Rio Tinto says $2.4 billion Serbian lithium project will be postponed due to local community opposition

Rio Tinto on Tuesday delayed the first salable production of its $2.4 billion Serbian lithium project by a year to 2027, saying it faced delays in key approvals and protests over environmental issues.

The lithium borate project, located near Loznica in the western Jadar Valley, will position the Anglo-Australian mining company as the largest lithium supplier in Europe for at least the next 15 years amid booming sales of electric vehicles.

The mine was opposed by environmental activists and local communities for fear of environmental damage, forcing local municipalities to cancel plans to allocate land to the facility last year.

The Serbian prime minister said earlier this month that the Balkan country would decide whether Rio Tinto could continue to develop the mine after April's general election.

"We fully understand the concerns of some Serbian stakeholders about the environmental impact, and we will continue to participate to prove that the project has developed mitigation solutions in the project plan," Rio Tinto said in a statement.

The news also came after Australia expelled Novak Djokovic, the world's first man in men's tennis, after relations between Serbia and Australia broke out because he was not vaccinated against covid-19, hampering his pursuit of a record 21st Grand Slam title.

Serbs clearly expressed their support for Rio Tinto on Instagram last month, according to one Twitter user.

Jadar's new roadmap is released in conjunction with Rio Tinto's production results and production forecasts for 2022.