MINEX Forum

Tag: Serbia

  • EBRD Provides €30 Million Loan to Serbia for Renewable Heat Generation

    EBRD Provides €30 Million Loan to Serbia for Renewable Heat Generation

    The European Bank for Reconstruction and Development (EBRD) is providing a €30 million ($32.5 million) loan to Serbia for investments in renewable heat generation, the lender announced. These investments aim to modernize district heating companies in 10 Serbian cities. The project includes the refurbishment of heat substations and district heating networks, along with other energy-efficiency measures, the EBRD stated on Tuesday.

    “Currently, Serbia’s district heating systems rely heavily on fossil fuels and are notably energy inefficient. This project, the first of its kind in south-eastern Europe, aims to address these challenges by providing significant environmental benefits and boosting energy security,” the EBRD said.

    The project will benefit from up to €12 million of donor funds mobilized by the EBRD from the Swiss State Secretariat for Economic Affairs, the European Union, and Austria’s government.

    The implementation will be carried out by Serbia’s mining and energy ministry in cooperation with the participating municipalities and district heating companies.

    The total value of the project, “Renewable energy sources in district heating systems in Serbia – Phase 1,” amounts to €40.5 million, including €10.5 million in grants, according to the government.

  • Activists Demand Serbia Halt Rio Tinto’s Lithium Mining Project

    Activists Demand Serbia Halt Rio Tinto’s Lithium Mining Project

    In western Serbia, a strong movement against Rio Tinto’s jadarite mining project near Loznica is demanding a ban on the exploration and mining of lithium and boron. Activists warned that if the Government of Serbia does not comply, they will radicalize their resistance through railway blockades. The protests have attracted participants from Jadar, Loznica, and various cities in Serbia and Bosnia and Herzegovina, particularly those from areas with existing or planned mining projects. The event was organized by the local group Ne damo Jadar along with Marš sa Drine, Suvoborska greda, and other associations under the Association of Environmental Organizations of Serbia (SEOS).

    Marijana Petković, representing Ne damo Jadar, highlighted that activists found evidence of toxic exploration drilling fluid being disposed of at the city landfill. On July 1, the government will receive a formal demand to ban lithium and boron exploration and mining nationwide. The movement has vowed to start blockades on railroads and other key points if the demand is not met within 40 days. This follows a 2022 petition with over 38,000 signatures, which the National Assembly ignored despite being legally obliged to discuss it.

    Professor Ljiljana Tomović from the University of Belgrade emphasized that stopping the exploitation of jadarite is crucial to prevent damage to the flora, fauna, habitats, and ecosystems in the Jadar Valley. Similarly, Professor Slobodan Vukosavić from the Faculty of Electrical Engineering in Belgrade warned of the risk of wastewater contamination from the mine affecting the Mačva area. He stressed the importance of water amid climate change and suggested future conflicts would be over water, not lithium.

    Activists from Bosnia and Herzegovina, facing similar mining threats, joined the protest in Loznica. Adi Selman from Karton revolucija spoke passionately about protecting the Gornje Nedeljice, Loznica, the Drina and Sava rivers, and other threatened areas. Dragan Simović, a farmer from Srednja Dobrinja, highlighted the adverse effects of mining in other regions like Bor and Majdanpek and urged for intensified protests and a ban on mining.

  • Comparing Norway’s Oil Wealth to Serbia’s Lithium Potential

    Comparing Norway’s Oil Wealth to Serbia’s Lithium Potential

    n a recent discussion, Ana Brnabić, President of the Serbian Parliament, likened Serbia’s lithium reserves to Norway’s oil wealth, emphasizing the transformative economic potential. President Aleksandar Vučić and Mining Minister Dubravka Đedović Handanović have also supported this view, particularly focusing on the Jadar lithium project by Rio Tinto. This project, which could significantly boost Serbia’s economy, faces strong opposition from environmental groups. Critics argue that Serbia lacks the robust political and regulatory framework that enabled Norway’s successful oil industry.

    Norway discovered oil in the 1960s, leading to substantial GDP growth and the creation of a significant welfare state funded by oil revenues. Serbia aims to replicate this model through lithium mining, essential for the booming electric vehicle (EV) market. Rio Tinto projects that the Jadar mine could generate 180 million euros in annual state revenue. However, the environmental impact and public resistance present major challenges. Serbia’s political landscape and regulatory systems are not as well-established as Norway’s, complicating efforts to harness lithium’s potential sustainably.

