Critical Minerals Processing Investment Incentive (CMPII)
No fixed amount
Tax Credit
Description:
The Critical Minerals Processing Investment Incentive (CMPII) complements the new Saskatchewan Critical Minerals Innovation Incentive program. CMPII offers transferable Crown royalty/freehold production tax credits for qualified greenfield or brownfield value-added processing projects at a rate of 15 per cent of eligible program costs. CMPII is open to value-added processing projects across all segments of Saskatchewan’s aluminum, cobalt, copper, gallium, helium, lithium, magnesium, natural graphite, nickel, rare earth elements and zinc industries.
Comments on Funding:
A 15% credit on eligible program costs.
Continuous Intake until March 31, 2029
Eligibility:
Applicants must be:
1. Businesses that have either greenfield (new) or brownfield (existing) value-added processing projects across all segments of Saskatchewan’s aluminum, cobalt, copper, gallium, helium*, lithium*, magnesium, nickel, rare earth elements and zinc industries.
Applicants’ proposed project must be:
a) is:
i. an aluminum processing, refining or smelting facility;
ii. a cobalt processing or refining facility;
iii. a copper processing or refining facility;
iv. a gallium processing, refining or purification facility;
v. a helium processing or liquefaction facility;
vi. a lithium processing or refining facility;
vii. a magnesium processing or refining facility;
viii. a natural graphite processing, refining or purification facility;
ix. a nickel processing or refining facility;
x. a rare earth elements processing or refining, or a magnet manufacturing, facility; or
xi. a zinc processing or refining facility.
b) will result in a significant increase in processing capacity as determined by the minister;
c) involves a minimum investment of CAD$10 million in eligible costs;
d) has not become operational, as determined by the minister, before the eligible project application is submitted,
and
e) Is being undertaken by an applicant that is not:
i. a government, board, commission or any other agent or subsidiary of the Crown or the Crown in right of
Canada; or
ii. a not-for-profit corporation.
Application Steps:
Applicants must:
1. Download the CMPII Application Form from the CMPII website.
2. E-mail the completed form and any supporting documents to the Ministry of Energy and Resources at CMPII@gov.sk.ca.
3. The Ministry of Energy and Resources will confirm receipt of the completed application form or indicate the form as
being incomplete by e-mailing the address provided in the Application Form’s Section 1: Contact Person
Information.
4. The Ministry of Energy and Resources will process the completed application form and assess the proposed project
against the eligibility requirements established in The Critical Minerals Processing Investment Incentive Regulations.
5. Once the application assessment has concluded, successful applicants will receive a Letter of Conditional Approval to
the CMPII program via e-mail to the address provided in the Application Form’s Section 1: Contact Person
Information.
6. Following conditional approval, and once construction is imminent, the applicant and the Ministry of Energy and
Resources will enter into a formal agreement. The agreement will detail the proposed project’s description and
operational plan, an itemized listing of eligible costs, construction/operational timelines, other relevant parties
participating in the project, and other similar information. For the purposes of improving a third party’s ability to
audit eligible costs, it is recommended that the applicant’s auditor be engaged during the agreement drafting phase.
7. After an agreement is finalized, the credits are earmarked, and the applicant will execute the proposed project in
accordance with the parameters outlined in the agreement.
Documentation Needed:
Applicants must submit:
1. a completed CMPII Application Form;
2. additional information, as requested.
Other Things to Note:
About the author
Maurice
