The primary product for the Ferrochrome business area is the charge grade of ferrochrome. Majority of the ferrochrome produced is consumed internally by our own mills, but some of it is sold to other producers outside the company. The proximity of the ferrochrome works to our stainless steel production facility in Tornio allows the ferrochrome to be transferred in liquid form, resulting in considerable cost savings in both energy and logistics. Our ferrochrome has a low carbon footprint, 67% smaller than the industry average.
Business area Ferrochrome
Outokumpu is the owner of the largest known chromite reserves in Europe. We have the unique access to an essential raw material in the production of stainless steel.
Ferrochrome is an integral part of Outokumpu’s operations, and supported by our Kemi mine, it is a clear competitive advantage to us. Our Ferrochrome business area runs the chrome mine in Kemi and ferrochrome smelter in nearby Tornio, Finland.
Page last updated: 05 Oct 2023
Net sales EUR 633 million last year
Ferrochrome accounted for 2% of Outokumpu's net sales in 2022 and made an adjusted EBITDA of EUR 220 million.
Chrome makes steel stainless
We produced 430 000 tonnes of ferrochrome last year. Most of it we use in our own stainless steel production.
Deepening the mine into one kilometre
We are finalizing our DeepMine investment, which is worth EUR 280 million and deepens the mine into one kilometre underground.
The world's most sustainable ferrochrome
At the core of business area Ferrochrome’s strategy is carbon neutrality. The carbon footprint of our ferrochrome is 67% smaller than the industry average.
Carbon neutral Kemi mine by 2025
Outokumpu has established a roadmap to achieve carbon neutrality at its Kemi chrome mine by 2025. The roadmap includes several initiatives that will decrease the mine’s emissions towards zero. Carbon neutrality of the Kemi Mine is an important step in achieving Outokumpu’s ambitious science-based climate targets.
The three main factors to reach carbon neutrality at the Kemi Mine are the utilization of carbon free electricity, using biofuels in transportation and machinery as well as replacing natural gas and propane gas with biogas in heating. Mining machinery electrification will also be extended to reduce the need for fuels. Read more on Kemi mine's carbon neutrality targets.
280 million euro investment in deepening the Kemi mine
We are finalizing the 283 million mine expansion investment to secure our ore availability until the beginning of the 2040s with current ferrochrome production. We are expanding our operations in Kemi to the depth of 1,000 meters. The mineral resources in the new depth are more than 90 million tonnes, and seismic measurements indicate that mineralization continues even further downwards. Our ferrochrome production will account for approximately 5% of global capacity, and by production costs we are among the top 10 ferrochrome smelters.