MINEX Forum

Region: Europe

  • Europe Scrambles for Rare Earth Alternatives as China Tightens Grip and Global Geopolitics Shift

    Europe Scrambles for Rare Earth Alternatives as China Tightens Grip and Global Geopolitics Shift

    Rare earth elements, once rarely discussed outside technical circles, have become central to geopolitical tensions as China continues to dominate both extraction and refining, as well as the manufacturing of rare earth magnets. Beijing’s decision on 8 October to intensify export controls—issued in response to tightened U.S. restrictions on AI chips—sent shockwaves across global industries that rely on these materials for electric vehicles, turbines, aircraft, semiconductors and advanced weaponry.

    Although the United States has some leverage in the rare earth space, given China’s dependence on imports of high-value American compounds, Washington ultimately agreed to Beijing’s terms during the first Trump–Xi bilateral meeting in Busan on 30 October. The deal secured a one-year truce under which China will continue supplying rare earths. In return, the U.S. will reduce tariffs on Chinese imports and lift export controls on AI chips.

    Europe, by contrast, finds itself with almost no bargaining power. As a heavy net importer with minimal domestic supply of valuable rare-earth compounds, the EU remains acutely vulnerable. Major employers such as Airbus, Vestas, Volkswagen and Europe’s EV manufacturers could face severe disruptions. The same applies to the continent’s re-emerging defence industry. Although Brussels secured the same one-year truce as Washington, European officials acknowledge that the underlying vulnerability remains unchanged.

    Meanwhile, the U.S. has aggressively accelerated efforts to diversify supply. The Trump administration is finalizing agreements with Australia, Malaysia, Vietnam, Brazil and Ukraine, while signing long-term contracts with Solvay’s La Rochelle plant in France — the world’s only refinery capable of producing all 17 rare earths at industrial scale.

    The EU’s progress has been far slower. The 2024 Critical Raw Materials Act set clear targets for 2030 — 10% domestic extraction, 40% domestic processing and 15% recycling — but these goals are widely considered unrealistic without significant investment. Funding remains scarce, and fast-track permitting systems for mining projects have yet to be established. Partnership agreements with Canada, Namibia and Chile exist only on paper, while domestic initiatives such as Sweden’s Norra Kärr, Portugal’s Mina do Barroso and German recycling efforts face regulatory delays and environmental hurdles.

    Japan’s experience offers a cautionary precedent. After China abruptly halted supplies in 2010, Tokyo invested heavily in diversification, striking deals with Australia, Vietnam and Kazakhstan, enhancing recycling and building strategic reserves. Despite this, Japan still imports 62% of its rare earths from China.

    Analysts warn that the EU cannot afford to let the one-year truce lapse without making rapid progress in reducing dependence on Beijing. One promising path lies in deeper cooperation with Japan, which is actively seeking partners to expand the scale of its emerging rare earth production and magnet manufacturing ecosystem. The EU could help by providing stable demand, even at prices higher than Chinese supply, in exchange for access to Japanese technologies and industrial know-how.

    Experts argue that only through joint development of production chains, shared R&D, and coordinated demand can Europe hope to build a viable rare earth ecosystem. Leveraging corporate capabilities on both sides may be essential for Europe to achieve supply resilience in one of the world’s most strategically important material sectors.

  • European Metals Shares Surge After Czech Government Awards €360M Grant for Cinovec Lithium Project

    European Metals Shares Surge After Czech Government Awards €360M Grant for Cinovec Lithium Project

    European Metals Holdings (ASX, AIM: EMH) saw its shares soar on Friday after securing a Czech government grant of up to €360 million ($417 million) for the Cinovec lithium project, one of Europe’s most strategically important critical minerals developments. The funding package is among the largest government commitments ever made to a mining project within the European Union.

    Executive chair Keith Coughlan said the award reinforces Cinovec’s central role in Europe’s efforts to build a domestic electric vehicle (EV) supply chain. Recently designated a strategic asset under the EU’s Critical Raw Materials Act, Cinovec will now benefit from accelerated permitting and enhanced access to financing. The Czech government has also formally classified the site as a strategic deposit, further streamlining regulatory processes.

