Chinese firm plans hafnium plant in Mühlviertel

Chinese technology company JPTech plans to produce high-purity hafnium at the business park in Bad Leonfelden, ORF reported. The rare metal is in strong demand, and its price has more than doubled in a year.

Hafnium is currently produced at only one location in the European Union, in France. The silvery metal occurs in nature only in very small quantities. It is not mined separately but is mainly obtained during zirconium processing and then separated from it through a complex procedure.

Hafnium is highly resistant to heat, making it useful in special alloys for the aerospace industry, as well as in the semiconductor and nuclear industries.

An increase in demand combined with limited supply has sharply raised the metal’s price. One current dealer price is about 12,500 US dollars per kilogram, compared with about 4,700 dollars from the same provider a year ago. Market analyses also show a strong price increase, while Chinese export restrictions have further reduced supply on international markets.

The plans initially caused concern among residents. Because hafnium is used in nuclear technology and its production requires chemical processing, some people raised concerns about possible radioactivity and pollutants.

Bad Leonfelden Mayor Thomas Wolfsgruber of the Austrian People’s Party said the metal had previously been virtually unknown to residents, with many initially unsure what the project involved. At an information event, nearby property owners and other residents were invited to raise questions. The mayor said those in charge had answered the questions and allayed the concerns.

JPTech plans to produce hafnium in highly pure form at the plant. The first expansion phase is expected to create about 20 highly qualified jobs. The Chinese technology company intends to strengthen its position on the European market with the new facility.