LKAB seeks EU support for three projects
Luleå LKAB is seeking EU support for three strategic projects in Luleå, Gällivare and Kiruna in Norrbotten.
LKAB wants to make three of its initiatives strategic projects under the EU’s Critical Raw Material Act.
These are the investment in the large deposit of rare earths adjacent to the iron ore mine in Kiruna, the extraction of critical materials and a new apatite plant in the iron ore mine in Malmberget / Gällivare and the planned industrial park for rare earths and phosphorus in Luleå.
The EU Critical Raw Material Act aims to increase the EU’s security of supply of critical minerals. This will be achieved through increased production within the EU and diversified supply chains. The background is the geopolitical situation and the greatly increased need for certain minerals, which are needed for electrification and digitalization.
“It’s a matter of taking the wider view. Growth in demand for rare earth metals for the electrification of our societies, for example, motors for electric vehicles, poses the risk of the supply of these raw materials becoming a bottleneck in the green transition. With increased geopolitical uncertainty and the fact that China now controls nearly the entire value chain there is a considerable economic risk for European industry. Here, LKAB has three viable projects, all of which can contribute to increasing the EU’s self-sufficiency in terms of supply of rare earth metals”, says Jan Moström, President and CEO of LKAB.
The EU uses about 30% of all minerals mined in the world, but produces only 3% within the EU, making EU value chains vulnerable. The EU is also heavily dependent on individual countries for some raw materials, notably China.
Lennart Håkansson, North Sweden Business