    Located roughly 100 km northwest of Prague, Cinovec is home to the largest lithium resource in Europe and one of the world’s largest undeveloped tin deposits, according to the company. It previously received a $36 million grant from the EU’s Just Transition Fund as part of regional economic support initiatives.

    Cinovec’s location near major German automotive hubs — home to factories operated by Mercedes-Benz, BMW, Volkswagen and Porsche — has strengthened its strategic appeal. Automakers across Europe are under growing regulatory pressure to expand electric vehicle production, increasing demand for locally sourced lithium for battery manufacturing.

    Following the announcement, European Metals’ stock surged 58% in Sydney to A¢38 and climbed 70% in London by mid-afternoon trading, raising the company’s market capitalization to £46.13 million ($61 million).

  • EU Prepares New RESourceEU Strategy to Secure Critical Raw Materials and Reduce Dependence on China

    EU Prepares New RESourceEU Strategy to Secure Critical Raw Materials and Reduce Dependence on China

    The European Union is preparing to unveil a new economic security package next week, with a central component focused on safeguarding access to critical raw materials needed for clean technology and advanced industries. The initiative, known as RESourceEU, will form the bloc’s latest strategy to diversify supplies of essential inputs such as lithium, copper and nickel, and to reduce reliance on third-country suppliers — particularly China, which continues to dominate global clean-tech value chains and has tightened export controls on key materials.

    Modelled after the EU’s REPowerEU energy programme, RESourceEU is being developed against a backdrop of geopolitical uncertainty and shifting global competition. The European Commission plans to use the strategy to forge new partnerships with resource-rich countries including Australia, Kazakhstan, Uzbekistan and others, strengthening supply chains through long-term cooperation agreements.

    Recycling is set to play a central role. Brussels aims to significantly expand the EU’s capacity to recover critical materials from products reaching end-of-life, reducing the need for primary extraction. This dovetails with the Critical Raw Materials Act, which sets ambitious 2030 benchmarks: 10% of EU consumption of strategic minerals must come from domestic extraction, 40% from domestic processing and 25% from recycling. While many industry observers question whether these targets are achievable in time, they have nonetheless prompted European manufacturers to rethink business models and strengthen sourcing resilience.

    Additional EU initiatives are feeding into the strategy — from state aid tools supporting cross-border projects, to satellite-based exploration programmes designed to identify new raw material deposits. Financial support for battery manufacturing across Europe is also helping build internal value chains.

    Beyond Europe’s borders, the EU’s Global Gateway programme is funding major infrastructure and resource projects, particularly in Africa, with the intention of boosting local development while also ensuring stable supply routes for the EU. However, critics warn that the approach risks echoing historical patterns of extraction that disproportionately benefited Europe. EU officials insist the new strategy will prioritise equitable partnerships and avoid repeating colonial-era dynamics.

    RESourceEU is expected to outline a broad framework combining supply diversification, strategic investment, recycling expansion and international cooperation — all aimed at ensuring that Europe remains competitive and secure in an increasingly contested global market for critical raw materials.

  • Ukraine’s Lithium Push: Opportunities and Risks as Kyiv Seeks a Place in the Global Battery Metals Race

    Ukraine’s Lithium Push: Opportunities and Risks as Kyiv Seeks a Place in the Global Battery Metals Race

    Ukraine is moving to position itself as a future player in the global lithium industry, as the government races to revive its mining and processing sectors and build a broader critical minerals base. The country will close applications on 12 December for its first-ever lithium Production Sharing Agreement (PSA) tender, the “Dobra” hard-rock project, a test case for how Ukraine could integrate into Western battery supply chains.

    The tender comes as Kyiv seeks to leverage its geological legacy, long-standing mining expertise and high-quality resource base at a time when governments and companies worldwide are scrambling to secure critical raw materials. Ukraine already has a track record in other strategic metals, including titanium, and until 2021 produced titanium sponge. Supporters of Ukraine’s critical minerals strategy argue that these strengths, combined with proximity to European industrial hubs, make the country a natural diversification option for Western supply chains.

