As the global race to decarbonize intensifies, access to critical minerals has moved from a niche concern to a defining issue for national security, industrial policy, and climate innovation.
Few understand this intersection better than Nicolas Sauvage, President of TDK Ventures.
In this conversation with CleanEnergy.ca, Sauvage explains why battery-grade materials are the new strategic infrastructure, how his firm spotted early signals in the supply chain, and what it will take for entrepreneurs to lead the next era of energy resilience.
Nicolas, why are critical minerals now considered central to climate innovation and national strategy?
NS: Critical minerals are the foundation of climate innovation—they power the technologies driving the energy transition, from EV batteries to semiconductors. What’s changed is the growing recognition by governments and investors that securing these materials isn’t just a supply chain issue—it’s a strategic imperative. Without reliable access to battery-grade lithium, cobalt, and rare earth elements—the essential building blocks of electric vehicles, renewable energy systems, and more—goals around decarbonization, energy independence, and national security remain out of reach.
TDK Ventures made early investments in this space—what were you seeing that others may have missed?
NS: As a corporate venture capital firm with roots in both Silicon Valley and Japan, we have the benefit of a global lens. We saw early signals of a fragmented global landscape where access to critical materials could become a limiting factor for innovation. That is what led us to look for ‘Challenger Technologies,’ innovations that allow for alternative pathways from the traditional global supply chain. Examples of these technologies include our portfolio companies Ascend Elements, which is focused on domestic recovery of battery-grade materials, and pH7 Technologies, which offers a clean pathway for rare metal extraction. These companies are not just operating within the supply chain but reshaping it. For us, this was about anticipating long-term needs and supporting entrepreneurs building real resilience.
How do you view the recent push by the U.S. and Europe to secure their own mineral supply chains?
NS: This shift has been both expected and overdue. For decades, refining and processing capacity have been heavily concentrated. Now, geopolitical risk, trade policy, and energy urgency are all converging. What matters most to us is not just where these minerals come from, but how they’re sourced, processed, and scaled in ways that are sustainable. We’re backing startups that enable exactly that.
So, the opportunity is as much strategic as it is financial?
NS: Absolutely. Venture capital, done right, is about seeing where the world is going and helping to get it there faster. In this case, critical minerals are being redefined in how they’re used globally, not just as commodity plays, but as infrastructure for the net-zero economy. That’s a major shift. The most compelling startups in this space aren’t just improving costs but rewriting the operating models for material recovery, extraction, and domestic production. That’s where we see venture-type returns and long-term relevance intersect.
How does your background as a corporate VC inform how you approach this space?
NS: We see corporate venture capital as a long-term commitment to ever-evolving technologies that push forward our world. We call them Impact Scalers. TDK has a history of navigating industrial change, and we carry that lens into every investment. Our role at TDK Ventures is to spot where the next transformation will occur and identify the entrepreneurs best positioned to drive it.
What guidance would you give to founders working in critical materials today?
NS: If you’re working in critical minerals, you’re likely solving problems that go beyond your company. Keep at it, and know your ecosystem is complex, so use your partners, investors, and local community to help you. The world needs technologies that enable cleaner processing, shorter supply lines, and circular systems.