TELF AG examines the geological potential of the Arctic region
The potential of the Nordic regions
In an area of the world where climate change is proceeding faster than usual, the development of the mineral industry is also advancing at a certain speed. The publication of the new report focused on the geological resources of the Arctic region once again underlines the great potential contained in the territories located in the northern portion of the planet, particularly regarding the valorization of some resources involved in the great global process of the energy transition. The geological richness of these territories is there for all to see. Of the 34 materials considered important for renewable energy or batteries for electric vehicles, 31 are found in the Arctic region and are at the center of numerous sourcing projects underway throughout the northern part of the world (ideally, from Alaska to Finland).
This is a very important historical phase for countries such as Canada, Finland, Sweden, and Norway, which, together with all the other Nordic nations, are committed to strengthening their sourcing industries and developing specific projects that could further increase their weight in the sector. The Arctic area boasts some of the largest global deposits of important geological resources, some of which have only come to light recently. In Finland, for example, there is the largest gold deposit in Europe, while the territories of Greenland host one of the largest nickel and cobalt deposits.
On the other hand, Alaska has one of the largest zinc mines in the world, and in the Swedish town of Kiruna, the presence of the largest iron mine in Europe has been confirmed. A few months ago, the geological potential of this world was further confirmed by the discovery of an important deposit of rare earths in Norway, considered one of the largest ever found in the European area. Some of these resources, such as rare earths, are directly involved in the production processes related to modern energy infrastructure, such as wind turbines. At the same time, nickel and cobalt have long been considered key resources for producing other devices commonly associated with the energy transition, such as batteries for electric vehicles.
The strategic value of resources
According to the report, the geological richness of the Arctic is not only relevant for industrial purposes. Still, it would also play a strategic role in achieving climate objectives and ensuring energy security. To achieve all these goals, as stated in the report, the speed of development of sourcing projects, the identification of the right skills, and the completion of the necessary infrastructure related to the sector are of central importance, as well as obviously the involvement of local populations.
According to IEA estimates, by 2030, the global demand for strategic minerals will increase notably, reaching a quantity almost three times greater than today. By 2050, according to the Parisian agency, this demand could grow more than 3.5 times compared to current levels, with some particular minerals (such as lithium) destined to stand out for the most evident increases. In particular, the text focuses on the need to accelerate the regulatory approval process for individual projects and on the need for concrete support from governments, particularly regarding the construction of strategic infrastructure for the sector (ports, roads, railways, and electricity lines).