    The renewed focus on lithium follows a turbulent five years for the sector. Once a niche material, lithium has become a cornerstone of modern industry, particularly for electric vehicles (EVs), energy storage systems and digital infrastructure. Over that period, global markets have experienced a full boom–bust cycle, with a spectacular price spike in 2022 followed by a sharp correction in 2023–2024. At the same time, the bankruptcy of prominent battery maker Northvolt, production curtailments at Australian mines, the rise of South American brines and the entrenched dominance of Chinese refiners have exposed the vulnerabilities of geographically concentrated supply chains.

    Despite the price volatility, analysts broadly agree that demand growth is structural. Forecasts from organisations such as the IEA and leading market consultancies suggest that global lithium demand could reach 3.5–4 million tonnes of lithium carbonate equivalent (LCE) by 2035—roughly three to four times today’s levels. The main drivers remain EVs and stationary energy storage, with additional momentum from the rapid build-out of AI data centres and high-tech grid infrastructure.

    Technological developments are reshaping the landscape but are not expected to displace lithium. Lithium iron phosphate (LFP) chemistries have eaten into the market share of nickel-rich cathodes, sodium-ion batteries are emerging in low-cost applications and solid-state technologies could capture a slice of premium EVs by the mid-2030s. Yet these innovations mainly affect how much lithium is used per kilowatt-hour and in which segments, rather than removing the metal from the picture.

    On the supply side, the global project pipeline appears abundant on paper. If every announced brine, hard-rock, clay and direct lithium extraction (DLE) project were to proceed as planned, nameplate capacity could cover projected demand. In reality, sector observers highlight significant constraints, with many projects vulnerable to cost inflation, permitting delays and unproven technologies.

    Historically, lithium projects have tended to stumble for three main reasons: high operating and capital costs, slow and unpredictable permitting processes, and the technical challenges of scaling complex flowsheets such as DLE or clay leaching from pilot to commercial levels. The latest downturn, which saw prices fall from $70,000–80,000 per tonne in 2022 to around $10,000–15,000, quickly exposed high-cost operators and heavily leveraged projects. This has reinforced the view that, although global volumes may look sufficient over a decade-long horizon, availability in any given year can be tight, supporting long-term price expectations in the $15,000–20,000 per tonne LCE range.

    This dynamic is reflected in a sharply tiered cost curve. At the low end, Tier-1 producers—top-tier South American brines, the most efficient hard-rock operations and select DLE projects—can operate at $5,000–7,000 per tonne LCE and remain profitable even in deep downturns. Tier-2 operators, typically competitive hard-rock, some clay and maturing DLE projects, sit in the $7,000–10,000 range and can generate strong returns at mid-cycle prices if projects are well structured and debt is manageable. Tier-3 and Tier-4 projects, often involving complex clays, high-cost lepidolite or power-intensive flowsheets, form the marginal and speculative end of the market, entering only during price spikes and shutting down when conditions normalise.

    Price overshoots occur when demand growth or disruptions force the market to rely on these more expensive sources of supply, pushing prices far above long-term averages. For new entrants such as Ukraine, the central strategic question is where their projects will sit on this cost curve. Policymakers and investors are increasingly focused on creating conditions that allow new projects to land in Tier-1 or Tier-2, rather than relying on high-cost, short-lived capacity.

    Any assessment of Ukraine’s ambitions must also account for China’s entrenched position in the midstream. Chinese companies currently refine around two-thirds of the world’s lithium chemicals and produce more than 70% of battery cells, with domestic champions such as CATL and BYD dominating global markets. By 2035, some refining capacity will likely shift to Australia, East Asia, the US, Europe and the Gulf, but Chinese-owned or Chinese-financed plants are expected to remain deeply embedded across the value chain. Analysts note that Beijing has historically tolerated low margins and selective losses in parts of the chain when doing so secures long-term offtake or strengthens national champions.

