Russia Plans to Expand Scandium Production

by | 28. Feb 2025 - 13:34 | Economy

The announcement may be linked to the expected rare earth agreement between the U.S. and Ukraine.

Russian aluminum producer Rusal wants to enter the production of the rare earth element scandium. According to a press release published on Thursday, a pilot plant with an annual capacity of 1.5 tons is planned. The facility will be located at Rusal’s Bogoslovsky Aluminum Smelter in the Sverdlovsk region of the Urals. The extraction process will use red mud, a by-product of alumina production. Commissioning is expected by the end of 2025.

Even during the pilot phase, Rusal claims it will be among the leading scandium oxide producers, as global annual production of this critical raw material is estimated at only 15 to 25 tons (PDF). If commercial production is launched, the annual capacity at Bogoslovsky could increase to 19 tons of scandium oxide, according to Rusal.

Rising Demand for Scandium in Future Technologies Expected

A key application of scandium is in alloys with other metals such as aluminum or titanium, which are used for ultra-lightweight components in the aerospace industry, among others. Another growing use case is solid oxide fuel cells for electrochemical power generation.

According to the U.S. Geological Survey, Russia is already a major producer of this rare metal, alongside China and the Philippines. As demand for scandium is expected to rise significantly in various future technologies, efforts are underway to develop new mining sites or expand existing production capacities.

Rusal’s announcement may be linked to the planned “raw materials deal” between the U.S. and Ukraine: access to Ukrainian resources such as rare earth elements in exchange for further support for the war-torn country. Media reports suggest that the Russian government has also offered the U.S. access to critical raw materials, both in occupied Ukrainian territories and within Russia itself.

Unlike aluminum, for which the European Union recently tightened its import restrictions, there is currently no information on similar regulations for scandium. Russia accounts for nearly a quarter of the EU’s rare earth imports.

Photo: JacobH via Canva