    The Jadar project involves extracting lithium from jadarite, a unique mineral found only in Serbia. The project has the potential to make Serbia a key player in the global lithium market, essential for EV batteries. However, effective management of environmental concerns and community relations is crucial for the project’s success.

  • Serbia Set to Approve Rio Tinto’s Lithium Mine, Boosting Europe’s Electric Vehicle Industry

    Serbia Set to Approve Rio Tinto’s Lithium Mine, Boosting Europe’s Electric Vehicle Industry

    Serbia is on the verge of granting Rio Tinto permission to develop Europe’s largest lithium mine, signaling a significant advancement for the continent’s electric vehicle sector. President Aleksandar Vucic has expressed confidence in securing the necessary guarantees from both Rio Tinto and the European Union to address environmental concerns regarding the Jadar site in western Serbia. Vucic expects to make a formal announcement about the project next month, provided that the demands for the entire value chain and robust environmental protections are met. The mine, projected to open in 2028, aims to produce 58,000 tonnes of lithium per year, which would account for approximately 17% of European electric vehicle production, equivalent to around 1.1 million cars. Vucic believes this venture could be transformative for Serbia and the broader region.

    The Serbian government revoked Rio Tinto’s licenses in January 2022 due to protests led by environmental groups. Concerns over water pollution, displacement of residents, and post-mining area damage prompted the demonstrations, which resulted in blocked highways and bridges across the country. However, with President Vucic’s ruling SNS party winning most of the recent municipal polls, the government perceives an opportunity to revive the project. The potential revival of the deal with Rio Tinto, coupled with EU involvement, serves as a significant indication of Serbia’s geopolitical alignment as it attracts economic and political attention from China, Russia, and Gulf nations. Serbia has been an EU candidate country for over a decade, but its accession process has faced delays due to concerns about the rule of law and corruption.

    President Vucic confirmed that the intention was never to hand over the mine to Chinese interests, as some EU officials had feared. He emphasized Serbia’s commitment to working with the European Union. Vucic also claimed that certain European states initially tried to undermine the Jadar deal but eventually changed their stance. The absence of domestic lithium production in Europe makes the Jadar mine crucial, as it could meet 13% of the continent’s projected demand by 2030. The project would significantly contribute to Serbia’s economy, potentially adding between €10 billion and €12 billion ($19.4 billion) to the annual gross domestic product.

    Despite the potential resurrection of the deal, opponents of the mine, such as the environmental group Go Change, remain determined to continue their fight. They vow to defend ecological standards and constitutional rights, expressing their commitment to organizing further protests if necessary.

    Chad Blewitt, Rio Tinto’s managing director for the Jadar project, stressed the company’s efforts to gain public support through extensive community engagement sessions. Rio Tinto released a draft environmental assessment that outlines potential impacts on water, air, and soil, emphasizing their commitment to transparency and compliance with Serbian and EU environmental standards.

  • Serbia Invests €450 Million in New Equipment at Kolubara Coal Mine

    Serbia Invests €450 Million in New Equipment at Kolubara Coal Mine

    Serbia is investing 450 million euro ($487.5 million) in new equipment at the Kolubara coal mine to boost its production capacity, the energy ministry announced. The investment will also fund the launch of replacement production capacities for coal extraction from surface mines and the construction of two excavators and supporting systems at the Kolubara mine, according to a press release issued by the ministry on Tuesday.

    The introduction of the new systems is expected to increase coal production by an additional 16 to 19 million cubic meters annually, said energy minister Dubravka Djedovic Handanovic. This year, coal production at the Kolubara level has already seen a 3% increase compared to the previous year, she added.

    The Kolubara mining complex contributes to 70% of Serbia’s lignite output, according to the website of the state-owned energy producer Elektroprivreda Srbije (EPS).

  • Serbia’s Minister of Energy and Mining Retains Position in New Government

    Serbia’s Minister of Energy and Mining Retains Position in New Government

    Minister of Energy and Mining, Dubravka Đedović Handanović, is set to continue her role under the new prime minister-designate, Miloš Vučević, who has also proposed to appoint Minister of Environmental Protection, Irena Vujović, as deputy prime minister, maintaining her current position.

