【SMM Analysis】Serbia's Vucic Claims EU to Designate Jadar Lithium Mine Project as Strategic, Sparking Activists' Vow to Appeal

Serbian President Aleksandar Vučić stated in Brussels that the European Commission will grant strategic status to Rio Tinto's Jadar project for lithium ore mining and processing in Serbia within "seven to eight days." The Marš sa Drine organization, along with several other European environmental protection groups, emphasized that they will challenge this designation, as well as some other projects recently approved by the EU. These projects include lithium mine proposals in Portugal and Spain, as well as the Rovina copper-gold mine in Romania. The European Commission yesterday approved the first 47 strategic projects within the EU for the production of critical raw materials, most of which are intended for battery manufacturing. According to the announcement, "potential selection decisions regarding third-country facilities" will be made in subsequent phases.

The EU's Critical Raw Materials Act (CRMA) stipulates that such strategic projects are eligible for administrative and financial support. Serbian President Aleksandar Vučić is confident that the EU will declare the Jadar lithium mine project in the western part of his country as a strategic project within "seven to eight days." He made this statement during a meeting with senior EU officials in Brussels. The proposal targets Rio Tinto's underground mine and processing plant near the city of Loznica, including mining waste disposal sites.

Non-governmental organizations and community associations from Serbia, Romania, Germany, Spain, and Portugal jointly responded to the European Commission's decision and subsequent statements by Vučić. They stated that they will legally challenge the designation of controversial mining projects as strategic projects. Local residents and environmentalists have long opposed this, as stated in the declaration. They specifically pointed out the Jadar project, as well as the Mina do Barroso and Mina do Romano lithium mines in Portugal, the Mina Doade and Mina Las Navas lithium mines in Spain, and the Rovina copper-gold mine plan in Romania. Environmental groups have hired lawyers to legally contest the designation of some mining projects as strategic projects. The extraction of cheap raw materials for the automotive industry in Germany and other regions also endangers the lifestyle of people in the Covas do Barroso region of northern Portugal. Environmentalists also listed the Zinnvald lithium mining project in Germany, although it has not yet been marked as a strategic project.

Against the backdrop of increasing geopolitical pressure, the EU is striving to establish partnerships with third countries to obtain minerals and strengthen domestic metal mining to drive the energy transition, according to signed documents. The CRMA allows public interest to take precedence over other interests. Activists and affected communities have been warning since the drafting of the act that it is inconsistent with EU regulations such as the Habitats Directive, the Water Framework Directive, and the Birds Directive.