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Rio Tinto’s lithium mining endeavor in Serbia: Environmental impact and controversies

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Rio Tinto, the mining giant, appears to have resumed its efforts to open a lithium mine in Serbia, despite the fact that the project has been officially suspended, not terminated. Furthermore, announcements from the European Union regarding negotiations with authorities in Belgrade over lithium suggest mounting pressure for Serbia to transition towards green lithium, thereby impacting both the country and Europe.

According to the company’s statement, the findings of the study indicate “that the Jadar Project can be executed safely while adhering to the highest domestic and international environmental standards.” The statement also acknowledges the presence of risks.

“These studies collectively provide an unbiased and independent analysis of potential environmental impacts, along with strategies to mitigate these risks. They begin by establishing the baseline conditions, identifying risks that could lead to potential detrimental effects on air, land, water, biodiversity, waste management, cultural heritage, and community life, and then outline in detail the measures the company will take to prevent, manage, and remediate these risks,” Rio Tinto stated.

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It is an established fact that mining is among the industries that have the greatest environmental impact, as evidenced by the case of Bor in Serbia.

Given that Serbia still lacks a Mining Strategy, which is expected to be finalized this year as the overarching document, more information about the Jadar project and lithium in Serbia will likely emerge at that time.

“When it comes to mining projects, as well as the construction of roads, power plants, and other infrastructure projects, commencing any work without an officially approved environmental impact assessment study by the competent state institutions of the Republic of Serbia is prohibited. This process includes public consultations and reviews by independent experts,” Rio Tinto emphasized in its statement.

According to the company’s plans, the involvement of non-governmental organizations, universities, academics, design firms, and the concerned public in future public discussions on the studies would contribute to the development of a high-quality project.

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The company also disputes information it deems unreliable that has surfaced in the Serbian media.

In their view, an intense disinformation campaign is being waged against the “Jadar” project, disseminating false news and baseless claims alleging that the project will have destructive, adverse effects on the environment and human health.

“These baseless and persistent accusations, without any supporting evidence, are designed to mislead the public and unnecessarily raise concerns among citizens. Scientific facts, affirmed by independent experts and presented in environmental impact studies, completely refute these false allegations,” Rio Tinto asserts.

According to the released statement, the draft studies are based on research conducted by over “a hundred domestic and international independent experts, including 40 university professors from more than 10 faculties.”

As stated by the mining company, the Jadar deposit represents a premier resource with the potential to establish the foundation for a new electric vehicle production chain in Serbia.

At full capacity, the Jadar project would annually produce approximately 58,000 tons of lithium carbonate, 160,000 tons of boric acid, and 255,000 tons of sodium sulfate.

The Serbian government revoked the permits for the proposed underground lithium-borate mining project in January 2022, as announced by Rio Tinto.

Serbia withdrew its support for the project due to widespread public discontent and protests that blocked a highway in Belgrade, clearly signaling concerns about environmental protection.

Challenges worldwide

The company has faced operational challenges in other European and global countries. In Australia, there was dissent in 2020, leading to the departure of senior executives and a parliamentary inquiry that recommended a review of local Aboriginal heritage protection laws.

In March last year, the U.S. Securities and Exchange Commission (SEC) accused the global mining and metals company Rio Tinto of violating the Foreign Corrupt Practices Act (FCPA) through a bribery scheme involving a consultant in Guinea.

The company agreed to pay a civil penalty of $15 million to settle the SEC’s costs.

According to Reuters reports from February, the company faces new pressure from socially conscious investors and lenders, this time regarding its water management practices at two of its mines.

The Local Authority Pension Fund Forum (LAPFF), representing British pension funds, expressed concerns about the company’s water management at its Oyu Tolgoi copper mine in Mongolia and ilmenite mine in Madagascar.

Additionally, reports from Politico indicate that citizens in Germany, Sweden, and Spain also oppose lithium mining.

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