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A Location With Many Advantages

With natural Dolomite as the main input, MFE's Magnesium production will be located close to the Dolomite quarry in Kupres, Kanton 10, the Western part of Bosnia-Herzegovina bordering on Croatia. In this area MFE's project benefits from several location advantages including:

  • Access to a large and high quality raw material reserve

  • Strong regional supply chains (aluminium, electricity, labour)

  • Proximity to the EU market plus great regional sales markets for MFE's products

  • Good infrastructure

Geographic Location

Bosnia-Herzegovina (BiH) is part of the Western Balkans and strategically well positioned with its proximity to Croatia (EU) and the Adriatic Sea. On 15.12.2022 leaders of the EU unanimously decided to grant BiH “EU candidate status”. Since 2013 duties and trade restrictions for industrial products have largely disappeared between BiH and the EU.  MFE's raw material, production and all relevant utilities are in Kanton 10, the Croatian part of the Federation of BiH. 

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MFE's production site and the Dolomite mine are both located just off the M16 which is connecting Kupres with Livno and via the M15 with Tomislavgrad. From there the M5 is leading directly towards the Croatian Port of Ploce, a total distance from Kupres of less than 150 km. The industrial Port of Ploce acts as the major gateway for goods shipped from and to the Balkan.

Raw Material Access

The Grguljaca mine from which MFE will source its raw material (Dolomite) covers an area of c. 9.5 ha (23.5 acres) with c. 11 Mio mt of mineable Dolomite, sufficient to feed a 15kt p.a. Mg production for >50 years. An additional adjacent deposit s.t. exploration covers a further c. 47.5 ha with enough raw material to run a 50 kt p.a. Magnesium production for >75 years.  DMT (TÜV NORD) have audited the deposit twice (PERC resource - and PERC reserve report). The deposit in Kupres is one of the highest quality Dolomite deposits currently known in Europe.

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Supply Chains

In addition to Dolomite, MFE's future production will require substantial amounts of electricity and Aluminium ("Al") or Al-scrap. MFE's location in Kanton 10 is beneficial for the supply of both: Kanton 10 is generating only green energy (so far mainly hydro power) and a substantial ramp up of further wind farm capacity is planned for the next few years. The Kanton's topography and weather are both extremely favourable for the generation of hydro-, wind- and solar power. Al and Al-scrap can be sourced from Aluminium producers both locally and regionally. MFE is in the process of securing adequate energy and Aluminium supply agreements for long periods to ensure production cost stability.

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