Solikamsk Magnesium Works

What Solikamsk Magnesium Works does

Solikamsk Magnesium Works (SMZ; ОАО «Соликамский магниевый завод») is a Russian non-ferrous metallurgy enterprise founded in 1937 and headquartered in Solikamsk, Perm Krai. It is the world's oldest continuously operating primary magnesium plant and a wholly-owned subsidiary of State Atomic Energy Corporation Rosatom, integrated into its Mining Division in 2024. SMZ produces approximately 60% of Russia's commercial magnesium, 100% of its rare-earth element (REE), niobium, and tantalum compounds, and 4-5% of its titanium sponge, with cumulative magnesium output since inception exceeding 1.25 million tons.

The company's core technology base is electrolytic magnesium production combined with rare-earth and rare-metal compound processing, including niobium pentoxide, tantalum compounds, titanium sponge, and various chemical products such as calcium hypochlorite solution. It also operates a portfolio of ancillary services — analytical control, metalworking, joinery, physiotherapy, and regulated utility supply (heat and water disposal). SMZ sources rare-earth ore from its sister enterprise Lovozersky GOK, and is currently advancing a new rare-earth metals separation complex through Russian state expert review, which is intended to anchor a new REE production line. Underlying inputs include carnallite feedstock for magnesium, loparite ore from the Kola Peninsula for rare earths, and titanium-bearing feedstocks for sponge production.

SMZ operates a B2B industrial sales model selling direct to aerospace, automotive (including EV lightweighting), high-tech electronics, and defense customers within Russia and select international markets. Pricing is conducted through direct industrial contracts with no public benchmarks, and the company sits inside the Rosatom state-corporation ecosystem, which shapes both demand-side customers and strategic investment priorities. Revenue is generated primarily through hardware sales of metals and chemical compounds, supplemented by ancillary professional services and tariff-regulated utility activities.

Name

Solikamsk Magnesium Works

Legal name

Open Joint Stock Company Solikamsk Magnesium Plant (ОАО «Соликамский магниевый завод»)

Website

https://smw.ru

Company type

Public

Founded year

1937

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Solikamsk Magnesium Works is a Russian state-owned (Rosatom) non-ferrous metallurgy plant producing magnesium, rare-earth/niobium/tantalum compounds, and titanium sponge for aerospace, automotive, electronics, and defense customers in Russia and select international markets.

Ownership category

akta.pro rank

Product category

Non-Ferrous Metals and Rare Earth Manufacturing

NAICS

Nonferrous Metal (except Aluminum) Smelting and Refining (33141)

SIC

Primary Smelting & Refining Of Nonferrous Metals (3330), Industrial Inorganic Chemicals (2810)

akta.pro primary industry

Magnesite & Magnesium Minerals Mining (IMAKAGAN)

akta.pro secondary industry

Magnesite & Magnesium Minerals (IMAEAFAL)

Keywords

• Magnesium production
• Rare earth metals
• Rare metal compounds
• Titanium sponge
• Non-ferrous metallurgy

Headquarters

HQ city

Pravda

HQ country

Russia

HQ region

Europe

Offices1 record

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Operations, Infrastructure, Personnel, Technology or R&D

Revenue model

1. Magnesium Production and Sales: Production and sale of commercial magnesium, representing over 60% of Russia's commercial magnesium output. The company operates the world's longest continuously running primary magnesium production facility.
2. Rare Earth and Rare Metal Compounds: Production of virtually 100% of Russia's rare earth compounds, niobium, and tantalum compounds. Includes niobium pentoxide and various tantalum compounds for high-tech applications.
3. Titanium Sponge Production: Production of 4-5% of Russia's titanium sponge, used in aerospace and defense applications.
4. Chemical Products: Production of chemical products including calcium hypochlorite solution and other chemical compounds.
5. Industrial Services: Analytical control services, metal fabrication and processing, health and physiotherapy services, carpentry services, and regulated utility services (heat supply, water disposal).

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Solikamsk Magnesium Works (OAO SMZ) is a Russian non-ferrous metallurgy enterprise that produces primary magnesium, rare earth and rare metal compounds (niobium, tantalum, titanium), and chemical products. The company manufactures over 60% of Russia's commercial magnesium output and produces virtually 100% of the country's rare earth, niobium, and tantalum compounds, serving aerospace, automotive, defense, and high-tech electronics manufacturers.

Product overview

Solikamsk Magnesium Works (OAO SMZ) operates as a diversified metallurgy and chemicals enterprise producing a portfolio of three main product categories: Magnesium Products (approximately 60% of Russia's commercial magnesium output), Rare Metal Products (producing 100% of Russia's rare earth elements, niobium, and tantalum compounds, as well as 4-5% of the country's titanium sponge), and Chemical Products. Additionally, the company offers various industrial and utility services including analytical control, metalworking, and regulated activities. The plant is the oldest continuously operating magnesium facility in the world, having produced 1,250,000 tons of magnesium since production began.

Differentiator

Problem solved

Functional benefit

Products and services

• Magnesium Products (Магниевая продукция) Primary magnesium and magnesium-based products representing over 60% of Russia's commercial magnesium output. Supplied for lightweighting applications, structural components, die casting, and alloy production to industrial manufacturers.
• Rare Metal Products (Редкометальная продукция) Complete range of rare metal compounds including niobium compounds (niobium pentoxide), tantalum compounds, titanium sponge, and rare earth element (REE) compounds. SMZ produces virtually 100% of Russia's REE, niobium, and tantalum compounds and 4-5% of Russia's titanium sponge for high-tech electronics, aerospace, and defense applications.
• Chemical Products (Химическая продукция)

Quantifiable outcome

• 100% of Russia's rare earth compounds, niobium, and tantalum compounds produced by SMZ
• +3 more outcomes

Segments5 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature1 record

Partnerships

Eight partnerships are on record, tiered moderate, minor and core.

