23.5 C
Belgrade
Supported byspot_img
spot_img

Lithium project caught in Portugal’s red tape

Member of Europium Groupspot_img
Supported byspot_img

Savannah Resources (AIM: SAV), the company building western Europe’s largest lithium mine, said on Wednesday it shared its shareholders’ frustration regarding the time it has taken Portugal to review its application, but noted it was a political process over which the company had little control.

Chairman Matthew King said the company expected to make further progress at the Mina do Barroso project this year, which would help Europe reduce its dependence on fossil fuels and speed up its “green transition.”

Savannah Resources said it has been two years since it submitted the environmental impact assessment (EIA) for an open-pit mine to Portuguese regulator Agência Portuguesa do Ambiente (APA).

The company filed the study in May 2020 and it was requested to provide additional information a few months later, which granted it a preliminary stamp of approval in April last year.

Supported by

APA then launched a public consultation on the project, which has faced local opposition, but the watchdog is yet to announce its final decision.

“We passed the second anniversary of lodging the EIA,” King said. “This time last year, we had expectations that the decision would have been received by now but the finalization of the EIA is a political process over which Savannah has little control.”

The company acquired a 75% interest in Mina do Barroso in May 2017, maintaining a fast paced development approach since. January’s snap parliamentary election in Portugal, King said, had impacted the timing of the assessment as meetings with government officials were postponed.

Europe’s first

Mina do Barroso open pit lithium mine would be Europe’s first significant producer of spodumene, a hard-rock form of the battery metal.

The project holds a resource estimate of 27 million tonnes of lithium with over 285,900 tonnes contained Li2O, at an average grade of 1.06% Li2O, which the company believes to be enough to supply a “material proportion” of Europe’s lithium demand over the coming decades.

The mine will also yield a feldspar and quartz co-product used in the ceramics industry, which will be sold to customers locally and in neighbouring Spain.

Recent results from the latest phase of metallurgical test work program at the mine highlights the potential for lower capital and operating costs than those originally estimated.

Portugal, already Europe’s top lithium producer, accounts for about 11% of the global market, but its output is entirely used to make ceramics and glassware. That’s why Europe relies on lithium imports from Latin America’s “Lithium Triangle,” as well from Australia and China, Mining writes.

Supported byElevatePR Digital

Related News

Navigating Serbia’s lithium debate: Economic prospects and environmental risks

The prospect of lithium extraction in Serbia has reignited fears of environmental devastation among its citizens, following the European Commission's (EC) announcement of negotiations...

Struggle for lithium: Divisions emerge in Portugal’s rural communities

For generations, Aida Fernandes' family has called a village nestled in Portugal's northern mountains home. Here, they tended to cattle and cultivated grapes in...

Balancing Serbia’s lithium wealth with environmental responsibilities

Serbia's aggressive foreign policy stance towards its neighbors is matched by its valuable lithium reserves, estimated to account for about 1.3 percent of global...

Savannah Resources reports significant resource upgrade for Barroso lithium project in Portugal

Savannah Resources has recently announced a substantial upgrade to the resource estimate for its Barroso lithium project in Portugal, with 93% of the resources...
Supported by
Supported by
Supported by
error: Content is protected !!