The extraction of apatite will take place in the sand ponds at the mines in Kiruna and Malmberget.
Apatite contains both phosphorus, which becomes mineral fertilizer, as well as fluorine, gypsum and rare earth metals.
The first refining step will take place in the industrial park to be built in Luleå, where all products will be separated and refined except for the rare earth metals.
Then the material is used in the factories
During Tuesday, LKAB together with the Norwegian company Reetec presented how that final processing should take place.
The Norwegian company has developed a new technology to be applied at two factories being built in Herøya in southern Norway.
The first factory will be ready in 2024, but will then receive its raw material from Canada.
Raw materials from the Malmfälten via Luleå are not expected to be used in the factories until 2027.
Going in with 400 million - Norwegian kroner
LKAB enters with NOK 400 million and becomes the main owner of Reetec.
At the factory, neodymium and praseodymium, which are used for permanent magnets in electric cars, must be separated.
Until now, China has been completely dominant as a producer.
- This is a way to create a better competitive edge for LKAB's mining operations, but also to achieve a better trade balance, says CEO Jan Moström.
In the clip, Jan Moström tells how the operations in Kiruna, Malmberget and Luleå will be connected with the new Norwegian factories.