Serbia and EU near agreement on Jadar Valley lithium reserves

Geologists estimate that the Jadar Valley may contain the largest lithium reserves in Europe. The estimated value of the Serbian deposit is €4 billion, and its extraction will provide hundreds of jobs and a steady stream of income for the government. The EU and Belgrade are finalizing an agreement to exploit Serbian resources.

Negotiations between Serbia and the European Union regarding the extraction of lithium from the Jadar Valley in the west of the country are nearing completion, the daily "Danas" reported on Monday, citing European Commission Vice President Maroš Šefčovič.

The EC representative noted that the "final legal obstacles" are the only barriers to reaching an agreement. The daily recalled that Šefčovič met with Serbian President Aleksandar Vučić last September. After the talks, the Serbian leader admitted they had discussed "many significant investments and joint projects."

The media assessed that the meeting was proof of the desire to "join forces between Brussels and Belgrade regarding the exploitation of Serbian lithium deposits" and that "the only obstacle is the need to resolve environmental issues and opposition from the Serbian public to metal extraction."

In 2022, the largest mining company, Rio Tinto, lost access to valuable Serbian lithium deposits. The project was to place the company among the 10 largest lithium producers in the world and the largest in Europe.

According to reports, at full capacity, the Jadar mine was to produce 58,000 tonnes of refined lithium carbonate for batteries annually, making it the largest lithium mine in Europe in terms of extraction. Serbia revoked Rio Tinto's license following numerous protests.

Lithium, known as "white gold," and its compounds produce heat-resistant glass and ceramics, durable alloys used in aviation, lithium cells, and lithium-ion batteries.

Geologists estimate that the Jadar Valley may contain the largest reserves of the raw material in Europe. Researchers from the Economist Intelligence Unit noted that "lithium extraction could be extraordinarily profitable for Serbia."

The country holds 1.3% of the metal's known global reserves. The estimated value of Serbian lithium is €4 billion, and its extraction over ten years could provide hundreds of jobs and a steady income stream for the government," the analysts emphasized.