    For new suppliers, this means they are competing not with a single “Chinese price” but with a spectrum of Chinese cost positions—from ultra-competitive assets to weaker Tier-4 operations—and with a system that can adapt quickly in downturns. Western governments have responded by pushing for “friendshoring” and diversification, expanding financing tools and promoting critical minerals partnerships. In that context, Ukraine is increasingly seen as a potential strategic partner, particularly for Europe.

    Experts argue that success for new lithium-producing countries hinges on several factors: a strong cost position, reliable routes to market and logistics, fast and predictable permitting, credible governance and ESG standards, integration into wider industrial and geopolitical blocs, access to R&D and technology alliances, and sustained investment in human capital. At the same time, they warn that many aspiring entrants will fall short due to capital constraints, policy volatility and over-reliance on unproven technologies.

    For Ukraine, the “Dobra” PSA and other prospective spodumene deposits could provide a foothold in the European market, particularly if lithium production can be coupled with by-product recovery of other rare and strategic metals. With titanium, zirconium, hafnium, germanium and gallium also part of its broader resource base, Ukraine hopes to evolve from a raw material holder into a strategic partner embedded in Western critical minerals supply chains.

    Analysts note that the coming decade, often described as a “New Age of Electricity”, will be driven by lithium, graphite, copper, nickel and uranium, alongside strategic metals such as titanium. Whether Ukraine can translate its geology into durable strategic capability will depend on its ability to deliver competitive Tier-2 projects, streamline permitting, maintain stable policy and deepen integration with Western alliances and investment frameworks. Otherwise, the country risks remaining a price-taking exporter, exposed to the cyclical swings that have defined the lithium market to date.

  • UK Unveils 10-Year Critical Minerals Strategy to Boost Domestic Supply and Cut Reliance on China

    UK Unveils 10-Year Critical Minerals Strategy to Boost Domestic Supply and Cut Reliance on China

    The United Kingdom has released a new 10-year Critical Minerals Strategy aimed at lifting the share of critical minerals sourced from domestic mining and recycling to 30% by 2035, up from roughly 6% today. The plan introduces legally binding targets requiring 10% of demand to be met through UK production, 20% through recycling and limiting reliance on any single foreign supplier to no more than 60% per mineral. The initiative aligns Britain with U.S., Canadian and EU efforts to reduce dependence on China-dominated supply chains.

    Prime Minister Keir Starmer said critical minerals underpin modern life and national security, arguing that cutting exposure to a small number of overseas suppliers would help shield the economy from future disruptions. Backed by up to £50 million in new funding, the strategy also aims to secure at least 50,000 tonnes of domestic lithium production by 2035 amid forecasts that demand for copper will nearly double and lithium demand will surge more than 1,100% as EVs, wind energy projects and AI data centres expand.

    The strategy draws on the British Geological Survey’s 2024 assessment, which expanded the UK’s list of critical minerals from 18 to 34, adding nickel, iron, aluminium, germanium and chromium while removing palladium. The update brings the UK’s list in line with Canada and the EU, though still shorter than the U.S. roster of 50 minerals.

    Several domestic hubs are central to delivering the plan: Cornwall’s major lithium resources, tungsten deposits in Devon, the Clydach nickel refinery in Wales and Less Common Metals’ alloy facility at Ellesmere Port, one of the West’s few producers of rare earth alloys used in wind turbines and F-35 fighter jets. Industry groups say these projects will create high-quality jobs and strengthen supply chain resilience. Cornish Lithium, which recently raised £31 million for its Trelavour and Cross Lanes projects, called government support “essential” for producing battery-grade lithium at scale.

    Tin and tungsten projects are also set to benefit. Cornish Metals welcomed the critical mineral designation for tin, supported by a £28.6-million National Wealth Fund investment in the South Crofty mine, expected to create over 300 direct jobs. Tungsten West’s Hemerdon project in Devon, one of the world’s largest tungsten deposits, is shaping up as an early test of the strategy, with plans to enter production in late 2026.

