Finland’s eons old and glacier-scarred bedrock is rich with valuable minerals. Before any investments towards excavating these minerals for use in a wide range of industries are made, however, one must find out where and how large these deposits are.

Here is where the Geological Survey of Finland – abbreviated as GTK – steps in. The organization, which operates under the Ministry of Economic Affairs and Employment, is the most significant body carrying out mineral exploration and geological research in Finland. The center provides geological expertise and data to benefit both companies and the wider society.

“Successful exploration demands that you know about the area’s mineral potential first. There is a real need for such information, as only one out of every one thousand mineral exploration operations lead to a mine being established”, GTK Director General Mika Nykänen explains.

This information then forms the basis for estimates of the kinds of minerals that can be found within Finland’s bedrock. The relative importance of different minerals also changes over time as technologies develops.

“Despite long-standing work researching Finland’s bedrock and charting out the mineral deposits hidden within it, we are far from being done. We need to make sure that responsible primary production in Finland and Europe continues in the future, as this allows us to secure the availability of critical raw materials for use by industry. All this can only be ensured through patient research of our bedrock,” Nykänen points out.

The data can, of course, also be used outside of the mining industry when, for example, planning construction or land use.

One distinguishing feature of Finland’s bedrock is the variety of minerals found within it. Finland is among the few European countries whose earth holds all materials necessary for battery production, such as nickel, cobalt, lithium, graphite, and copper. Companies and institutions in Finland can handle a sizeable portion of the entire battery value chain, from mineral excavation to production of battery chemicals all the way to the assembly and eventual recycling of batteries. This group of actors forms the so-called “battery cluster.”

With multiple ongoing investment projects in the sector, Finland now has an excellent opportunity to position itself as a key country for battery production at a time when demand for batteries is growing.

“This is one of Finland’s strengths. It is estimated that the demand for battery minerals will grow strongly as, for example, the electrification of traffic progresses”, Nykänen says.

Outside of exploration and research, GTK’s other important role is to maintain databases where it enters the data it gathers. Information on mineral deposits is entered into the National geological database, while information on ongoing mineral exploration operations is viewable by anyone via the public Mineral Deposits and Exploration service. The center’s high-quality databases have even received praise from abroad.

“External auditors have on multiple occasions estimated that our geological databases are the best in the world,” Nykänen says.

Finland’s world-class mining industry is underpinned by a good operating environment

While mining naturally necessitates finding a rich mineral deposit, it is almost as important for mining to take place under favorable operating conditions. In Finland, the mining industry can rely on a good operating environment built on stability and a high level of technological expertise.

“From the mining industry’s viewpoint, Finland’s legislation and the supervision of mining are of excellent quality, and this helps ensure that setting legally grounded conditions as part of, for example, the permitting process, is of high quality. The industry operates responsibly and transparently in Finland, and the importance of issues such as climate change is well understood here,” Executive Officer of the Finnish Mining Association, Pekka Suomela says.

“Although Finland’s mineral deposits are not massive, high labor productivity and the industry’s technical development ensure that the mining industry here is world-class,” Suomela states.

Another feature of the mining industry in Finland is the “mining cluster.” As with the battery cluster, Finland’s mining industry cluster includes everything from the excavation and refining of ore to the development and manufacturing of mining equipment. The mining cluster in its entirety has a significant economic impact: multiplier effects included, the cluster generates approximately EUR 22.1 billion in total annual output.

“The cluster’s value chain brings investments and generates jobs, and it helps maintain and develop Finland’s technological expertise This is important, as the development of technology plays an important role in boosting the shift towards a low-carbon society,” Suomela says.

The mining cluster and its domestic value chain is also important for responsibility, as excavation and refining in Finland is carried out safely and responsibly, Suomela says.

“Having a domestic value chain ensures that our consumption is built on traceable raw materials and value chains,” Suomela explains.

Another aspect of the mining industry in Finland is recycling, which is growing in importance. Recycling raw materials from mining is one way to curtail the industry’s environmental footprint, which is one of the biggest topics of conversation regarding the industry. Suomela stresses that supervision, investments and further research form the basis for mitigating the environmental impacts from mining.

“In addition, continuous Nordic, EU and international co-operation allows us to access the best and most up-to-date information and know-how to reduce environmental impacts,” Suomela says.

The discussion over the mining industry’s environmental impact is likely to continue, as work to revise the Finnish Mining Act is currently ongoing. According to Suomela, the revision should aim at further reinforcing the sustainable and responsible practices within Finland’s mining industry.

“Another goal should be to improve the flow of information between mining companies, government officials, municipalities, residents and landowners,” Suomela says.

AA Sakatti Mining Oy’s co-operation with GTK and the Finnish Mining Association

GTK’s deep expertise and knowledge has been beneficial in the Sakatti project as well.

“We use GTK’s expertise in, among other things, lithological and geophysical studies and for technical studies of mineral enrichment. These studies provide us with valuable information on the area’s geology and the processing of minerals”, CEO of AA Sakatti Mining Oy, Pertti Lamberg says.

AA Sakatti Mining Oy is also an active member company in the Finnish Mining Association.

“In addition, our experts work in multiple key positions of trust in the association”, Lamberg states.

Read more about the Sakatti project and the use of technology to reduce environmental impacts in the project.