Copenhagen-based Nordic Salt Cycle has secured €3.5 million in pre-seed financing to accelerate the commercialization of its molten salt technology for critical mineral recovery. The round was backed by Denmark’s state-owned green transition investment fund EIFO, existing investor The Footprint Firm, and Germany’s Ananda Impact Ventures. The new capital underlines growing investor interest in technologies that can enable local, low-cost recovery of strategic materials from end-of-life products.
Company background and technology vision
Founded in 2024, Nordic Salt Cycle focuses on recovering critical and strategic minerals from electric vehicle batteries, wind turbines, electronics and other complex products. The company is developing proprietary molten salt processes that can extract materials such as lithium, cobalt and rare earth elements at high purity and lower cost. Its goal is to support a more circular and resilient mineral economy in Europe by reducing dependence on imported raw materials and highly centralized processing infrastructure.
Molten salt process and prototype progress
Nordic Salt Cycle’s molten salt technology is already being validated in an operational prototype. Early testing indicates that the process can separate and recover valuable materials from the black mass of electric vehicle batteries using significantly less energy and far fewer chemicals than conventional recycling methods. These efficiency gains are designed to translate into stronger unit economics and a more sustainable pathway for large-scale deployment.
Modular and distributed recovery model
A key differentiator of the company’s approach is its compact, modular plant design. Instead of relying on large centralized chemical facilities, Nordic Salt Cycle aims to enable local treatment of end-of-life materials across Europe. This distributed model is intended to reduce logistics complexity, cut emissions tied to long-distance transport, and make mineral recovery accessible to a wider range of industrial partners.
Strategic focus on critical minerals
The technology initially targets the recovery of lithium and rare earth elements from batteries and permanent magnets, two categories that are central to the energy transition. By turning discarded products into a viable resource stream, Nordic Salt Cycle seeks to help close the loop on critical minerals while stabilizing supply for European manufacturers. Over time, the company plans to qualify additional material streams so that molten salt processes can be applied to a broader range of industrial waste.
Investment rationale and next steps
For EIFO, The Footprint Firm and Ananda Impact Ventures, the investment represents a bet on scalable infrastructure for Europe’s green transition. The funding will support the delivery of a pilot plant, further expansion of the company’s technology platform and deeper validation of its commercial performance. Nordic Salt Cycle also intends to use the capital to build partnerships with battery recyclers, automotive players and other stakeholders that require reliable access to recovered critical materials.
Market potential and competitive positioning
Global demand for lithium, cobalt and rare earth elements is expected to rise sharply as electric vehicles, renewable energy systems and advanced electronics proliferate. Existing recovery methods often rely on energy-intensive processes and large chemical complexes, which can be capital-heavy and slow to scale. By combining molten salt chemistry with modular deployment, Nordic Salt Cycle positions itself as a leaner alternative designed to match the speed and geography of clean-tech adoption.
The €3.5 million pre-seed round marks an early but significant milestone for Nordic Salt Cycle’s effort to industrialize molten salt-based mineral recovery. With a working prototype, a clear focus on critical materials and backing from climate-focused investors, the company is moving to prove that localized, distributed processing can compete with traditional recycling routes. If its pilot plant delivers on efficiency and cost targets, Nordic Salt Cycle could become a strategic player in Europe’s emerging circular mineral value chain.