Finland has officially launched the Keliber project, establishing the first integrated lithium mine and refinery on European soil. Located in the regions of Kaustinen and Kokkola in Western Finland (Länsi-Suomi), the facility provides a domestic supply of lithium hydroxide. This mineral is a critical component for electric vehicle (EV) batteries, essential for reducing the continent’s dependence on imports from China and the USA.
Securing the European battery supply chain
The project is operated by Sibanye-Stillwater, a mining group that holds a majority stake in the Finnish company Keliber. The integrated production chain includes several mining sites and a central refinery located in the Kokkola Industrial Park.
By concentrating extraction and processing within the same region, the project aims to streamline the battery value chain. This integration reduces logistical costs and ensures that the final product meets the high transparency standards required by international automotive manufacturers.
Investment and production capacity in Kokkola
According to official data from Sibanye-Stillwater, the refinery will produce approximately 15,000 tonnes of lithium hydroxide annually. This output can power the batteries of roughly 300,000 electric vehicles each year.
The total investment for the project amounts to €1.2 billion, representing a major economic driver for Western Finland. The facility is expected to create hundreds of permanent jobs and foster a specialized industrial ecosystem in the Kokkola area.
Strategic autonomy and the Critical Raw Materials Act
The inauguration occurs as the European Union implements the Critical Raw Materials Act. This regulation mandates that at least 10% of the EU’s annual consumption of strategic minerals must be mined domestically by 2030.
Currently, member states rely heavily on processed lithium from China, which dominates the global market. The Keliber project represents a practical step toward European strategic autonomy, providing a reliable source of minerals that complies with EU environmental and labor regulations.
Addressing environmental and local concerns
While the project supports the green transition, it has sparked debate regarding its environmental impact in Central Ostrobothnia (Keski-Pohjanmaa). Local communities have raised concerns about groundwater protection and the impact on biodiversity in the nearby wetlands.
In response, the developers have implemented water recycling technologies and a restoration plan for the mining sites. The company emphasizes that the Finnish refinery uses a production process designed to be more energy-efficient than traditional methods used outside of Europe.
Commercial production of Finnish lithium is scheduled to begin in 2025, providing European battery manufacturers with a “Made in Europe” alternative that meets the strict sustainability standards required by the EU.