    Beyond mining, the UK is leaning heavily on midstream processing and recycling. Ionic Technologies in Belfast and Hypromag in Birmingham are developing rare earth magnet recycling solutions with significantly lower environmental impact than primary extraction.

    Internationally, the strategy is more targeted but smaller in scale compared with U.S. and Canadian approaches. While the UK’s funding remains limited—£50 million in new support on top of earlier commitments—the government aims to de-risk strategic projects and strengthen midstream capacity. Industry leaders say clarity of vision is as important as financial backing.

    The plan also responds to China’s dominance of global critical mineral supply chains, especially in rare earths, where Beijing controls about 70% of mining and 90% of refining. The UK is considering stockpiling key materials and coordinating with NATO partners. It also promises faster permitting via priority processing lanes and lower power costs for industry under the upcoming British Industrial Competitiveness Scheme.

    While the UK’s critical minerals sector currently contributes £1.8 billion to the economy and supports more than 50,000 jobs, experts warn that domestic mining, processing and recycling must scale rapidly to prevent supply bottlenecks. Questions also remain over minerals excluded from the UK’s critical list, such as copper, despite its central role in electrification.

    Communities in mining regions will weigh the economic benefits against environmental and cultural concerns, but industry leaders argue that Britain’s renewed focus on critical minerals marks a shift from its traditional role as a global financing hub to an active player across the value chain.

  • Austrian Court Orders New Environmental Review for Lithium Mining Project

    Austrian Court Orders New Environmental Review for Lithium Mining Project

    An Austrian federal administrative court has overturned a prior decision that waived an environmental impact assessment (EIA) for a proposed lithium mining project by Critical Metals. While the court acknowledged that the project falls below the 10-hectare threshold outlined in national law, it ruled that the Austrian regulation does not fully align with European Union legal requirements.

    As a result, the Carinthian government has been instructed to conduct a case-by-case evaluation to determine whether the project could pose environmental risks, even though its size would normally exempt it from further review. The ruling underscores the potential supremacy of EU law over domestic thresholds in matters involving environmental protection.

    The court also granted permission for an appeal to the Administrative Court of Justice, citing the absence of previous case law addressing whether Austria’s current regulations meet EU standards.

    Critical Metals CEO Tony Sage called the lower court’s decision “surprising” and argued it contradicts the EU’s push for greater self-sufficiency in critical minerals. He added that the ruling is not expected to delay the project and expressed confidence that full environmental approval will ultimately be restored.

  • Recycling Firm Unimetals Set to Enter Liquidation Amid Financing Collapse

    Recycling Firm Unimetals Set to Enter Liquidation Amid Financing Collapse

    Unimetals, a major UK recycling company operating dozens of sites nationwide, has filed for liquidation. The firm, headquartered in Stratford-upon-Avon, runs facilities across London, Halesowen, Staffordshire, Greater Manchester, and Devon. The exact timing of the liquidation and the number of jobs at risk have not yet been confirmed.

    A company spokesperson said on Monday that Unimetals had “worked tirelessly” to secure new financing in an effort to meet financial obligations and safeguard its future. This included an accelerated mergers and acquisitions process, conducted alongside advisers and stakeholders, to identify potential buyers or investors.

    However, despite strong interest and attempts to complete a deal, no transaction was reached. Consulting firm Alvarez & Marsal has been appointed to support the next steps in the liquidation process.

    Unimetals acknowledged the distress that the news would cause employees, many of whom joined the company when it acquired Sims Metal’s UK operations in 2024. The firm praised their dedication and resilience, calling them “the backbone of this business.”

    The company said it will now work closely with employees, suppliers, customers, creditors, and regulators to ensure the liquidation proceeds safely and transparently. An urgent effort is underway to establish a clear plan and timeline for the process.

  • UK Unveils Critical Minerals Strategy to Curb Import Dependence and Boost Domestic Lithium Production

    UK Unveils Critical Minerals Strategy to Curb Import Dependence and Boost Domestic Lithium Production

    The UK government has launched a new Critical Minerals Strategy aimed at sharply reducing the country’s dependence on foreign supplies of vital materials used in everything from smartphones and fridges to electric vehicles and wind turbines.

