Rare Earths Norway approved a €24 million pilot plant for its Fen Complex project in Norway, announcing the final investment decision on November 3. The facility will test the conversion of ore into rare-earth oxides and is scheduled to begin operations in the third quarter of 2027.
The pilot is intended to validate an integrated ore-to-oxide processing route, gather operating data and provide sample products to European partners for subsequent metal and permanent-magnet qualification. The decision covers the pilot, not construction of a commercial mine.
Pilot funding and resource estimate
The plant will occupy an existing industrial building in Ulefoss, near the Fen deposit in Telemark. Innovation Norway is providing €5.4 million and the Telemark Development Fund €1.9 million, with other sources contributing to the overall budget.
A revised estimate raised the rare-earth oxide content reported across Fen’s combined mineral resources to 15.9 million tonnes from 8.8 million tonnes. Part of the resource is now in the Indicated category, reflecting improved geological confidence; the total is contained oxide in mineral resources, not commercially recoverable material or proved reserves.
Testing will include tailings and other residues under realistic conditions to inform waste management and future engineering. The pilot’s performance is expected to show whether larger-scale processing can meet recovery, purity, cost and environmental requirements.
Permitting and development timeline
Norway has begun a state-led zoning process for the Fen area. The government aims to advance the regulatory framework by the end of 2027 and secure final approval by 2028; neither milestone is a mining permit, a commercial investment decision or a guaranteed production start.
Rare Earths Norway is developing Fen and hopes to supply European magnet manufacturers. It targets extraction in the early 2030s, subject to successful processing, permitting, financing and development. The pilot is a step toward domestic European rare-earth separation capability, while commercial output remains dependent on demonstrated recoveries, customer qualification and environmental approvals.
