Tomi Keskinen

Strategic mining projects improve Europe’s self-sufficiency

Green transition requires critical minerals. Europe is heavily dependent on Asia for the production of many critical minerals and metals. The EU aims to enhance its self-sufficiency by supporting projects that produce the strategic raw materials necessary for a green transition. For Finland, this presents a significant opportunity.

Finland secures six strategic mineral projects

The green transition demands the development of metal and mining industry supply chains across various European countries, and Finland is at the forefront of this change. In March, six Finnish projects received a much-needed boost from the European Commission: strategic project status.

Sweco is involved in several of these projects. For instance, Hycamite’s hydrogen plant produces both hydrogen and solid carbon, which is then processed into graphite suitable for electric vehicle batteries. The Keliber mining and processing project is unique due to its inclusion of a lithium hydroxide refinery along with a lithium concentration plant.

Mining industry enhances Europe’s security

Strategic projects aim to improve Europe’s security and self-sufficiency by reducing our dependency on 34 critical and 17 strategic imported raw materials. These projects support the implementation of the EU’s Critical Raw Material Act (CRMA), which is increasingly urgent in the current geopolitical climate.

Finland’s Ministry of Economic Affairs and Employment has also published a national mineral strategy. The Finnish government offers tax incentives for projects supporting the green transition, though mixed messages have emerged. For example, the government has increased taxes on electricity for mines and mineral extraction. These decisions are not aligned with EU and Finnish strategies and, in fact, threaten investment projects and future job opportunities.

Why does the Green transition need mining projects?

Many minerals and other raw materials extracted from the earth are needed not only in everyday life but also to support society’s transition to fossil-free energy production, such as solar and wind power. Solar panels use materials like gallium, and wind turbines contain cobalt. Renewable energy transmission requires substantial amounts of copper.

Storing renewable energy is impossible without batteries, which need lithium, nickel, and cobalt. The production of green hydrogen also requires critical minerals, with electrolyzers utilizing nickel. There is also a significant demand for structural steel and rare earth elements (REE).

Easier to regulate mining project responsibility locally

Europe has so far met a large part of its critical mineral needs by outsourcing production to Asia. Mining projects overseas remain out of sight, but domestically we are able to produce the raw materials we need in a way that is more sustainable from a global perspective. In Finland, mining operations are governed by strict environmental and safety regulations, such as the EU Mining Waste Directive, water legislation, and environmental permitting procedures. These ensure that the impacts of mining on water bodies, soil, and ecosystems are closely monitored, and operators are obligated to restore the areas once operations have ended.

The underlying idea is that although large industrial projects always have an impact on people’s lives and the surrounding nature, mining projects at home country can be monitored and guided with a completely different level of precision. For example, the environmental impact assessment (EIA) is a transparent process in which every citizen has the opportunity to participate. This is not a given in many countries where raw materials are produced without comparable sustainability.

In Finland, mining projects can also be carried out in a socially responsible manner. Ethical considerations include how working conditions, site safety, healthcare, and wages are arranged for employees. In Finland, all of these aspects are handled appropriately.

Fast-Track approval doesn’t bypass environmental responsibility

To implement the EU’s strategic projects within the next few years, the permitting process must be efficient. The Commission’s idea is that selected projects will be placed on a “fast track.” Accelerated permitting doesn’t mean compromising on environmental responsibility or negating environmental risks.

Sweco’s experts serve as licensing partners in European metal and mining industry projects. We help manage construction, chemical, and environmental permit processes in a way that also considers various sustainability aspects. Our goal is to execute industrial projects required for the green transition with minimal adverse effects.

Our toolbox is extensive. In addition to performing EIA procedures and nature assessments, we conduct social impact evaluations, noise modeling, and feasibility studies. As a last resort, ecological compensation can be used. Additionally, we offer all necessary planning and consulting services for the projects.

Tomi Keskinen, Director of Metal, Mineral, and Mining Sector, tomi.keskinen@sweco.fi