Mineral exploration decreased, mining investments increased

EUR 90.5 million was invested in mineral exploration in Finland, which is 4% less than in the previous year. Exploration permit areas entitling their holder to carry out exploration activities increased to a total of 3,050 km2. Minerals are still primarily explored in Lapland, which accounted for 75% of all mineral exploration activities in Finland. Mineral exploration is accelerated by the metals required for the green transition and the rise in the price of gold accelerated by economic uncertainty. Mining industry investments increased by 18% from the previous year to EUR 449 million, and mining extraction decreased by 6%.

Fewer investments in mineral exploration 

Last year, mineral exploration was reported to Tukes by 60 companies. They invested a total of EUR 90.5 million in exploration activities, which is 4% less than in the previous year. The decline in investments in Finland was in line with international developments.  

Mineral exploration investments still mainly focus on basic metals such as nickel and copper, and gold out of precious metals. The 20 largest companies accounted for roughly 90% of total mineral exploration costs. High gold and copper prices boost mineral exploration in Finland, and the demand for minerals used in battery technology contributes to the continued exploration of cobalt and lithium. Companies invested a total of EUR 4.7 million in environmental surveys and mineral exploration impact assessments. 

Drilling for mineral exploration totalled 255 kilometres, 11% less than in the previous year.  At the same time, the exploration permit area under the Mining Act entitling their holder to carry out exploration activities reached a new record of 3,050 km2. Companies want to hold on to areas that are of geological interest from the viewpoint of finding metals. 

Landowners were paid EUR 8.1 million in exploration fees, which was 19% more than the year before. More than four million of this sum was paid to Metsähallitus. In the amendment of 2023, a tax-like fee based on area was imposed on the reservation needed to prepare exploration permits (one euro/hectare). In line with the objectives of the legislative amendment, the fee has significantly reduced the size of the reserved areas. 

Mining investments increased 

Extraction operations were reported by 22 companies at 44 mines. Companies invested EUR 449 million in mining operations, up by 18% from the previous year. The most significant investments were made in the Kevitsa, Terrafame and Rapasaari (Keliber) mines. Large investments were also made in the Siilinjärvi, Kittilä and Kemi mines. 

The extraction of mineral ores and associated waste rock totalled 44.3 million tonnes, down by 5% from the previous year.  The total extraction volume of mines was 120.8 million tonnes, 6% less than in 2023. The three largest mines – Terrafame (44.2 million tonnes), Kevitsa (32.2) and Siilinjärvi (28.4) – accounted for 87% of Finland’s total extraction volume. 

The safety of extraction in mines has stabilised at the good level achieved in 2016. Mining accidents resulting in one day’s absence have remained at a low level. 

Finland’s attractiveness is declining in terms of mineral exploration investments 

A Fraser Institute survey on the attractiveness of different countries in terms of mineral exploration and mining investments was published in summer 2024. Finland’s scores have decreased significantly from past years. In recent years, companies have become uncertain about the overall permit system for mineral exploration and mining in Finland. Finland was only at the 17th place in terms of attractiveness. Finland ranked 8th in terms of policy factors, ranking best among European countries. Companies still value the quality of data obtained from the Finnish bedrock.  

Tukes acts as the mining authority in Finland. Announcement documents and decisions on pending applications are available on the following website.

The application status and valid permit areas with relevant information are available in the map service. (in Finnish)

More information: 
Mining: Leading Specialist Ossi Leinonen, tel. +358 29 5052 205
Mineral exploration: Leading Specialist Ilkka Keskitalo, tel. +358 29 5052 151
Head of Unit Terho Liikamaa, tel. +358 29 5052 117
email: [email protected]

Attachment: 
Review: Mineral exploration and mining industry 2024