Finland & Australia Team Up to Secure Europe's Energy Transition
Finland and Australia have joined forces to secure Europe's energy transition, focusing on critical minerals like lithium and rare earth elements. This collaboration, facilitated by a 2024 Memorandum of Understanding, aims to reduce Europe's reliance on foreign supplies, particularly from China.
Finland, with its advanced underground mining technology and established battery supply chains, complements Australia's rich mineral resources perfectly. The country operates significant cobalt refining capacity and maintains established supply chains for battery metal processing. This creates immediate opportunities for Australian raw materials.
Key to this collaboration is Finland's dominance in global underground mining technology, with approximately 80% of such technology originating from Finland and Sweden. The country also boasts a robust regulatory framework, strategic geographic positioning, and a highly skilled workforce. Together, these factors make Finland an ideal strategic gateway for Australian critical minerals into Europe.
The European Union's Critical Raw Materials Act (CRMA) mandates supply chain diversification, redistributing approximately 35% of Europe's critical mineral supply chains within four years. This redistribution is necessary to meet the 2030 target of no single non-EU country supplying more than 65% of any strategic raw material to European markets.
The bilateral Memorandum of Understanding provides a structured pathway for joint research initiatives, technology sharing, and supply chain development between European and Australian companies. Australian mining companies recognise Finland as an optimal European entry point due to established trade relationships, advanced processing facilities, a skilled workforce, political stability, and geographic access to major European manufacturing centres. This collaboration is expected to significantly bolster Europe's clean energy transition and digital infrastructure development.
