Phosphorite
Estonia holds the largest reserves of phosphorite in the European Union, with an estimated 9.6 billion tonnes. Phosphorite is the only future mineral resource officially registered as a mineral resource.
Today, phosphorite is regarded not only as a raw material for fertiliser but also as a source of rare earth metals. For instance, phosphorite contains cerium, praseodymium, neodymium, dysprosium and terbium.
Graptolitic argillite
Estonia has more than 60 billion tonnes of graptolitic argillite, which is rich in uranium, molybdenum, vanadium and other metals, and also contains gold, rhenium and platinum.
Vanadium, known as the battery metal, has been identified as a critical raw material and is sometimes found in significant quantities in graptolitic argillite. Global demand for vanadium is expected to surge.
Critical raw materials
Critical raw materials are natural resources, which are of strategic importance to the EU economy and are at high risk of security of supply. Phosphorite, along with the rare earth metals it contains, has been identified as one of the 20 critical raw materials at the European level.
The natural resources on the critical raw materials list enable society to use high-tech solutions. Without rare earth metals, the green transition would not be possible, as without these metals, for example, wind turbines and solar panels cannot be built. Wind turbines account for more than 10% of the world’s total production of neodymium and praseodymium. One of the largest drivers of demand for critical raw materials is the so-called battery revolution, fuelled by the goal of reducing greenhouse gas emissions and enhancing renewable energy storage capabilities.
One of the tasks of the Geological Survey of Estonia is to explore prospective mineral resources, the extraction and processing of which may become profitable in the near future as valorisation technologies develop.
Lines of action in the field
Developing a concession mechanism and best concession practice for Estonia
In the case of fertiliser and metal raw materials (as well as higher-grade limestone), implementing a concession procedure is appropriate. The concession procedure involves transferring an extraction permit for a specific mining claim through a competition based on multiple criteria and subject to conditions set by the State.
The concession procedure allows the State to select a developer whose bid also considers long-term socio-economic, environmental and security aspects (including the introduction of best technologies, the development of optimal value-added chains and the post-closure rehabilitation of the extracted site). The aim is to ensure that the State plays a leading role in determining the conditions for resource use and to maximise the long-term benefits to society from resource use, while also considering the needs of businesses that take on significant risks in industrial investments related to resource use.
Legislation process
On 20 September 2024, the Ministry of Climate submitted a draft of the legislative intent to amend the Earth’s Crust Act and the Environmental Charges Act for the approval round. The purpose of these amendments is to clarify the conditions for the exploitation of future mineral resources. ‘Estonia has valuable mineral resources, such as magnesium, iron ore, phosphorite, and rare earth metals, which are in great demand in the European Union and on the world market. Our aim is to ensure responsible exploitation of future mineral resources, bringing maximum benefits to local communities and the Estonian economy,’ said Minister of Climate Yoko Alender.
The Minister of Climate emphasised that the valorisation of future mineral resources must take place in Estonia: ‘We must use our resources to create added value and jobs in Estonia and avoid negative environmental impacts. The exploitation of future mineral resources is closely related to the research of the Geological Survey of Estonia (EGT), one of the aims of which is to identify effective and environmentally sustainable ways of valorising mineral resources. The EGT will submit the results of the survey to the Government of the Republic at the end of 2025. Any mining is a long and complex process that requires thorough research and environmental impact assessment. We are currently exploring ways to valorise phosphorite and other future mineral resources so that we can make informed and responsible decisions that take into account both the local benefits and the environmental impacts of the activity,’ Alender said.
The Ministry plans to send a draft amendment to the Earth's Crust Act and the Environmental Charges Act for a public consultation in the spring of next year and to the Government of the Republic and the Riigikogu in the autumn of 2025.
Last updated: 01.08.2025
