EU strategic status offers Finnish projects limited gains

EU strategic-project status has so far brought Finnish companies limited practical benefits, mainly faster permit processing and greater credibility, Yle reports. The designation can also open doors to funding talks, but it does not guarantee investment.

The EU uses the status to support access to critical raw materials and diversify supply sources. The projects are spread across 16 member states, and the bloc published its latest list last week.

Finnish companies say the main gains vary. Hycamite TCD Technologies, a hydrogen technology company in Kokkola, says the designation has helped it start funding discussions. Chief executive Matti Malkamäki said it had otherwise not been as useful as the company had hoped.

Keliber, a mining company whose project received EU status last year, says the designation has mainly affected permitting. Its project includes an operating lithium mine and concentrator in Kaustinen, as well as a refinery in Kokkola that has yet to begin operations.

Terrafame says it has not yet seen a concrete benefit from its status, but expects environmental permit processes to be accelerated. Anglo American, which is planning the Sakatti polymetallic mine north of Sodankylä, says the designation has increased the project’s visibility and credibility among stakeholders. The contested mine is not expected to begin operating before the early 2030s.

In Kokkola, Umicore Finland’s cobalt and nickel refining project was added to the list last week. Jervois Finland was included last year. Its chief executive, Sami Kallioinen, said the designations had brought the company recognition and many inquiries.

Jervois has not made an investment decision on a planned expansion of its Kokkola operations. The company says strategic status does not guarantee financing. It has also said that a new factory in Brazil is expected to be operating by the end of 2027, while the Kokkola expansion is waiting for better conditions in the cobalt market.

Finland has 11 strategic projects, five of them in Central Ostrobothnia. Across the EU, 93 projects are located within member states. Kokkola is a hub for EU cobalt production; only China processes more cobalt worldwide, according to the article.

The EU’s Critical Raw Materials Act entered into force in May 2024. It aims to reduce dependence on countries outside the bloc, including China. Strategic-project status gives companies priority in national permit and regulatory processes.

Fortum’s battery recycling project in Harjavalta uses technology developed in Kokkola. Fortum’s battery recycling director, Anssi Airas, said the project had already made good progress through permitting, and that its CRMA status had further streamlined the process. Companies in the Kokkola industrial area on the list include Hycamite, Jervois, Keliber, Umicore and Arctial, which is planning a factory on the border between Kokkola and Kruunupyy.