Friel's EGT eyes potential sale of Swedish copper project

Cathal Friel's EGT has made no secret of its intent to exit mining.

Cathal Friel's European Green Transition plc (EGT) has signed a six-month option with Cyprus-based Recovery Metals Cyprus Limited (RMC) to sell its Pajala Copper Project in northern Sweden. 

The deal, announced today, underscores EGT’s accelerating shift from mineral exploration to acquiring distressed, revenue-generating businesses in Europe’s green economy.

Under the agreement, RMC gains the right to acquire the Liviövaara nr 101 and Lehtosölkä nr 101 exploration licences—covering 51.17 km² and held royalty-free through EGT’s wholly owned subsidiary, Rockfleet Minerals. They said the buyer will fund all due diligence during the option period, which expires 30 April 2026. Should RMC exercise, completion hinges on negotiating definitive sale agreements. No financial terms were disclosed, and EGT cautioned there is “no certainty” a transaction will follow.

RMC is focused on developing a pan-European portfolio of high-potential copper and gold projects. Its current portfolio comprises three fully licensed copper projects located in Cyprus with immediate development potential. 

The Pajala project, located 21 km from the operating Kaunisvaara iron mine, is viewed as a prospective Iron Oxide Copper Gold (IOCG) system. Historical drilling by Anglo American in 2000–2001 delivered encouraging intercepts. With access to renewable hydropower and established infrastructure, the asset sits in a Tier-1 jurisdiction—ideal for a developer eyeing European critical minerals supply.

Earlier this week copper price hit record highs, underpinned by limited supply and strong market fundamentals. "Growing investment in electrification and clean energy technologies together with policy measures such as the EU Critical Raw Materials Act which seeks to ensure a stable supply of critical minerals to the European market, is driving sustained demand for both copper and rare earth elements (REEs), reinforcing the potential strategic importance of EGT’s mining assets within the European supply chain," EGT co-founder Cathal Friel said.

The option aligns with a broader pivot with Friel stating that the move “generates value from our mining portfolio” while freeing capital to chase M&A in cash-flowing green-energy assets. 

EGT, which listed on London's AIM earlier this year, has made no secret of its intent to exit mining. Proceeds from any Pajala sale would fuel acquisitions of “distressed, revenue-generating businesses” across sectors supporting decarbonisation.

Investors will watch for updates by spring 2026 and a successful exercise could validate EGT’s monetisation strategy.