• G7 administrative arm may be housed at IEA or OECD, sources say
  • IEA holds workshop on mineral stockpiling systems with industry, governments
  • France convenes critical minerals call on Thursday to prepare G7 summit in June
  • Western powers aim to shield themselves from China's dominance in rare earths, specialty metals

LONDON/BRUSSELS, May 5 (Reuters) - The Group of Seven countries are in talks to create a permanent secretariat to ensure initiatives to increase critical mineral supplies survive beyond the bloc's rotating presidencies, five sources familiar with the discussions said.

Developed countries around the world are seeking to cut their reliance on China, which dominates production of the minerals needed for defence, the energy transition and manufacturing.

The United States and the European Union last month agreed to deepen their coordination on critical minerals, such as lithium, cobalt and rare earths.

But two of the sources familiar with the discussions said Europe had rejected the idea of single shared stockpile in favour of each country controlling its own reserves.

European governments also do not want the U.S. to lead the project because they are worried access to critical minerals could be restricted in a crisis, the sources said.

The EU since the start of this year has been working on its own pilot stockpile project, spearheaded by Italy, France and Germany.