Metlen Energy & Metals, an Athens-listed company, has announced a landmark investment of €295.5 million to develop an integrated production line for bauxite, alumina, and gallium. This ambitious project is designed to enhance Europe's self-sufficiency in critical raw materials, a vital step in reducing dependency on external sources, particularly amid geopolitical uncertainties.

Evangelos Mytilineos, President and CEO of Metlen, emphasized the strategic importance of the investment, noting, “Metlen’s decision to proceed with this emblematic industrial venture strengthens Europe’s self-sufficiency in critical raw materials, as well as Greece’s strategic position on the world map. It shields European industry from external dependencies while reinforcing our commitment to innovation, growth, and the circular economy.”

The investment aims to ramp up production capabilities significantly. The facility is projected to produce 2 million tonnes of bauxite annually, a substantial increase that aligns with Europe's growing demand for the mineral. Additionally, alumina production is set to rise from 865,000 tonnes to 1.265 million tonnes per year. For the first time, gallium, a critical component in advanced technologies such as LEDs, telecommunications systems, and energy transition applications, will also be produced, with an output goal of 50 tonnes annually.

Gallium is a by-product of refining certain grades of bauxite into alumina, and its production is heavily concentrated in China. Following China's restrictions on gallium exports in July 2023, the West’s reliance on a single supply source became alarmingly apparent. The new Metlen project offers a much-needed diversification of supply, ensuring a more secure and autonomous supply chain for Europe’s high-tech industries. The company highlighted that this initiative would not only benefit Europe’s economic independence but also strengthen its position in the global raw materials market.

The total production of bauxite, alumina, and gallium, once fully operational, is expected to be valued at approximately €1 billion, with the output primarily destined for export to Europe and North America. This project marks a significant milestone in Europe's efforts to secure its supply of materials essential for the green transition and defense technologies, including permanent magnets and renewable energy systems.

Metlen’s investment also focuses on sustainability. The facility will incorporate cutting-edge, environmentally friendly technologies aimed at reducing its carbon footprint. In addition, synergies with Metlen’s energy sector will ensure that the project’s energy needs are met sustainably, keeping costs aligned with the company’s green goals.

In recognition of its contribution to Europe’s critical raw material autonomy, the project has been awarded the STEP SEAL, a prestigious mark of excellence from the European Commission. The production ramp-up is expected to begin in 2026, with alumina and gallium production commencing progressively from 2027, reaching full capacity by 2028.

This investment positions Metlen Energy & Metals as a key player in Europe’s strategy for greater industrial resilience and autonomy in critical raw materials.