Finnish metals company Terrafame is studying the feasibility of producing scandium from its existing uranium recovery operation, a move that could make it Europe’s only producer of the rare earth metal used in high-performance aluminium alloys, defence applications and other advanced industries.
The Trafigura-backed company has launched a pre-feasibility study to assess whether scandium can be recovered as a side stream at its uranium recovery plant in Finland. A final investment decision is targeted for early 2027, with production estimated to begin approximately two years after that if the project proceeds. The study is expected to be completed by year-end.
Approximately 85% of global scandium supply currently comes from China, which restricted exports of the metal last year as part of its broader retaliation against US tariffs — making European domestic production a strategic priority. Terrafame said the primary end-use target for its scandium would be high-performance aluminium alloys, where scandium additions enable lighter, stronger and more durable components with applications across aerospace, defence and transportation.
The company said it would also approach potential customers and explore opportunities linked to national strategic stockpiling initiatives — a reference to the growing number of European government programmes seeking to build reserves of critical materials outside Chinese supply chains.
Chief executive Antti Koulumies framed the initiative as a resource efficiency measure as much as a strategic one. “By exploring the recovery of scandium from Terrafame’s existing ore feed, we are utilising the full value of our resources, while also addressing the need for domestic European supply of this critical metal,” he said.
