The initiative has clear geopolitical dimensions, with the potential to significantly increase Europe's self-sufficiency in critical minerals
LKAB has now commenced construction of its new demonstration plant for processing phosphorus and rare earth elements in Luleå.
The facility is the first in a planned Industrial park and marks an important step in the company's ambition to diversify its business with new minerals through improved resource utilization.
At the same time, the initiative has clear geopolitical dimensions, with the potential to significantly increase Europe's self-sufficiency in critical minerals.
“The world has now turned its attention to metals and minerals once again. We are currently almost entirely dependent on imports for phosphorus and rare earth elements, while demand is rising sharply. By extracting these critical minerals, LKAB can make better use of the material we already mine and strengthen our future competitiveness, while also improving security of supply and preparedness in Europe. This facility is a crucial building block to make that possible,” says Jan Moström, President and CEO of LKAB.
”The green transition and the electrification of our society start in the mine. It is an unsustainable contradiction to want electric vehicles and wind turbines without also taking responsibility for the raw materials. With this facility, we are taking a decisive step toward reducing Europe’s import dependency and ensuring access to critical minerals and metals for the future”, says Minister for Energy, Business and Industry, Ebba Busch.
On October 24, LKAB’s board decided to invest approximately 800 million SEK in establishing the Demonstration plant, which is planned to be operational in 2026. The aim is to further develop and verify the process for utilizing material flows from iron ore production in Gällivare, where apatite concentrate is produced for further refinement and production of critical minerals in Luleå. Through a stepwise expansion, the operations can then be scaled up with additional processing facilities over time, aiming for full operation during the 2030s.
”I am very pleased that LKAB has chosen to build a Demonstration plant for critical minerals in Luleå. This strengthens our city as a hub for innovation and sustainable development while building on the historical ties with Gällivare and the Malmbanan railway. The investment brings new job opportunities and contributes to a sustainable future—not only for Luleå and the region but for all of Europe. We look forward to following this important project and the positive impact it will create, says Fredrik Hansson, Deputy Mayor of Luleå municipality.
”Norrbotten is on the threshold of a new industrial era, and the collaboration between Gällivare and Luleå is a driving force for the entire region. Through LKAB’s investment in critical minerals, we position ourselves as a leading region in the green transition. The journey begins in the mine in Gällivare, with materials that are then refined into valuable raw materials needed by us and the world. This also lays a foundation for positive societal development that benefits us as a municipality, says Birgitta Larsson, Chair of the Municipal Board, Gällivare municipality.
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