Politicians in Serbia are lobbying for Rio Tinto which is accused of corruption
“If we link that news to the fact that the politicians in power are lobbying so much for one Rio Tinto project after numerous independent experts declared that lithium mining will ecologically destroy Serbia, their motives seem very suspicious,” Manojlovic says for Danas daily.
He recalls that, before the elections, certain politicians in power said that they were done with Rio Tinto and that lithium mining was a finished story.
“They agreed to meet the demands of the people, have changed the relevant regulation and now they are starting to lobby for this company again.
At the same time, we hear that Rio Tinto settled with the American Securities Commission (SEC) to pay a fine of 15 million dollars, after an investigation into bribery in which a consultant from Guinea was also involved,” Manojlovic adds.
To remind, the Securities and Exchange Commission (SEC) announced charges against global mining and metals company, Rio Tinto plc, for violations of the Foreign Corrupt Practices Act (FCPA) arising out of a bribery scheme involving a consultant in Guinea.
The company has agreed to pay a $15 million civil penalty to settle the SEC’s charges.
The SEC’s order finds that, in July 2011, Rio Tinto hired a French investment banker and close friend of a former senior Guinean government official as a consultant to help the company retain its mining rights in the Simandou mountain region in Guinea.
The consultant began working on behalf of Rio Tinto without a written agreement defining the scope of his services or deliverables. Eventually the mining rights were retained, and the consultant was paid $10.5 million for his services, which Rio Tinto never verified.
The SEC’s investigation uncovered that the consultant, acting as Rio Tinto’s agent, offered and attempted to make an improper payment of at least $822,000 to a Guinean government official in connection with the consultant’s efforts to help Rio Tinto retain its mining rights, Serbian Monitor reports.
Serbia, Jadar is a project that will have to do with the modern economy
The United States Ambassador to Serbia, Christopher Hill, said that Rio Tinto is not just an ordinary mining project because it will have connections with the modern economy and said that he is trying to cooperate with the Government of Serbia on this issue and that the US is trying to support Rio Tinto, which is partly although not entirely an American company.
I think it’s important for Rio Tinto that people understand that this is not just a mining project. This is not just a project where something is taken out of the ground and exported. This is a project that will have to do with the modern economy.
In the end, the lithium extracted from the ground will be used for the production of batteries that will be installed in electric vehicles, said Hill in an interview with the portal Glas Šumadije.
He said that he is trying to cooperate with the Government of Serbia on this issue, and that the US should come to support Rio Tinto, which is partly, although not entirely, an American company.
I think it’s very important that everyone involved in this project has to respect the environment, and that’s the number one rule, Hill said.
The ambassador pointed out that “we should make an effort to point out to citizens the need for this project to connect them with the green agenda, the green economy, because that’s where they belong”.
Hill assessed that it is a very complex issue that should be dealt with by the people living in this area.
I’m sure everything will be fine if everyone works together and keeps the needs in mind in the future, Hill concluded, Danas reports.
Serbia: Starting in June 2022, Rio Tinto bought land worth at least 1.2 million euros in the vicinity of Loznica
Starting in June 2022, Rio Tinto bought land worth at least 1.2 million euros in the vicinity of Loznica, despite the fact that the Government of Serbia suspended the company’s lithium mining project “Jadar”, the Balkan Research Network (BIRN) announced.
BIRN also obtained a document from the company’s meeting with the Delegation of the European Union, in which, among other things, it is stated that Rio Tinto looks favorably on the local, and fears a potential national referendum on the “Jadar” project that was supposed to be carried out. in the vicinity of Lozica.
After a series of protests by environmental activists across the country and blockades of bridges and roads, the Government of Serbia, led by Ana Brnabić, stopped the “Jadar” project on January 20 last year and canceled all documents with the company Rio Tinto.
However, part of the public was not convinced that the project was completely suspended, but pointed out that it was only “frozen” until more favorable socio-political circumstances, reports Beta.
BIRN research shows that the mining corporation has definitely not “put an end” to the project. Only from June 2022 until today, the company has purchased at least 5.78 hectares of land in the vicinity of Loznica.
