European Metals flags potential improvements in delayed DFS

27th March 2024 By: Mariaan Webb - Creamer Media Senior Deputy Editor Online

European Metals flags potential improvements in delayed DFS

Dual-listed European Metals has delayed the publication of a definitive feasibility study (DFS) for the Cinovec lithium project, in Czech Republic.

However, chairperson Keith Coughlan expressed optimism on Wednesday, noting that the ongoing additional work held promise for significant project enhancements.

Originally slated for release in the first quarter, the DFS delivery has been postponed owing to continued engineering work and social and environmental engagement efforts. These efforts have unearthed potential improvements to the lithium processing component of the study.

European Metals said it would make an announcement before the end of April, detailing some of the significant issues.

The company affirmed that the process flowsheet remained consistent with the October 2022 announcement, and pilot testing results from November 2023.

European Metals also stressed the extension of the study period would not impact the overall project timeline, with permitting efforts aligning with the European Union’s (EU’s) Critical Raw Materials Act (CRMA).

The CRMA has been formally adopted and will shortly enter into force. The act will legislate for shorter and simplified permitting processes for European critical raw materials extraction projects.

In addition, the CRMA will provide the framework for the designation by the European Commission and member States of projects deemed "strategic projects". Such designated projects will receive political and financial support to enable the projects to reach production in the shortest timeframes possible, contributing to the fulfilment of the green transition and affording the EU a degree of critical raw materials independence.

As Europe's largest hard-rock lithium mining and processing project, the Cinovec project is applying for and is expected to receive strategic project designation under the CRMA.

The project has already been granted strategic process status under the EU's Just Transition Fund.