• RGTU MIREA - Russian Technological University (РГТУ МИРЭА)moderateStrategic or Co-development Partner · 1 January 2024In 2024, SMZ commissioned RGTU MIREA to train rare earth production specialists. A specialized master's group was organized with 11 SMZ workers studying chemical technology (profile: Chemical Technology of Precious and Rare Metals). Unique curriculum was developed by the university's scientific division and factory management.
• ANO Obnovlenie (АНО «Обновление»)minorGTM or Marketing Partner · 1 January 2024Operator of grant competitions for social initiatives in Solikamsk region. Administers the 'Est' ideya? Deystvuy!' (Have an idea? Act!) grant competition organized by Rosatom Nedra and SMZ for local social projects.
• Rosatom State Corporation (Госкорпорация «Росатом»)coreStrategic or Co-development PartnerSMZ is an enterprise of the Mining Division (Gornorudny division) of Rosatom State Corporation. The company operates as a strategic asset within Russia's state nuclear corporation, focusing on rare earth and rare metal production for technological sovereignty.
• AO Rosatom Nedra (АО «Росатом Недра»)coreStrategic or Co-development PartnerManaging company of the Mining Division of Rosatom. Coordinates operations of mining enterprises including SMZ. Operates grant competitions for social initiatives in Solikamsk region.
• Lovozersky GOK (ООО «Ловозерский горно-обогатительный комбинат»)coreChannel Partner/ Reseller/ DistributorSupplies raw materials for rare earth metal production to SMZ. The GOK provides Lovozersky rare earth ore that is processed at SMZ's facilities. A joint team won 3rd place in the 'One Step Ahead' nomination at Person of the Year Rosatom.
• Association of RM and REM (Ассоциация РМ и РЗМ)moderateStrategic or Co-development PartnerRussian association of producers and consumers of rare and rare earth metals. SMZ CEO Ruslan Dimukhamedov serves as Chairman of the Association. The association organizes industry events and coordinates development of rare metal industry.
• AO Giredmet (АО «Гиредмет»)moderateTechnology or IntegrationInstitute of the rare metal industry, part of the Scientific Division of Rosatom State Corporation. Organizer of the REDMET-2026 congress where rare metal industry priorities were discussed.
• BRICS+ and EAEU CountriesmoderateStrategic or Co-development PartnerInternational cooperation targets identified for rare earth metal industry development, including cooperation with BRICS+ and EAEU countries in primary processing of RM and REM, exchange of competencies in hydrometallurgy, extraction, refining, and creation of joint projects in alloys, casting, rolling, and functional materials.

Scale indicators6 records

Recent moves7 records

Expansion highlights5 records

Direct peers

• Magontec: European specialist in magnesium alloys and anode products with primary magnesium smelting operations. Comparable as a non-Russian electrolytic magnesium competitor serving automotive lightweighting and die casting markets — represents SMZ's potential Western competitive benchmark.
• MP Materials: US-based rare earth mining and processing company operating Mountain Pass, the only scaled rare earth mine in the Americas. Comparable business model of upstream rare earth concentrate with downstream separation ambitions, serving automotive and electronics end-markets.
• Lynas Rare Earths: Largest non-China producer of separated rare earth materials. Direct peer for SMZ's planned RZM separation complex expansion — both target the value chain between mined concentrates and end-use separated rare earths for magnets and electronics.
• VSMPO-AVISMA: World's largest titanium producer and a fellow Russian Rosatom-aligned strategic metals company. Most directly comparable for SMZ's titanium sponge business (4-5% of Russian output) and shared Rosatom ecosystem exposure; both serve aerospace and defense with non-ferrous specialty metals.
• US Magnesium: The only primary magnesium producer in the United States, operating electrolytic magnesium facilities similar to SMZ's technology. Direct peer on magnesium metal production process, customer base (aluminum alloying, titanium production, defense), and capital-intensive electrolytic operations.

Emerging players

• Energy Fuels: North American critical minerals producer that has expanded into rare earth processing (separation) at its White Mesa Mill. Comparable trajectory to SMZ's planned RZM separation complex, transitioning from conventional minerals to separated rare earth oxides.

Broad incumbents

• RUSAL: Largest aluminum producer outside China and another Russian non-ferrous metals major. Comparable on the dimensions of Russian state-linked industrial metals scale, export orientation to aerospace/automotive, and exposure to Western sanctions risk.
• Norilsk Nickel (Nornickel): Russia's largest non-ferrous metals producer (nickel, palladium, platinum, copper). Comparable as a Russian industrial-scale, export-oriented non-ferrous metals champion serving global aerospace, automotive, and electronics end-markets, though with a different metal mix than SMZ.
• POSCO: Korean steel and advanced materials conglomerate with significant magnesium and rare metals exposure. Comparable as a globally diversified industrial metals player serving automotive, electronics, and battery supply chains; relevant proxy for downstream magnesium/rare earth demand dynamics.
• China Northern Rare Earth Group: China's largest state-owned rare earth producer, dominating global rare earth supply. Comparable as the global benchmark SMZ implicitly competes with, and as a state-backed monopoly in critical rare earths — relevant for pricing and end-market context.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/solikamsk-magnesium-plant-ojsc

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Solikamsk Magnesium Works