    Announced by Prime Minister Keir Starmer on 22 November, the strategy sets a target for Britain to meet 10% of its critical mineral needs from domestic production and 20% from recycling by 2035. It also includes an ambition to produce at least 50,000 tonnes of lithium in the UK by that date — more than the weight of the Titanic.

    Backed by up to £50 million in new funding, the plan is designed to diversify supply chains and limit the UK’s exposure to geopolitical shocks, such as war or natural disasters. It responds to growing concern that China’s dominance in the sector — controlling about 70% of rare earth mining and 90% of refining — leaves Britain vulnerable as demand for clean energy and advanced technologies surges.

    Domestic demand is projected to rise sharply, with copper use expected to almost double and lithium demand forecast to increase by 1,100% by 2035. To counter this, the UK has set a goal that no more than 60% of its supply of any single critical mineral will come from one country by 2035.

    The government plans to capitalise on existing strengths across the UK, including Europe’s largest lithium deposit in Cornwall, significant tungsten resources, the Clydach nickel refinery in Swansea, and the only Western source of rare earth alloys used in high-performance magnets for wind turbines and F-35 fighter jets. More than 50 critical mineral projects are already based in the UK, and the sector currently contributes £1.79 billion to the economy and directly supports over 50,000 jobs.

    Prime Minister Starmer framed the strategy as central to both economic resilience and national security. “For too long, Britain has been dependent on a handful of overseas suppliers, leaving our economy and national security exposed to global shocks,” he said, adding that the government would “boost domestic production, ramp up recycling, and back British businesses with the investment they need to compete on the international stage.”

    Industry Minister Chris McDonald said the government was “taking the bold action needed to shore up our supply chains” and support new jobs and growth as part of its wider Plan for Change.

    Delivery of the strategy will be supported by up to £50 million in funding to help UK companies scale up extraction, processing, and recycling projects, alongside wider public finance tools such as the National Wealth Fund and UK Export Finance. In September, the National Wealth Fund committed £31 million to Cornish Lithium to advance the Trelavour Lithium Project and the Cross Lanes Geothermal Lithium Project.

    The government will also seek to cut industrial electricity costs through the British Industrial Competitiveness Scheme (BICS) and streamline permitting for innovative production and recycling projects via the Environment Agency’s priority tracked service. Skills development will be supported through collaboration with Skills England and the Department for Work and Pensions to build a workforce capable of delivering the strategy’s goals.

    The plan is closely tied to the UK’s modern Industrial Strategy, with critical minerals identified as a foundational sector underpinning advanced manufacturing, clean energy, defence, and high-tech innovation. Key regions such as the North East of England, Devon and Cornwall, Wales, Scotland and Northern Ireland are expected to benefit from new investment and jobs, leveraging local geology, industrial capacity and research expertise.

    Industry reactions have broadly welcomed the move. Cornish Lithium CEO Jamie Airnes said the framework would help “accelerate domestic capability, unlock investment, and build strategic partnerships” to deliver lithium at scale. The Critical Minerals Association described the strategy as a “timely step forward” that can secure the UK’s position as a trusted global partner if implemented with intent, while industry figures from Vale Base Metals, Ionic Rare Earths and Hypromag highlighted the UK’s strengths in midstream processing, magnet recycling and rare earth technologies.

    To further bolster resilience, the UK will examine stockpiling options, including through defence procurement, and continue to work with allies via initiatives such as NATO’s Critical Mineral Stockpiling Project. The government also plans to deepen partnerships with resource-rich and like-minded countries, using Britain’s academic, R&D and financial capabilities to expand opportunities for UK businesses at home and abroad.

  • Greenland Resources Secures €500,000 EU-Backed Funding to Advance Magnesium Extraction at Malmbjerg Project

    Greenland Resources Secures €500,000 EU-Backed Funding to Advance Magnesium Extraction at Malmbjerg Project

    Greenland Resources Inc. has entered into a Financial Sustainability Agreement with EIT RawMaterials GmbH, securing €500,000 in EU-backed funding to advance innovative magnesium extraction at its Malmbjerg molybdenum project in Greenland. The funding, provided through Horizon Europe, will support testing of magnesium recovery from saline process water—an initiative aligned with the EU’s Critical Raw Materials Act, as magnesium remains one of Europe’s most import-reliant minerals.

