Questions & Answers
About the Project
What is MFE Magnesium for Europe's project about?
MFE is developing a clean, green Magnesium production in Kupres, BiH, utilising the region's high-quality dolomite resources and advantageous location. This eco-friendly project supports sustainable industrial growth and is fully aligned with the EU Green Deal and Critical Raw Materials Act (CRMA).
How is the project aligned with Bosnia-Herzegovina's development goals?
The project provides Bosnia-Herzegovina ("BiH") with a unique opportunity to become a key partner for many leading European industries. By strengthening the country’s reputation as a reliable supplier of critical raw materials, it promotes local progress, positions the country as an important exporter, improves BiH's trade balance, and demonstrates the country’s commitment to welcome suitable international investment. Additionally, the project supports green economic growth and showcases the nation’s potential as a location for sustainable industrial innovation.
What are the benefits of the Magnesium project for the local community in Kupres?
The project brings many benefits to the local community of Kupres by creating direct and indirect employment opportunities, providing training programmes to help local workers acquire new skills, and boosting the local economy through increased demand for housing, food, retail, and other services. The project also supports local entrepreneurs by encouraging partnerships to supply goods and services to the factory. Additionally, the project can contribute to community development through various investments in infrastructure (water, waste water, roads, schooling, medical services, etc.) and community development, reducing the migration of young talent and potentially bringing back former residents of Kupres and Bosnia-Herzegovina.
Environmental Sustainability
What technology will MFE / BH Magnezij use?
The Aluminothermic process, also known as Al-thermic process, is a physical / thermal process that does not use any harmful chemicals. The process generates valuable by-products from the tailings of the process and uses rain water and green electricity, i.e. wind, solar, and hydro-power. It is therefore one of the most efficient, integrated and sustainable metal productions in Europe.
What makes this production process clean and friendly for the environment?
The Aluminothermic process is a clean, highly efficient, and environmentally friendly process because of the following characteristics:
Zero waste: The production process transforms the tailings into valuable by-products. It is a fully integrated process. For example, excess CO2 is captured and converted into liquid CO2 and Dry Ice which is used by the fresh food industry, Precipitated Calcium Carbonate (CaCO3) is used by the paper, paint, and plastics industries, and Aluminium-Magnesium-Spinel (Al-Mg-Spinel) is a useful refractory material used to insulate ovens and produce fire-resistant bricks. All tailings of the process are repurposed to create economic value and support a circular economy and sustainability.
Water recycling: BH Magnezij will use collected rain water for the production. The water is re-used in a closed-loop system and will only require the occasional addition of new rain water as a fraction of the water that is used will evaporate.
No harmful emissions: The process does not release any pollutants into the environment. The minimal amount of slag resulting from the process will be either re-used by other industries or disposed of responsibly.
No chemicals used: The Al-thermic process is a physical and thermal process that does not require the use of chemicals.
Is the project safe for the environment and local residents?
Yes. The Magnesium production facility has been designed to meet strict European environmental standards. The project and more specifically the production process has been reviewed by DMT / TÜV Nord, the leading German organisation for testing, inspection and certification and decades of experience in plant and process engineering, as well as natural resources, ensuring the highest standards of quality and safety in the industry.Please click on the right hand image to view the report.
Will the project affect tourism or agriculture?
No. The production facility will not be harmful to the environment and respect Kupres' natural beauty. The production facility will be located on a land plot designated for industrial use and which has been used for the production of building materials. It will not use any areas designated for tourism or agriculture. This will ensure that the region's potential for sustainable tourism and agricultural development remain intact.
How does the project ensure the highest standards of compliance?
The project is guided by the expertise of leading international and local professionals to meet and exceed all regulatory requirements. It has been certified by DMT/TÜV NORD, one of the most respected international engineering and consultancy firms with a long-standing history of excellence in construction, geology, mining, and energy. Additionally, the project collaborates with local experts, professors, and engineers to ensure full compliance with all local regulations while exceeding global best practices. This comprehensive approach guarantees that all stakeholders can trust in the project’s commitment to environmental protection, safety, and long-term sustainability.
The Importance of Magnesium
Why is Magnesium metal so important?
Magnesium is one of (40) critical raw materials (CRMs) that the EU has identified as critical to the functioning of European industry. A CRM is typically defined as raw material that is both economically important and at risk of supply disruptions due to factors such as limited availability, geopolitical issues, etc. These materials are essential for a wide range of industries, including technology, manufacturing, energy, and defense.
The Critical Raw Material Act (CRMA) is a European initiative designed to ensure that Europe has access to the raw materials required for key industries, especially as the world transitions to greener technologies. Magnesium is classified as a critical raw material because it is crucial for industries like renewable energy, electric vehicles, and high-tech manufacturing. Some key European industries are currently heavily relying on Magnesium imports, which creates a risk of shortages or price spikes:
• Automotive: Reduced vehicle weight for fuel efficiency.
• Aerospace: Lightweight components for aircrafts.
• Healthcare: Dietary supplements and medicines.
• Electronics: Manufacturing phone and laptop casings.
By producing Magnesium in an eco-friendly and efficient way, Kupres has the potential to support Europe’s green transition while boosting its own local economy and contributing to global sustainability goals.
Why is Magnesium important to Kupres and Bosnia-Herzegovina?
Besides the positive economic effects explained above, Kupres and Bosnia-Herzegovina will become part of the green transition, i.e. develop in a socially and environmentally responsible way. Kupres and Kanton 10 have the potential to play a key role in the green transition by establishing itself as a hub for sustainable magnesium production and further sustainable investment. The Magnesium project is fully aligned with the EU Green Deal using eco-friendly technologies, minimising environmental impact, cutting CO2 emissions, whilst supporting critical industries.
Cooperating With the Local Community
Where can members of the local community or other interested parties in Bosnia-Herzegovina obtain further information on MFE, BH Magnezij, and the Magnesium project?
All interested parties can contact the project sponsors directly using the following email addresses:
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PUBLIC AND MEDIA ENQUIRIES
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GENERAL ENQUIRIES
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