Terrafame explores scandium extraction, potentially making Finland Europe’s sole producer

Finnish mining company Terrafame, based in Sotkamo, is investigating the possibility of extracting scandium from its mine, which could make it the only producer of the critical rare earth metal in Europe, the company announced. The news was reported by Yle.

The plan would make use of an existing side stream from Terrafame’s uranium recovery facility to capture scandium. The European Union classifies scandium as a critical raw material due to its high economic significance and supply chain risks. Approximately 85 percent of the world’s scandium currently comes from China.

Scandium is used in high-technology, defence industry, and advanced industrial applications.

Terrafame said its mine contains a diverse ore deposit with the potential to recover metals beyond its current portfolio of nickel, zinc, cobalt, copper, and uranium.

A preliminary study is expected to be completed by the end of 2026, with a final investment decision targeted for the first half of 2027. If the decision is made to proceed, production is estimated to begin within approximately two years.