METLEN Unveils Major €295.5M Investment in Sustainable Mining

METLEN Reveals Landmark Investment in Resource Production

Development of an Integrated Production Line for Bauxite, Alumina, and Gallium

With an impressive investment plan totaling €295.5 million, METLEN is set to revolutionize the production landscape for bauxite, alumina, and gallium. This monumental undertaking focuses on establishing a robust production infrastructure capable of generating approximately 1,265,000 tonnes of alumina, 50 metric tonnes of gallium, and nearly 2 million tonnes of bauxite annually.

Beyond mere numbers, this initiative aims to substitute gallium imports entirely, demonstrating a commitment to enhance local production capabilities and positively impact the trade balance through increased exports.

Strategic Investment Details and Objectives

This groundbreaking project, rooted in a historic production plant, aims to seize the opportunity to improve production capacity and adopt gallium into the industrial sector. This initiative represents a pivotal motion in the metallurgy industry, enabling Europe to secure a critical resource essential for future technological advancements.

The comprehensive investment includes key areas such as:

• Exploration and development of new bauxite mining sites.
• Construction and procurement of state-of-the-art mechanical equipment for gallium production.
• Expansion and modernization of the existing alumina production facilities.
• Upgrades to energy supply infrastructure supporting the entire industrial unit.
• Enhancements to port facilities, ensuring efficient transportation of materials.
• Improvements to road infrastructure and flood protection initiatives.

Comments from METLEN's Leadership

Evangelos Mytilineos, the Chairman and CEO of METLEN, expressed enthusiasm regarding this plan: "The decision by METLEN to implement this landmark investment in bauxite, alumina, and gallium production fortifies Europe’s sustainability in critical raw materials. It also enhances Greece's strategic importance on the world stage while reducing reliance on external sources. This project underscores our commitment to innovation, the circular economy, and sustainable development."

The Role of Gallium in Modern Technology

Gallium, a crucial by-product of bauxite during alumina processing, is predominantly produced in China. Recent export restrictions by China highlighted a pressing need for the West to diversify its supply sources. This investment positions METLEN to cater directly to the European market's gallium requirements, fostering independence in the acquisitions of vital materials.

Gallium plays an essential role in numerous technologies, including:

• Integrated Circuits, fundamental in telecommunications and computing.
• Light Emitting Diodes (LEDs), which are pivotal for innovative lighting solutions.
• Permanent magnets, crucial across various technological applications.

Commitment to Environmental Sustainability

The anticipated production of approximately €1 billion worth of critical materials will be targeted for export markets in Europe and North America. Moreover, METLEN is introducing new environmentally friendly technologies as part of this investment, promising a reduced carbon footprint. The integration of synergies between METLEN's metallurgical and energy sectors aims to ensure sustainable energy costs.

Further underscoring the project's significance, METLEN has submitted its investment under Greece's Strategic Investments Law, aligning its initiatives with the European Commission's Temporary Crisis and Transition Framework.

Future Outlook for METLEN's Operations

This ambitious project recently earned the European Commission’s STEP SEAL, affirming its vital contribution to the EU's self-sufficiency concerning critical raw materials. METLEN aims for the completion of works with production commencement planned for 2026 for bauxite; alumina and gallium production will gradually ramp up starting in 2027, achieving full-scale operation by 2028.

About METLEN: METLEN Energy & Metals, an evolution of MYTILINEOS, is a global player in the metallurgy and energy sectors, championing sustainable practices and circular economy principles. Listed on the Athens Stock Exchange, METLEN boasts a consolidated turnover of €5.492 billion and an EBITDA of €1.014 billion. Recognized for its competitive green metallurgy, the company operates the only vertically integrated production unit for bauxite, alumina, and primary aluminum in the European Union, maintaining a presence across 40 countries globally.

Frequently Asked Questions

What is the total investment amount announced by METLEN?

The investment plan announced by METLEN amounts to €295.5 million.

What materials will METLEN's new facility focus on producing?

The facility will primarily focus on producing bauxite, alumina, and gallium.

What is the expected annual production capacity of gallium?

The facility is expected to produce approximately 50 metric tonnes of gallium annually.

Which markets will benefit from the exports of these materials?

The processed materials are primarily aimed at European and North American markets.

When is the planned start of production for these materials?

Production of bauxite is set to begin in 2026, with alumina and gallium production expected to start in 2027 and reach full operation by 2028.

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