Terrafame already partnered with Outotec for the development of this project in the pre-feasibility study phase.

Now Outotec's scope of delivery comprises the technology and engineering of the leaching and solvent extraction plants and supply of proprietary equipment, as well as advisory services for installation, training, commissioning and start-up.

The battery chemicals plant is expected to be ready for commissioning in 2020. It will have the capacity of producing approximately 170,000t of nickel sulphate and approximately 7,400t of cobalt sulphate annually to be used for batteries of electric vehicles.

As a by-product, the plant will produce approximately 115,000t of ammonium sulphate per year used as a fertiliser and in process industry.

Kalle Härkki, head of Outotec's Metals, Energy & Water business unit, said: "We are pleased to be Terrafame's trusted technology partner in this project. The demand for battery chemicals is expected to grow significantly in the future, and we have the required expertise and proprietary equipment for their processing."

The total order value is approximately €34 million (US$39 million).