By cross-checking data from the Republic Geodetic Institute, BIRN found that Rio Tinto signed at least seven sales contracts with land owners in the villages of Gornje Nedeljica and Slatina – the first in June 2022 and the last in January 2023 – paying a total of more than 1.2 million euros.
The smallest contract is worth 15,000 euros, which is what Rio Sava, the Serbian subsidiary of the mining giant, paid for property on 457 square meters in Slatina, and the largest is 430,000 euros – what the company paid for almost 5,000 square meters, also in the municipality of Loznica.
Rio Tinto does not hide its desire to “revive” the project. Rio Tinto Ltd CEO Jacob Stausholm (Jakob Stausholm) said at a briefing for investors in Sydney in December last year that “Jadar” represents “unbelievable value”.
“We have to figure out how to do it. The only thing I would say today is that we didn’t give up,” Reuters reported his statement.
In a reply to BIRN, Rio Tinto points out that “the purchase of land is a continuation of previously assumed obligations of the Rio Sava company that refer to the period before the Government of Serbia in January 2022 invalidated the acts for the implementation of the project”.
Rio Tinto did not answer the additional question about what kind of “previously assumed obligations” are we talking about, considering that the contracts were certified months after the decision of the Government of Serbia, and the last two almost a year after the suspension of the project.
Battle for Lithium
In the hunt for lithium and other crucial minerals for the electric car supply chain, the United States must compete not just with Chinese competitiveness and manufacturing capability, but also with internal Western limits.
While the US does not appear willing to significantly change their Inflation Reduction Act, which will guarantee nearly $400 billion in “green” subsidies to companies operating in the US over ten years, and while the EU is preparing a response that could include a mix of further easing of state aid and the creation of a “sovereign” fund made up of the residues of the Recovery Plan and little else, but without the coveted (by the Italians) Eurobonds, Consider the case of lithium.
The price of this essential mineral for electric vehicles has more than quadrupled to $75,000 per ton by the end of 2022. It is required to seek for new sources and build refineries to process them. All of this, in accordance with Washington’s approach, without relying on supplies from Beijing or any other “hostile” country. According to the Financial Times, the Biden administration has given the Australians of Ioneer a 700 million dollar conditional loan to establish a mine and processing complex in Nevada. Mining might begin in 2026, but supply contracts with Ford and Toyota have already been struck. Production may support roughly 400,000 electric automobiles per year.
The Inflation Reduction Act’s public financial support for the supply chain is based, above all, but not exclusively, on benefits of up to $7,500 for buyers of electric vehicles produced by companies that procure components and raw materials in the United States or in countries with which Washington trades under a free trade regime, defined not as a formal treaty but rather as “friendship” and partnership.
The administration then invoked the Defense Production Act, a law enacted during the Korean War to direct domestic production toward the war effort, and has so far distributed 2.8 billion to approximately twenty companies involved in the electric vehicle supply chain, as well as activated agreements with Canada, the EU, the United Kingdom, and Australia to invest in critical extractive projects.
In the hunt for lithium and other crucial minerals for the electric car supply chain, the United States must compete not just with Chinese competitiveness and manufacturing capability, but also with internal Western limits. Beijing is aggressively forging partnerships in Africa and Latin America to get minerals in less demanding regulatory environments for use in its home refineries. In reality, China owns 80% of the world’s lithium hydroxide processing capacity, a structural advantage that will be tough to overcome in a reasonable amount of time. It is also required to address the internal limits associated with the mining activity’s permission processes. This is an objective problem in the United States, relating to environmental impact assessments.
Nevada has just one operational lithium mine, and another is awaiting a court decision after a fight with conservation groups safeguarding a rare species of wildflower. A similar tragedy befell a mining project in North Carolina, which failed due to environmental limits, forcing Tesla to rely on Canadian supply. The expansion of the EV chain necessitates mining, which has an environmental effect, as well as the building of processing capacity for these minerals, which necessitates time, money, and administrative difficulties. In the battle between Americans and Chinese, the latter has an obvious edge, owing to the relatively minimal limits imposed by local territory on the establishment of extraction and processing systems.
