In a major boost to the EU’s domestic strategic raw material capacity, value chain resilience and supply diversification, the European Commission announced last week, the adoption of forty-seven new Strategic Projects, with more than ten percent having links to Australia.
The first Strategic Projects mark an important milestone for the European Commission, which aims to ensure European extraction, processing and recycling of strategic raw materials meet 10%, 40% and 25% of EU's demand by 2030, respectively.
The EU’s Critical Raw Materials Act (CRMA) which entered into force on 23 May 2024, identified the first list of strategic raw materials which are used in key sectors such as renewable energy, digital, aerospace and defence technologies. Five days later, the EU and Australia signed a Memorandum of Understanding for a strategic partnership on sustainable and critical minerals..
Selected from 170 applications, Australian-run projects now account for over ten percent of the first Strategic Projects in Europe, highlighting the opportunities created by the EU-Australia partnership on sustainable critical and strategic minerals.
By helping Europe meet raw materials targets, Strategic Projects contribute significantly to Europe's green and digital transitions, while supporting Europe's defence and aerospace industries. Strategic Projects benefit from streamlined permitting and from enabling conditions for access to finance. To become operational, the 47 Strategic Projects have an expected overall capital investment of €22.5 billion. The Commission will soon announce a new call for Strategic Project applications, currently planned between August and September 2025.
Stéphane Séjourné, the European Commission’s Executive Vice-President for Prosperity and Industrial Strategy said: “At the very start of our most strategic supply chains, are raw materials. Today, we have identified 47 new strategic projects that, for the first time, will help us secure our own domestic supply of raw materials. This is a landmark moment for European sovereignty as an industrial powerhouse.”
EU Ambassador to Australia, Gabriele Visentin said: “These are the first projects from ASX-listed companies that have received approval from the EU, reflecting the growing cooperation between Australia and Europe to build strong supply chains that benefit both sides.
“Australia is our partner and a global leader when it comes to critical raw materials. We are moving closer under our Strategic Partnership. Ensuring more sustainable supply of critical raw materials for the EU while driving long-term investment in Australia is a win-win.”
Background – Project Selection
The European Commission published a call for submission of proposals for recognition of projects as Strategic Projects with a cut-off date on 22 August 2024. Applications considered complete were assessed by the Commission with the support of external experts to check whether the projects meet relevant criteria under the CRMA. Based on this assessment, the Commission identified a list of projects for the extraction, processing, recycling or substitution of strategic raw materials. The Commission consulted the Critical Raw Materials Board, composed of Member States, and the European Parliament as an observer, to discuss and adopt an opinion on the list of Strategic Projects on 20 February 2025 and on 12 March 2025.
The following projects have been awarded Strategic Projects status:
Vulcan Energy’s Lionheart Project (in Germany): A geothermal lithium project combining extraction and conversion with net-zero emissions.
Talga Group’s graphite mine (in Sweden): A natural graphite operation supplying anode material to European battery makers.
European Metals’ Cinovec lithium project (in Czech Republic): Europe’s largest hard rock lithium resource.
Euro Manganese’s Chvaletice project (in Czech Republic): A waste-to-value project to reprocess tailings and produce high-purity manganese.
Jervois Finland Oy’s project (in Finland): Expanding the cobalt refinery to boost the supply of cobalt.