The Finnish government has reorganised the State’s mining industry, to advance the country’s battery and mining cluster. As a result, The Finnish Industry Investment’s (Tesi) mining cluster investment programme (consisting of Ferrovan and Sotkamo Silver) will become the responsibility of nickel mining company Terrafame, which will change its name to Finnish Minerals Group.
The reorganisation will not change Terrafame’s operations or its ownership, as the changes being implemented are merely a re-arrangement of the State’s share portfolio. Given Tesi’s performance, however, €46M (US$54M) of unused government funds that had been earmarked for Tesi will be transferred to Finnish Minerals Group.
Roskill View: The reorganisation highlights the Finnish Government’s wish to drive the development of raw materials used in automotive batteries, and to encourage the processing and refining of these raw materials in Finland. Terrafame has already re-started production of nickel intermediate products at the Sotkamo mine and the company is also investigating the possibility of further processing its output into nickel sulphate, a battery precursor material.