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- The M&E Dispatch // 085
The M&E Dispatch // 085
The Big Beautiful Bill - well, the parts that matter to Canadian companies that is.
Hello Everyone,
The headlines focused on healthcare changes, tax shifts, and pension tweaks.
But deeper in the fine print of the U.S. administration’s new “One Big Beautiful Bill” are provisions that could quietly reshape the competitive landscape for Canadian companies, especially those working in mining, oil & gas, and renewables.
Here’s what you should know:
1. New Lease Sales Mean More U.S. Fossil Fuel Production
The bill restarts lease sales in Alaska’s National Petroleum Reserve and mandates at least four sales over the next 10 years in the Arctic Coastal Plain. It also cuts red tape around permitting for oil, gas, and pipeline projects.
For Canadian oil & gas companies, especially those operating near the U.S. border or involved in joint projects, this could open the door to more opportunity, but also more competition. The U.S. is making it faster and cheaper to develop fossil fuel infrastructure, which may undercut Canadian exports or shift investment attention south.
2. Metallurgical Coal Gets a U.S. Tax Credit
A targeted tax credit for metallurgical coal producers has been introduced. While this isn’t grabbing headlines, it’s significant.
Met coal is used in steelmaking, not power generation, and it’s a major export for Canadian producers, particularly in British Columbia. This credit gives U.S. producers an edge, and that could put pressure on Canadian miners, especially if future policy continues to treat met coal as a strategic asset rather than a climate liability.
3. Methane Emissions Fee Delayed 10 Years
A planned emissions fee on methane, part of the previous U.S. climate strategy, has been pushed back a full decade.
This delay lowers the cost of doing business for U.S. natural gas producers. For Canadian firms operating on both sides of the border or competing in export markets, it’s another sign the U.S. is leaning into domestic production, potentially widening the cost gap.
4. Clean Energy Incentives Being Phased Out
Clean energy tax credits for wind and solar projects will be phased out by mid-2026. Electric vehicle and charging infrastructure credits are also ending.
This could slow U.S. investment in renewables. For Canadian firms exporting clean energy tech or participating in U.S. transition projects, the window is narrowing. On the flip side, Canada’s own clean energy incentives may now look more attractive to global capital, which could shift investment northward if we maintain a stable policy environment.
5. Tariff Exemption Removed for Small Shipments
The bill removes the U.S. tariff exemption for imports under $800 USD.
Many Canadian firms, especially smaller ones, ship parts, equipment, and samples to U.S. customers under this exemption. Without it, those shipments may now face duties, which could raise costs and complicate cross-border business operations.
This bill rebalances U.S. federal energy policy in favour of fossil fuels, particularly oil, gas, and steel-linked coal, while stepping back from clean energy transition support. That’s not just a domestic shift; it will affect how Canadian companies sell, compete, and grow in U.S. markets.
If your business touches U.S. energy infrastructure, exports clean energy components, or competes in the resource sector, now’s a good time to review your cross-border strategy.
// The Dirt
FPX Nickel Inks Non-Binding Strategic Agreement with Samsung SDI
The deal outlines potential future investment and offtake related to FPX’s Baptiste Nickel Project in British Columbia.
https://fpxnickel.com/news/fpx-nickel-announces-non-binding-strategic-cooperation-agreement-with-samsung-sdi/
Aris Mining Produces 50,487 oz Gold in Q2
Strong results from the Segovia Operations helped deliver another profitable quarter, with additional progress at the Marmato expansion.
https://www.aris-mining.com/news/news-releases/aris-mining-reports-second-quarter-2024-results
Marimaca Copper Begins Construction of New Camp and Infrastructure
Early works at the flagship Chilean copper project are now underway, keeping the company on track toward development milestones.
https://marimaca.com/news/marimaca-copper-commences-construction-of-camp-and-infrastructure-2024/
Canada Nickel Hits 0.28% Nickel Over 333m at Deloro
Latest results continue to confirm large-scale nickel potential in Ontario’s Timmins region, complementing nearby Crawford Project.
https://www.canadanickel.com/news/canada-nickel-intersects-028-nickel-over-333-metres-at-deloro/
Osisko Development Sells Non-Core Nevada Assets for US$15M
The sale to Orogen Royalties provides Osisko with cash while keeping upside exposure through retained royalties.
https://osiskodev.com/news/osisko-development-announces-sale-of-nevada-assets-to-orogen-royalties/
Aya Gold & Silver Reports 12% Increase in Q2 Silver Production
Operations at Zgounder continue to improve, with 560,298 oz silver produced and ramp-up of expansion activities progressing.
https://ayagoldsilver.com/news/aya-gold-silver-reports-record-q2-2024-production-and-operational-update/
NGEx Minerals Confirms New High-Grade Copper-Gold Zone at Lunahuasi
The company’s latest drilling in Argentina has intersected 11m of 6.94% CuEq—among the highest-grade intercepts in the project’s history.
https://ngexminerals.com/news/news-releases/ngex-minerals-announces-new-high-grade-zone-at-lunahuasi-122527/
Ioneer Signs Deal with EcoPro to Supply Lithium Carbonate
The binding offtake agreement with Korea’s EcoPro secures part of the Rhyolite Ridge project’s future production.
https://www.ioneer.com/news/ioneer-signs-binding-ecopro-lithium-carbonate-agreement
Ero Copper Beats Production Guidance, Raises Outlook
With Q2 copper output of 13,473 tonnes, Ero has increased its 2024 full-year production guidance for its operations in Brazil.
https://erocopper.com/news/2024/ero-copper-announces-second-quarter-2024-production-results/
Ivanhoe Electric Expands Typhoon Survey to Arizona’s Hog Heaven Project
The company’s cutting-edge geophysical system is now being deployed in Montana and Arizona, with first drill testing at Hog Heaven set for later this year.
https://ivanhoeelectric.com/news-media/news-releases/ivanhoe-electric-expands-typhoon-survey-to-hog-heaven-project-in-arizona
We’re within a month of making the move across the country and my list of tasks seems to be growing, rather than shrinking. That’s the way these things go though I suppose. The more you look at things the more you realize there is more to be done that you originally expected.
Guess the trick to this then is stop looking.
Happy Friday everyone, enjoy the weekend.
- Lee