Norway has recently announced the discovery of Europe’s largest proven deposit of rare earth metals, a significant development as these 17 elements are essential for a wide range of modern technologies. Despite being termed “rare earth,” these elements are not particularly scarce in the Earth’s crust but are often found in low concentrations, making them difficult to extract and purify.
According to a CNBC report, this Norwegian deposit is among the few in the world not owned or controlled by China, which currently dominates the global rare earths market. The discovery is seen as a crucial step in Europe’s efforts to reduce its dependence on China for these critical minerals. The demand for rare earth metals is expected to surge in the coming years due to the increasing pace of the clean energy transition.
Rare earth metals such as Lanthanum, used in batteries and catalytic converters, Cerium, used in polishing compounds and catalytic converters, and Neodymium, known for its powerful magnetic properties, are among those found in the deposit. Other metals include Dysprosium, used in strong magnets and lasers, and Europium, essential for fluorescent lights and color television screens.
Rare Earths Norway revealed that its Fen Carbonatite Complex in southeastern Norway contains 8.8 million metric tons of total rare earth oxides (TREOs) with a strong potential for economic extraction. Within these TREOs, approximately 1.5 million metric tons are magnet-related rare earths, which are critical for technologies such as electric vehicles and wind turbines. This discovery surpasses a significant rare earths deposit found in Sweden last year.
Alf Reistad, CEO of Rare Earths Norway, described the discovery at Fen as a “great milestone” for the company and emphasized that there is currently no extraction of rare earth elements in Europe. Meanwhile, China continues to dominate the rare earth metals market, controlling 70 percent of global rare earth ore extraction and 90 percent of ore processing. China’s dominance is attributed to decades of state investment, export controls, cheap labor, and low environmental standards.
A report from the Oxford Institute for Energy Studies highlights that Western countries are now developing strategies to reduce supply chain risks. These strategies include opening new mines and processing plants, advancing recycling technologies, and fostering international collaboration. However, the report notes that it is unlikely that China’s dominance will be significantly reduced before 2030.