    The company also plans a non-brokered private placement of up to 112,122 common shares at $1.65 each, raising approximately $185,000. The offering, pending Cboe approval, is expected to close around November 20, 2025. Greenland Resources has applied for additional Horizon Europe–supported programs, aiming to cover a substantial portion of the project’s equity capex.

    Under the agreement, EIT RawMaterials will invest through Greenland Resources’ subsidiary in Greenland, with securities convertible into company shares via put and call options exercisable within six months. At least €375,000 of the funding will be advanced immediately, with the remainder contingent upon final project reporting and approval.

    The Initial Conversion, tied to the offering’s expected closing date, would see EIT RawMaterials receive up to 493,939 shares at $1.65, depending on the final amount of Initial Funds disbursed. Any later conversion of Remaining Funds would be priced at the 20-day volume-weighted average, subject to a minimum of $1.65 per share.

    EIT RawMaterials CEO Bernd Schäfer emphasized Europe’s pressing need to secure magnesium supplies, noting that China currently produces nearly all of the EU’s consumption. He said the investment supports innovative, low-carbon production pathways vital for European industry and defence sectors.

    Greenland Resources Executive Chairman Ruben Shiffman said the funding sets an important precedent for future EU strategic investments, demonstrating that public European financing can be deployed through the company’s Greenland subsidiary and converted into its Canadian-listed parent entity.

    The Malmbjerg project, which received a 30-year exploitation licence in June 2025, contains both molybdenum and magnesium. The project’s design focuses on low environmental impact, with high-grade molybdenum expected to supply up to 25% of the EU’s annual consumption and fully meet its defence needs during the first decade of production. Magnesium recovery from saline water is being incorporated into updated feasibility economics.

    With China dominating global production of both molybdenum and magnesium, the EU views long-term supply diversification as essential. The Malmbjerg project, supported by the European Raw Materials Alliance, is positioned as a key strategic source for Europe’s green, industrial, and defence sectors.

  • EU and Australia Deepen Cooperation on Critical Raw Materials Amid Western Push to Reduce Reliance on China

    EU and Australia Deepen Cooperation on Critical Raw Materials Amid Western Push to Reduce Reliance on China

    The European Investment Bank (EIB) and the Australian government announced on Monday that they will expand their collaboration on critical raw materials, marking a significant move as Western nations accelerate efforts to reduce dependence on China.

    According to their joint statement, the initiative aims to strengthen financing and development across the entire critical minerals value chain—from exploration and extraction to processing, recycling, and innovation. The announcement comes as the European Union prepares to unveil a broad economic security package on December 3, reflecting growing concern over supply-chain vulnerabilities.

    Despite longstanding recognition of the issue, European officials and industry representatives say that financing continues to be a major obstacle in securing stable access to strategic minerals. Even projects listed as strategic by the EU currently receive no special financial advantages.

    The EIB has already taken steps by forming a dedicated task force earlier this year to boost support for critical materials projects, with plans to double its financing capacity. The new declaration is described as a key step toward enabling the bank to fund mineral projects in Australia, one of the world’s most resource-rich nations.

    International efforts are also intensifying. The G7, chaired by Canada in 2025, has established a Critical Minerals Production Alliance to mobilize public and private investment in fast-tracking production of graphite, scandium, and rare earth elements. Australia has offered G7 members the opportunity to purchase shares in its new strategic mineral stockpile.

    In parallel, the United States and Australia pledged $3 billion last month to support mining and processing projects, while also introducing a price floor for critical minerals—a measure long requested by Western mining companies. Additionally, Canada has secured offtake agreements for scandium and graphite with Australian producer Rio Tinto and Quebec-based Nouveau Monde Graphite, further reinforcing global attempts to diversify supply chains.