Metlen Energy & Metals is poised to significantly strengthen Greece’s position in the global rare earth and critical raw materials production chain through its groundbreaking €295.5 million investment. This ambitious plan will see Greece gain added value in the rare earth mining sector starting in 2027, as the country becomes a key supplier of gallium, a metal vital for Europe’s technological and energy transition. By incorporating gallium production into its operations, Metlen not only elevates Greece’s industrial profile but also positions the country as a crucial player in Europe’s push for self-sufficiency in critical raw materials.
Metlen’s investment aims to produce 2 million tons of bauxite, 1.265 million tons of alumina (an increase from the current 865,000 tons), and 50 tons of gallium annually, aligning Greece with the European Union’s strategic goals for critical raw materials. Gallium, essential for advanced technologies such as semiconductors, renewable energy systems, and computer chips, is the crown jewel of this initiative. With European demand for gallium estimated at precisely 50 tons per year, Metlen is set to fully meet this requirement by 2027, delivering significant economic and strategic benefits to both Greece and the EU.
Currently valued at $46.5 million for 50 tons, the global price of gallium has surged by 212.26% over the past five years, reflecting its rising importance. If prices continue to grow at a projected annual rate of 20%, the value of Metlen’s output could reach $65.1 million within two years, enabling the company to recover its investment in just 4.5 years. This robust financial outlook, coupled with gallium’s critical role in technology and energy applications, underscores the transformative nature of this project.
Metlen’s adoption of gallium production directly addresses the EU’s urgent need to reduce dependence on imports, particularly from China, which currently dominates global supply chains for gallium and other critical materials. The significance of this shift was amplified in 2023 when China imposed export restrictions on gallium and germanium, compelling Europe to seek alternative sources and ensure its strategic autonomy.
This landmark investment solidifies Greece’s position as a major contributor to the global supply of critical raw materials. By expanding alumina production, Greece is set to join the ranks of the world’s top 12 alumina producers, further enhancing its industrial capacity. Additionally, Metlen’s initiative bolsters the EU’s broader strategy to diversify sources of rare earth elements and reduce its reliance on external suppliers.
Speaking about the project, Evangelos Mytilineos, CEO of Metlen Energy & Metals, remarked, “Metlen is committed to driving Europe’s transition to a greener and more resilient industrial base. This investment not only strengthens Europe’s autonomy in critical raw materials but also reinforces Greece’s pivotal role in the global supply chain.”
Greece’s involvement in Europe’s critical raw materials strategy extends beyond gallium. The Hellenic Authority for Geological and Mining Research (EAGME) is actively exploring lithium in Samos and Rodopi, alongside research into antimony and germanium in Chios, Evros, and the Peloponnese. These efforts align with the EU’s target of sourcing 10%-40% of its critical raw materials domestically by 2030.
As gallium production begins in 2027 and reaches full capacity by 2028, Metlen’s investment will mark a turning point for Greece. The country’s role in the rare earth mining chain will not only create economic opportunities but also position Greece as a vital player in Europe’s sustainable industrial future.
