Greece poised to boost Europe's gallium supply with new investment

Greek Reporter reveals in its article that Greece is positioning itself to become a key player in meeting Europe's growing demand for gallium, a critical rare earth metal. 

Greece could play a crucial role in meeting Europe’s demand for the rare earth metal gallium, according to Handelsblatt, a German financial newspaper.

“Greek company Metlen Energy & Metals SA is investing 295.5 million euros in the European Union’s first gallium production line. According to the company, production is scheduled to begin in 2027, aiming to completely replace Europe’s gallium imports by 2028,” the paper reports.

The article outlines Metlen’s upcoming plans, quoting statements made last week by Evangelos Mytilineos, the company’s CEO and major shareholder. Handelsblatt writes, quoting Mytilineos: “In this way, we enhance Europe’s self-sufficiency in critical raw materials and bolster Greece’s strategic position in the global market.”

Gallium is listed among the critical minerals by both the US and EU due to its geological rarity. Recently, China imposed restrictions on the export of gallium and germanium products, citing national security concerns.

In response, the EU has urgently urged aluminum and zinc companies to explore the production of essential semiconductor metals.

Gallium arsenide has a structure similar to silicon and serves as a valuable alternative to silicon in the electronics industry. It is commonly used in semiconductors for high-speed and high-frequency devices like smartphones, satellite communications, and radar systems. It mostly occurs as a secondary element in bauxite ore, with its production mainly being a by-product of aluminum refining.

It is a versatile metal with a wide range of applications across different industries, thanks to its unique properties, including a low melting point, non-toxicity, and the ability to form alloys.

Located on the shores of Viotia in central Greece, Metlen, formerly known as Mytilineos Energy & Metals, operates bauxite mines and an aluminum production facility. The family-owned business is the only European producer of bauxite, alumina, and aluminum that is involved in all stages of the production and supply chain.

This makes Metlen well-suited for gallium production, especially since the bauxite mined in Boeotia is relatively rich in gallium, according to Handelsblatt.

Last year, the EU reached out to the Greek company and asked it to explore the potential production of gallium as a byproduct.

The company estimates it could produce 40 to 45 metric tons of gallium annually, which would currently meet European demand.

Official data shows that the EU sources 71 per cent of its gallium and 45 per cent of its germanium from China. However, there are only a few companies outside of China capable of producing the high-purity metals required for chipmaking, solar photovoltaic cells, and optical fibers.

By Naila Huseynova