Sweden discovers the largest deposit of rare earth elements in Europe
The company said it would take time to assess what the deposits contained and that it would take at least 10 to 15 years before the raw materials could be delivered to the market.
The Swedish state mining company LKAB has discovered the largest deposit of rare earth metals in Europe. The deposits were found in the company’s existing iron ore mines. The finds, Per Geijer, are in Sweden’s northern Lapland near the Arctic Circle. Per Geijer is estimated to contain more than 1 million tons of rare earth oxides.
Rare earth metals such as cerium, yttrium, lanthanum and neodymium are used in everything from smartphones to semiconductor chips to many other high-tech goods. These elements are essential for building items such as electric vehicles, wind turbines, portable electronics, microphones and speakers. They are also required for a transition to green energy. These elements can often be found in many ores and deposits, but their extraction is significantly more difficult.
China is by far the largest producer of these substances. It has over 50 percent market share in production in 2021 and 80 percent market share in processing. Reliance on Chinese imports has been seen as a potential weakness in supply chains, particularly in the context of rising geopolitical tensions. The possibility of becoming self-sufficient in the production of rare earth metals would be a strategic and economic advantage for Europe.
However, the company warned that it would take several years before it could assess what the deposits contained. “We have ongoing exploration activities in this deposit, which means to us that it’s open, it’s not closed – we don’t actually know how big it is,” says CEO Jan Moström.
He added that it would take at least 10 to 15 years before the raw materials can be delivered to the market. Approval of new mining permits is a long process in Sweden and the EU, and LKAB has pushed for quick approvals.
(Edited by : Jerome Anthony)