    Following December’s general election, President Aleksandar Vučić designated Miloš Vučević, the head of the ruling Serbian Progressive Party (SNS), as the next prime minister. Vučević’s proposed cabinet includes retaining Dubravka Đedović Handanović and Irena Vujović in their respective ministerial roles, with Vujović additionally taking on the role of deputy prime minister.

    Previously serving as deputy prime minister and minister of defense under Prime Minister Ana Brnabić, Vučević brings extensive political experience, having served as the mayor of Novi Sad from 2012 to 2022.

    Đedović Handanović, who assumed office in October 2022, has overseen significant developments in Serbia’s energy sector, including the country’s inaugural renewable energy auctions and the legal restructuring of the state-owned power utility, Elektroprivreda Srbije (EPS).

    Serbia is currently in negotiations with Hyundai Engineering and UGT Renewables for a strategic partnership to construct a series of solar power plants totaling 1.2 GW in peak capacity, along with battery storage, to be transferred to EPS upon completion.

    Last week, Minister Đedović Handanović inaugurated a desulfurization system at TENT A, Serbia’s largest coal-fired power plant. She is also scheduled to speak at the upcoming Belgrade Energy Forum on May 13, organized by Balkan Green Energy News.

    With 18 years of experience in the international banking sector, Đedović Handanović brings a wealth of expertise to her ministerial role, having previously served on the Executive Board of NLB Komercijalna banka, focusing on corporate and investment banking.

  • Women Lead Fight Against Copper Mine Pollution in Eastern Serbia

    Women Lead Fight Against Copper Mine Pollution in Eastern Serbia

    In a stirring display of resilience and determination, nearly two dozen women from various walks of life in eastern Serbia have emerged as the frontline defenders in a battle against environmental degradation caused by a nearby copper mine. These women, representing multiple generations and diverse professions including nursing, teaching, and homemaking, are rallying together to demand the relocation of their village, citing the severe pollution of land and water attributed to the operations of China’s Zijin Mining.

    Since January, as the male residents of the village continue their daily routines, these women have taken shifts guarding a barricade on a bridge in Krivelj, determined to obstruct the passage of trucks entering the mine premises. The mine, operated by Zijin’s subsidiary, Serbia Zijin Copper, has faced mounting scrutiny due to its environmental impact, prompting commitments from the company to address the concerns and facilitate the relocation of the affected community.

    In a recent development, Zijin has agreed to halt the transit of large trucks through the village, a concession welcomed by residents who temporarily lifted the blockade to allow necessary work to proceed. Despite the company’s efforts to relocate some villagers, the majority of the population, primarily Vlachs, Orthodox Christians deeply rooted in their heritage, remain steadfast in their demand to relocate as a unified community.

    Zijin has expressed its commitment to transparent and equitable relocation plans, engaging with all stakeholders involved in the process. Local authorities are optimistic about completing the relocation by the end of 2025, aiming to safeguard the well-being of the villagers and restore the integrity of their environment. Amidst the turmoil, sentiments of sorrow and determination resonate among the villagers, epitomized by Stana Jorgovanovic, a 79-year-old homemaker who reflects on the emotional toll of leaving behind her cherished village.

    In a poignant gesture of solidarity and resilience, fifteen of these women have chosen to share their stories and aspirations for the future through portraits captured in familiar settings that evoke a sense of safety and defiance. Whether standing on the village hillsides, within their homes, or at the barricade itself, these women embody a collective spirit of defiance against environmental injustice, determined to protect their families and advocate for their rights.

  • Chinese Mining Company Plans to Elevate Copper and Gold Operations in Serbia

    Chinese Mining Company Plans to Elevate Copper and Gold Operations in Serbia

    Zijin Mining, a prominent Chinese mining company, announced its ambitious plans on Wednesday to enhance copper and gold operations in Serbia, aiming to position the Balkan nation as the primary copper producer in Europe. Chen Jinghe, the chairman of Zijin Mining, revealed the company’s strategy to achieve an annual production target of at least 250,000 tonnes of copper and 10 tonnes of gold from its Serbian operations, indicating a slight increase from the previous year. Emphasizing a shift towards underground mining development, Chen articulated the company’s future investment direction during a press briefing.