Europe is in the middle. Which engages in extractive project funding but risks being undermined by the appeal of American environmental subsidies? At the World Economic Forum in Davos, the White House’s special envoy for climate, John Kerry, asked the EU to move quickly on its own version of the Inflation Reduction Act, in order to shorten the development timelines of the Western approach. Because, in Kerry’s words, “money, money, money” is required. Even on our continent, attempts to build lithium mining and processing factories face stiff opposition from local residents.
Examples include the $2.4 billion Serbian Jadar mine project, which Rio Tinto’s Anglo-Australians aimed to exploit but which ended up stalled by the resistance of local communities, which led to the revocation of the initial authorizations by the Serbian government. Or the cancellation of a mining project in Portugal, by government decision.
To these obvious critical issues, which demonstrate that Green Mining is not an oxymoron, is added the European Chemical Agency’s (ECHA) request to classify lithium salts as dangerous to human health and, as a result, subject their extraction and processing to a more stringent and onerous regulatory framework. This might swing the cost balance in favor of imports rather than domestic manufacturing, with all of the associated geopolitical risks. The EU will have to give answers to these crucial operational and budgetary challenges. Keeping in mind that if the new “sovereign wealth fund” is simply a repackaging of the Recovery Fund’s unspent leftovers, individual nations with fiscal ability will act alone, posing a relative danger to the integrity of the single market, Europeans 24 writes.
Serbia stomps on Rio Tinto’s lithium mining project
In Serbia, Rio Tinto then faced a rude shock. The Serbian government, having praised the potential of the Jadar project for some years, abruptly abandoned it. “All decisions (connected to the lithium project) and all licenses have been annulled,” Serbian Prime Minister Ana Brnabić stated flatly on January 20. “As far as project Jadar is concerned, this is an end.”
Branabić insisted, somewhat disingenuously, that this decision merely acknowledged the will of voters. “We are listening to our people and it is our job to protect their interests even when we think differently.”
This is a bit rich coming from a government hostile to industry accountability and investment transparency. The same government also decided to begin infrastructure works on the jadarite mine before the granting of an exploitation permit. Such behaviour has left advocates such as Savo Manojlović of the NGO Kreni-Promeni wondering why Rio Tinto was singled out over, for instance, Eurolithium, which was permitted to dig in the environs of Valjevo in western Serbia.
Zorana Mihajlović, Serbia’s mining and energy minister, preferred to blame the environmental movement, though the alibi seemed a bit forced. “The government showed it wanted the dialogue … (and) attempts to use ecology for political purposes demonstrate they (green groups) care nothing about the lives of the people, nor the industrial development.”
Rio Tinto had been facing an impressive grass roots militia, mobilised to remind Serbians about the devastating implications of proposed lithium mining operations. The Ne damo Jadar (We won’t let anyone take Jadar) group has unerringly focused attention on the secret agreements reached between the mining company and Belgrade. Zlatko Kokanović, vice president of the group, is convinced that the mine would “not only threaten one of Serbia’s oldest and most important archaeological sites, it will also endanger several protected bird species, pond terrapins, and fire salamander, which would otherwise be protected by EU directives.”
Taking issue with the unflattering environmental record of the Anglo-Australian company, numerous protests were organised and petitions launched, including one that has received 292,571 signatures. Last month, activists organised gatherings and marches across the country, including road blockades.
Rio Tinto’s response to the critics was that of the seductive guest keen to impress: we have gifts for the governors, the rulers and the parliamentarians. Give us permission to dig, and we will make you the envy of Europe, green and environmentally sound ambassadors of the electric battery and car revolution.
The European Battery Alliance, a group of electric vehicle supply chain companies, is adamant that the Jadar project “constituted an important share of potential European domestic supply.” The mine would have “contributed to support the growth of a nascent industrial battery-related ecosystem in Serbia, contributing to a substantial amount to Serbia’s annual GDP.” Assiduously selective, the group preferred to ignore the thorny environmental implications of the venture.
The options facing the mining giant vary, none of which would appeal to the board. In a statement, the company claimed that it was “reviewing the legal basis of this decision and the implications for our activities and our people in Serbia.” It might bullyingly seek to sue Belgrade, a move that is unlikely to improve an already worn reputation. “For a major mining company to sue a state is very unusual,” suggests Peter Leon of law firm Herbert Smith Freehills. “A claim under the bilateral treaty is always a last resort, but not a first resort.”
