Finnish Minerals Group and Beijing Easpring Material Technology have announced the start of construction of a cathode active material (CAM) plant in Kotka, Finland.
The announcement was made on Wednesday 20 March 2025, marking a major step in the development of Finland’s battery value chain. The plant will produce CAM, a key component in lithium-ion batteries, with an initial capacity of 60,000 tonnes per year. Future expansion is also part of the long-term plan.
The project is being developed by Easpring Finland New Materials Oy, a joint venture established in 2024. Finnish Minerals Group owns 30% of the company, while the Chinese partner, Beijing Easpring Material Technology, holds the remaining 70%.
The total investment is estimated at around EUR 800 million. In addition to funding from the two owners, the project will pursue external loans and clean transition aid for industrial investments. The Finnish State will also support the initiative by capitalising Finnish Minerals Group with EUR 100 million.
“With the Kotka CAM plant, we are creating an entirely new kind of industry in Finland related to the production of lithium-ion batteries,” says Matti Hietanen, CEO of Finnish Minerals Group.
“Even on a European scale, the plant is a spearhead project for the industry and an important step forward for the Finnish battery value chain and battery business.”
Beijing Easpring Material Technology, a global leader in CAM development and production, sees the Kotka project as a key strategic move into the European market.
“Through this strategic investment in Kotka, we establish a European base from where we will be able to serve the needs of European customers,” says GUAN Zhibo, CEO of Beijing Easpring Material Technology.
“Our joint investment with Finnish Minerals Group also contributes to the Finnish Government’s strategy to build a battery value chain in Finland.”
The CAM plant will be located in the Keltakallio industrial area in Kotka. The project site spans 80 hectares, with 27.8 hectares leased for the first phase. The plant’s environmental permit was approved under the green transition priority procedure and became legally binding in December 2024.
“The Kotka CAM plant will be a state-of-the-art facility with a high level of automation and proven technology,” says Timo Strengell, SVP of Battery Value Chain at Finnish Minerals Group.
“The design also ensures flexibility to adapt to future market demands and technological developments.”
Once operational, the plant is expected to directly employ around 270 people, with additional employment generated during the construction phase and through indirect effects. Construction will begin in spring 2025, and commercial production is scheduled to start in 2027.
Source: Pressrelease
