment expands upon previous contributions where Canada Growth Fund made its first direct investment in the vital minerals industry in December 2024 when it contributed around C$35.6 million to NMG as part of a combined C$71 million equity investment with the Quebec government.
As a result, 120 full-time jobs were created, and an additional 180 jobs are anticipated by 2030.
Building a Domestic Critical Minerals Powerhouse
With the latest commitment, Nouveau Monde Graphite (NMG) is accelerating the development of a fully integrated ore-to-processed-graphite value chain in Québec, Canada. The project is structured to meet rising demand from energy, advanced technology, and manufacturing sectors, all of which increasingly depend on secure and reliable access to high-quality graphite inputs.
Per, the Department of Finance Canada, a major milestone was reached on November 13, 2025, when the Matawinie Mine project was referred to the Major Projects Office. This step emphasizes the project’s national importance and reinforces its role as a core component of NMG’s vertically integrated strategy, which connects upstream mining operations directly with downstream processing and refining capacity.
The development is being reinforced by financial support from the Canada Growth Fund, a $15 billion arm’s-length federal investment vehicle established to mobilize private capital and support large-scale Canadian projects. Operating independently through Canada Growth Fund Investment Management, a subsidiary of the Public Sector Pension Investment Board, the fund is mandated to allocate capital strategically across sectors critical to Canada’s long-term economic transformation.
Moreover, in December 2024, the Canada Growth Fund entered into a definitive agreement for a C$35.6 million private placement with NMG, marking its first direct investment in the country’s critical minerals sector.
Since then, the Canada Growth Fund has expanded its portfolio significantly. As of March 2026, it has announced 22 transactions and committed more than $5 billion across six provinces. This growing footprint reflects a coordinated national strategy aimed at strengthening Canada’s position in critical minerals.
In a broader sense, the fund’s aim is to promote economic expansion while assisting in the shift to reduced emissions. Its investment strategy places a high priority on cutting emissions while maintaining competitiveness, implementing important clean technologies like carbon capture and sequestration and low-carbon hydrogen, and growing businesses that support employment, productivity, and clean growth in both established and new economic sectors.
These priorities are designed to reinforce Canada’s long-term economic resilience and ensure the country remains competitive in a rapidly evolving global landscape.
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