Metso, the Finnish mining and aggregates titan, has made a strategic play that could reshape the industry’s approach to sustainability. The company’s acquisition of TL Solutions’ recycling operations and induction heating technology, set to close in August 2025, is a bold move to capitalize on the growing demand for circularity in mining. This shift is driven by tightening environmental regulations, investor pressure for sustainability, and the plummeting costs of renewable energy.
The acquisition targets a critical gap in the mining lifecycle: recycling mill liners, the wear-resistant plates that protect grinding equipment. Traditionally, these liners—made of composites, rubber, or metal—are discarded after use, ending up in landfills or incinerators. TL’s induction heating technology, however, enables safe, efficient separation of metals from composite liners, recycling up to 90% of their components. This process cuts landfill waste, reduces CO₂ emissions by avoiding new mining for raw materials, and lowers costs for customers.
Metso’s move isn’t just about recycling. By integrating TL’s technology in-house, Metso gains control over its supply chain, enabling it to offer “closed-loop” services to mining clients. For example, a gold mine in Chile could send used liners to Metso, which recycles the metals into new liners or sells them as raw material. This vertical integration reduces dependency on virgin resources and creates a recurring revenue stream.
The circular economy in mining presents a significant opportunity. Market analyses suggest the global circular economy market could grow from $463 billion in 2024 to $798 billion by 2029, and potentially reach $10 trillion by 2035 when cross-sector synergies are factored in. In mining, this means reduced demand for virgin materials, policy tailwinds from initiatives like the EU’s Circular Economy Action Plan, and cost savings from recycling urban “mine” materials like e-waste.
Metso’s timing is opportune. The mining sector’s revenue declined in 2024 due to weak commodity prices, but companies adopting circular practices are outperforming peers. For instance, battery recyclers like Redwood Materials now supply Tesla with lithium at a fraction of the cost of mining. Metso’s expanded recycling services could similarly insulate its clients—and itself—from commodity volatility.
However, the path to circular dominance is not without hurdles. Metso’s success depends on scaling the technology beyond its current reach in Europe, Chile, and Nordic regions. Expanding to North America, where mining giants like BHP and Rio Tinto operate, will require significant investment. Additionally, mines may resist changing their waste disposal habits unless incentivized by cost savings or regulatory pressure. Competitors like Sandvik and Outotec are also investing in recycling tech, but Metso’s edge lies in its existing customer relationships and vertical integration.
For investors, Metso presents a compelling story. Its acquisition aligns with three megatrends: ESG-driven capital, commodity resilience, and first-mover advantage. The stock, trading at EUR 26.50 as of June 2025, has underperformed the sector in recent quarters due to macroeconomic headwinds. But a successful rollout of the new recycling services in North America could spark a re-rating. Analysts estimate the acquisition could add 5–10% to Metso’s EBITDA by 2027, assuming full utilization.
Metso’s acquisition isn’t just about recycling mill liners—it’s about redefining mining’s future. By embedding itself in the circular economy value chain, Metso is positioning itself as a partner to mines seeking to cut costs, comply with regulations, and future-proof their operations. For investors willing to look beyond short-term commodity cycles, this deal signals a rare chance to back a company poised to profit from one of the 21st century’s most transformative trends.