Significant regional impact from Engebø project, new analysis highlights value creation and employment effects

A new impact assessment conducted by BDO shows that the development of the Engebø Rutile and Garnet project has already generated substantial economic and social value at both regional and national levels.

The analysis was commissioned by Sunnfjord Utvikling and evaluates the effects of the construction phase (2021–2025) and the first year of operations.

Strong value creation during construction phase

During the development phase, the project has contributed significantly to supplier activity and regional business development.

According to the analysis:

• Total indirect value creation reached approximately NOK 1.8 billion
• Of this, around NOK 455 million benefited businesses in the Sunnfjord region

The strong local impact is closely linked to the extensive use of regional suppliers, contributing to increased capacity, competence, and competitiveness.

Continued impact during ramp-up phase

While 2025 represents the first operational year and includes technical adjustments and start-up costs, the project continues to generate broader economic activity.

The report estimates:

• Approximately NOK 200 million in indirect value creation in 2025

This reflects ongoing demand for goods and services, maintenance, and supporting functions.

Employment and broader societal effects

The Engebø project has also had a significant impact on employment:

• Approximately 1,400 indirect man-years were created during the construction phase
• In 2025, each direct job supported 1.8 indirect jobs nationally
• Total employment effect: 2.8 jobs per direct employee

In addition to measurable employment effects, the project has contributed to:

• Population growth and regional attractiveness
• Apprenticeships and skills development
• Collaboration with educational institutions
• Development of new, technology-driven jobs

Strategic importance for the mineral industry

The analysis also highlights the role of Hub for Minerals, established in cooperation between Engebø Rutile and Garnet and Sunnfjord Utvikling.

The initiative is recognised as an important platform for:

• Competence development
• Industrial collaboration
• Innovation within mineral processing
• Circular utilisation of mineral resources

A foundation for further development

The findings underline the broader value potential associated with mineral development projects and provide a useful reference point for future initiatives within Nordic Mining.

Download the full report

For further details on methodology, assumptions, and full results: (PDF, Norwegian) 2026.04.08-BDO-Ringverknadsanalyse-av-ERG-2