Translated by Milo Dvorak
20. 6. 2024
Business Newsletter #44
Good morning,
Let's start the day with a little older piece of news, but one that allows me to mine it in a way that gives you some interesting vocabulary.
Published by aktualne.cz on 11 June 2024
Rare Earths Norway, a mining company, has discovered Europe's largest proven deposit of highly valued rare-earth metals. According to CNBC news, this could mark a pivotal moment for Norway and the entire region. Rare earth metals are essential for many advanced manufacturing processes, such as the production of electric vehicles. China is the world's largest producer of these metals.
Europe relies on imports of these metals. Demand is expected to increase in the coming years due to the growth in electric vehicles and renewable energy sources.
Rare Earths Norway stated that the Fen complex in the country's southeast, more than 200 kilometres southwest of Oslo, contains 8.8 million tonnes of total rare earth oxides (TREO) with a reasonable prospect of economic extraction. Of this, 1.5 million tonnes are related to magnets, which can be used in electric vehicles and wind turbines.
This discovery surpasses the massive deposit found last year in neighbouring Sweden.
The EU aims to extract within the region at least ten per cent of the rare earth metals it needs by 2030. Rare Earths Norway hopes to contribute to this goal.
China currently dominates mining and processing
The International Energy Agency (IEA) stated that the current supply of these metals does not meet the level required for the energy sector transformation. The reason is the relatively high geographical concentration of production of many elements important for the energy transition. It is estimated that China accounts for 70 per cent of the global mining of rare earth metals and 90 per cent of the processing.
Rare Earths Norway expects exploratory work in the complex to continue, with further drilling being scheduled for next month. The company added that it was working towards completing the first mining development phase by 2030.
The group of rare earth metals consists of 17 minerals. These are primarily elements in the lower part of the Periodic Table, including neodymium, praseodymium, europium and terbium. Some of them are used in the production of screens, where they function as phosphors. Others play an indispensable role in the production of lasers, magnets, battery cells for hybrid and electric vehicles as well as in systems for generating energy from renewable sources.