In recent news, the mining company Rio Tinto is set to receive a concession to mine lithium in Serbia. However, Serbia’s President Aleksandar Vucic has made his agreement dependent on certain conditions. Environmental groups are raising concerns about the potential impacts of the mining operation.
Rio Tinto had faced criticism for its mining methods in other countries, and some activists question the independence of the studies conducted by the company on the environmental impact of the mine. Despite these concerns, there is strategic interest from the EU in reducing dependence on China for lithium production. This has led some to speculate that President Vucic’s decision to bring the mining project back into discussion may be motivated by a desire to improve relations with the West.
Opponents of the lithium mining project near Loznica in western Serbia had hoped that the government’s decision to end plans two years ago was final. However, President Vucic announced in an interview with Financial Times that new guarantees from Rio Tinto on environmental compatibility and investment commitments from European Union could lead to the project moving forward as early as 2028. The controversy surrounding this project not only revolves around environmental issues but also has a geopolitical dimension, as lithium is a key raw material for battery production for electric cars.
Despite concerns about possible negative impacts on water supply and landscape in Jadar Valley region, Serbia looks forward to attracting European investments in battery and electric vehicle production facilities as part of maximizing economic benefits from this project.
