Finland has become the first European country to complete construction of a full-cycle battery-grade lithium project, with Keliber Oy’s €783 million ($922 million) facility in Syväjärvi in western Finland ready to begin production in the second quarter of 2026 and ramp to full output by 2028 — a landmark moment for a continent that currently imports 100% of its refined lithium, almost entirely from China.
The Keliber project will produce battery-grade lithium hydroxide from domestically mined ore, with the entire supply chain — from mine to concentrator to refinery — contained within a 43-kilometre radius. At full capacity, the Kokkola refinery will produce approximately 15,000 tonnes of lithium hydroxide annually for at least 18 years, equivalent to around 10% of Europe’s current demand. Keliber Oy is 80% owned by South African mining major Sibanye-Stillwater, with the remaining 20% held by the Finnish state through Finnish Minerals Group.
An additional €200 million ($235 million) has been committed by the Finnish government and Sibanye-Stillwater to support project ramp-up, while the European Investment Bank has contributed €150 million ($177 million) in financing. The project has been designated a Strategic Project under the EU’s Critical Raw Materials Act.
Finnish Minister of Economic Affairs Sakari Puisto described the project as a key component of Finland’s National Battery Strategy that increases the country’s and the EU’s self-sufficiency in critical raw materials. Keliber CEO Hannu Hautala said the facility would help Europe reduce dependence on imports from Asian countries and Australia, with lithium hydroxide output destined for the European battery industry.
The project spans more than 500 square kilometres with six additional mining sites planned in the area. Europe currently relies on foreign sources for approximately 81% of extracted lithium and 100% of refined lithium, with EU demand projected to grow twelve-fold by 2030 and twenty-one-fold by 2050.