    Zijin Mining, renowned for its significant contributions to the gold and copper industry in China, solidified its partnership with Serbia’s RTB Bor mining operation in 2018. The move aligns with China’s broader economic engagement in Serbia and neighboring Balkan countries, reflecting Beijing’s concerted efforts to expand its economic influence across central and eastern Europe. The increasing significance of China to Serbia’s economy was underscored by the country’s Minister of Trade, who ranked China as Serbia’s second most vital economic partner after the EU. This sentiment anticipates a potential visit by Chinese President Xi Jinping later in the year.

    In terms of trade, Chinese-owned enterprises emerged as dominant exporters in Serbia, with Zijin Mining leading the pack, followed by Zijin Copper and the HBIS group. Together, these entities accounted for a notable share of Serbia’s total exports, contributing approximately 8.7 percent to the country’s export revenue in the previous year. Furthermore, Serbia witnessed a substantial influx of foreign investment in 2023, with China emerging as the foremost investor, injecting 1.37 billion euros into various sectors, consolidating its position as a key economic stakeholder in the nation.

    However, amidst governmental praise and economic advancements, communities residing near the expansive mining facilities in Bor have voiced persistent opposition to the projects, staging protests since January. Demonstrations frequently disrupt local transportation routes, reflecting ongoing tensions surrounding environmental concerns and community welfare.

  • Strickland Metals Limited Acquires Rogozna Project in Serbia

    Strickland Metals Limited Acquires Rogozna Project in Serbia

    Strickland Metals Limited has finalized a binding share sale and purchase agreement (SPA) with ISIHC Ltd, a subsidiary of Ibaera Capital Fund LP, for the complete acquisition of Betoota Holdings Ltd (Betoota). Betoota, the proprietor of Zlatna Reka Resources d.o.o., possesses 100% ownership of the Rogozna Project, spanning four exploration licenses across approximately 184 km2 in the Trepca mining district of the southern Republic of Serbia. The project boasts a JORC compliant Inferred Mineral Resource amounting to 5.44 million oz Au Eq, supported by extensive historical drilling of 100,000 m, indicating significant exploration potential. Outgoing Chief Executive Officer Andrew Bray expressed enthusiasm over the acquisition, highlighting the strategic utilization of the company’s robust financial position to unlock substantial value for Strickland shareholders. The acquisition, primarily facilitated through the issuance of escrowed Strickland scrip, constitutes approximately 19.4% of the post-transaction capital structure. Serbia’s established mining jurisdiction and the project’s considerable upside potential in gold, copper, and zinc underscore the strategic significance of this acquisition. Strickland Chairman Anthony McClure commended Bray for his instrumental role in leading the company’s growth and expressed confidence in leveraging the strong balance sheet for further value creation.

  • Serbian Women Stage Blockade to Protest Encroaching Mine

    Serbian Women Stage Blockade to Protest Encroaching Mine

    In a small village in eastern Serbia, a group of women has mounted a blockade on a bridge, protesting against an open-pit copper mine that they argue is polluting their land and water. Led by 78-year-old Vukosava Radivojevic, these women take shifts day and night, determined to halt trucks from entering the mine operated by a subsidiary of China’s Zijin Mining.

    The mine, which dominates the village of Krivelj, has triggered concerns among residents about incessant noise, tremors, and pollution. While Zijin has relocated some villagers, those who remain, mostly Vlachs, seek to move collectively, citing environmental degradation and health risks.

    Despite assurances from Zijin’s subsidiary, Serbia Zijin Copper, about addressing environmental issues inherited from previous operators, residents remain adamant about the adverse effects of mining activities. Since Zijin took over operations in 2018, production has quadrupled, exacerbating pollution concerns and causing visible environmental damage.

    The blockade, established in January, has become a symbol of the community’s resistance. For the women involved, it has evolved into a communal space, equipped with heating and amenities, where they find solidarity and support. Their persistence has yielded some concessions, with Zijin agreeing to halt large truck traffic through the village.

    However, the battle is far from over as residents continue to advocate for their relocation to a safer environment. Discussions revolve around establishing a new village while preserving essential community institutions.

    According to a study commissioned by Zijin, published in December, Krivelj’s environment is heavily polluted with lead, arsenic, and cadmium, posing significant health risks. Despite the company’s investments in mitigating environmental impact, concerns persist among villagers regarding their safety and well-being.