BELGRADE – It could take Rio Tinto (NYSE: RIO) two years to obtain the permits it needs to start construction on its Jadar lithium project in Serbia, the country’s energy minister said on Friday, as environmentalists plan fresh protests over the mine.
Last month, Serbia reinstated Rio’s license to develop what would be Europe’s biggest lithium mine in the western Jadar region, two years after the previous government halted the licensing process due to angry protests by environmental groups.
To move towards production at the site, the Australian mining group now needs to secure approvals which will hinge on its environmental impact study, Energy Minister Dubravka Djedovic Handanovic told Reuters.
She said the project was one of the biggest by certified reserve, amounting to 158 million metric tons – equivalent to 17% of total European reserves of the silvery white metal essential for making electric vehicle batteries and in high demand as the world shifts to green energy.
She said it could take Rio Tinto (NYSE: RIO) up to 24 months to obtain the necessary permits before building work could begin.
“How quick we will be … is down to us. We have already lost two years. We could have been the first in this race,” she said.
If completed, the mine’s annual estimated production of 58,000 metric tons of lithium carbonate would be enough to make 1.1 million electric cars, Djedovic Handanovic said.
The government reinstated the license after the Constitutional Court ruled to reinstate the project, which environmentalists said would cause massive pollution to the soil and water.
Following daily rallies across the country in the past weeks, the next major protest against lithium mining is scheduled in the capital, Belgrade, on Saturday.
Djedovic Handanovic questioned the protesters’ motives and said the demonstrations appeared more aimed at challenging the government.
“The arguments presented are aimed at destroying order … on the streets under the guise of concern for ecology,” she said.
On July 19, Serbian President Aleksandar Vucic, German Chancellor Olaf Scholz, and EU Energy Commissioner Maros Sefcovic signed a deal securing EU member state access to raw materials including lithium from Serbia, which hopes to join the bloc.
Djedovic Handanovic said the deal would help Serbia, which has resources of minerals including copper, zinc, lead, gold, and lithium, access technical know-how.
(Source: Reuters)
