Europe and the US Accelerate Local Magnesium Resource Projects to Advance Critical Minerals Supply Chain Independence [SMM Survey]

Published: Sep 10, 2026 17:10 (GMT+8)
[SMM Magnesium Survey: Europe and the US Accelerate Local Magnesium Resource Projects to Advance Critical Minerals Supply Chain Independence] Romania's MPI and the US's Magrathea are successively advancing integrated magnesium projects. A €400 million magnesium ore project in Europe has obtained a mining permit, and a US enterprise has secured over $100 million in funding to develop magnesium extraction from brine, with both regions aiming to reduce reliance on magnesium imports and ensure raw material supply for high-end manufacturing and military industries.

Romania's MPI secures magnesium mining and processing concession to build an integrated magnesium industry chain in Europe

Romania's Mineral Proiect Invest (MPI) received approval on September 3 for a concession license to mine the Dobra Valley magnesite-serpentinite deposit, with total planned investment of approximately €400 million for a vertically integrated magnesium ore mining and deep processing project. Magnesium is listed by the EU as a strategic critical raw material, and Europe currently relies heavily on external imports for magnesium products. The project is located in Sibiu County, with deposit resources exceeding 50 million mt. Ore will undergo initial crushing on site before being transported to the Saliste processing plant for deep processing, with potential long-term extension into magnesium metal smelting. The project will be financed through a mix of equity, bank loans, and EU/national public funds, with local engineering enterprises participating in construction. While the mining license has been secured, environmental assessment and construction approvals are still pending. Once operational, the project will produce high-purity magnesium products for high-value-added sectors such as automotive, aerospace, and national defense, filling gaps in the EU's domestic magnesium supply chain and reducing the risk of import dependence on critical minerals in the region.

Magrathea partners with TETRA Technologies to raise over $100 million for brine-based magnesium extraction, rebuilding the US domestic magnesium supply chain

California-based startup Magrathea has surpassed $100 million in total funding, with sources including venture capital, federal government investment, and commercial partnerships. The company plans to produce primary magnesium metal from seawater and brine resources using a next-generation electrolysis process, addressing the US's heavy reliance on foreign magnesium supply. As a key lightweight structural metal, magnesium is widely used in aerospace, military equipment, NEVs, and specialty metal smelting. In 2024, global primary magnesium production was approximately 1 million mt, with China accounting for as much as 95%. The US consumes about 100,000 mt of magnesium annually with virtually no domestic capacity, leaving national defense and high-end manufacturing highly vulnerable to overseas supply disruptions. In March 2026, Magrathea formed a joint venture, Arkansas Magnesium, with chemical company TETRA Technologies, located in an Arkansas chemical industrial park. The venture will leverage the partner's existing land, energy, and supply chain infrastructure to reduce construction and operating costs, and Phase 1 engineering design has already begun. The company has secured over $500 million in future magnesium product orders through memoranda of understanding and binding commercial agreements, with multiple mining and defense investment institutions participating in the current funding round. The project aims to restore US domestic magnesium production capacity and ensure self-supply of critical minerals for military and advanced manufacturing industries.

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