Another option for punters within the company will be a political gamble: hoping that April’s parliamentary elections will usher in a bevy of pro-mining representatives. By then, public antagonism against matters Australian will have dimmed. The Serbian ecological movement, however, is unlikely to ease their campaign. The age of mining impunity in the face of popular protest has come to an end, Dissident Voice writes.
Serbia and lithium, black and not green
If, in addition to 11,400 tons of metal lithium, 100,000 electric cars were produced annually in Serbia, this would increase carbon dioxide emissions by at least 1.15 million tons or by an additional 3.5 percent.
In addition to the justified concern for damage (pollution of underground and surface water, devastation of forests and agricultural land) that can be produced by the mine and processing plants for obtaining compounds of lithium and boron in the Jadar river valley, there are also less well-known harmful consequences that these activities, and the eventual launch of the production of electric cars in Serbia, I can have.
According to data published in February 2021 by the Rio Sava Exploration company itself, the mine would annually produce about 60,000 tons of lithium carbonate (Li2CO3) or about 11,400 tons of metallic lithium. Without going into the issue of mining, the brochure states that the processing plant would consume 80.8 million cubic meters of natural gas per year, which would increase the consumption of that energy source in Serbia by 3.1 percent, given that in 2020, 2,265.96 million cubic meters.
The annual emission of carbon dioxide CO2, the main cause of global warming, in the technological process of lithium carbonate and boric acid production would be between 526,000 and 620,000 tons, which is an increase of 1.22 to 1.44 percent of the total emission in Serbia, which is 2020 amounted to 43 million tons.
In that estimate, in addition to CO2 emissions due to the burning of 80.8 million cubic meters of natural gas and during production, other necessary chemicals that would be used in the technology of obtaining lithium carbonate and boric acid, as well as the effects of the use of 60,000 tons of calcium oxide (quick lime), 320,000 tons of sulfuric acid, 188,000 tons of different types of cement, 110,000 tons of sodium carbonate (Na2CO3) for the deposition of lithium carbonate, while on the other hand, the destruction of more than 520 hectares of forest and agricultural land will permanently destroy the assimilation of atmospheric carbon dioxide. This assessment does not include gas emissions from various means of transport, bulldozers, trucks, commercial passenger cars, necessary for the functioning of the mine, production plant and administration.
According to official announcements, Serbia is ready to invest significant funds in the gigafactory for the production of lithium-ion accumulator batteries (LIB), and later also electric cars. With the optimistic estimate that 100,000 electric cars with a 50 kWh battery will be produced annually, this would increase carbon dioxide emissions by an additional 500,000 tons or 1.16 percent, because it is known that one kWh battery emits about 100 kilograms during production. CO2. For the production of electric cars without batteries, which include various metals, plastics, glass, rubber, approximately five to six tons of CO2 are emitted per vehicle, or 500,000 to 600,000 tons for 100,000 vehicles, which would increase the emission by 1.16 to 1, 4 percent.
All together, the production of lithium and 100,000 electric cars would annually emit about 1,150,000 tons of CO2 into the atmosphere, which means that the annual emission of greenhouse gases would increase by at least 3.5 percent. In other words, each electric car would emit about 11,500 kilograms of CO2. The same amount of CO2 would be emitted by the consumption of 4,420 liters of diesel in ordinary cars (a liter of diesel releases 2.6 kilograms of CO2). This means that with an average consumption of five liters per 100 kilometers, a diesel car would travel 88,400 kilometers before the electric car even leaves the factory.
The EU is planning or has introduced taxes of 50 euros per ton of CO2, so increased emissions would expose Serbia to a cost of at least 75 million euros per year (50 euros times 1,150,000 tons). In addition, it should be noted that the production of just one kWh of lithium-ion battery requires 328 kWh of different types of energy, and Serbia, in addition to importing gas and oil, has been importing electricity for more than a year, and the prices of all energy products are at record levels.
With all that, even if Serbia were to produce 100,000 electric cars a year, which is unlikely, with a 50 kWh battery, it would require about 800 tons of lithium metal. So, only seven percent of the total annual production in Jadro, while Rio Tinto could sell the remaining 93 percent to whoever it wants. Of course, Serbia would also buy lithium from him at realistic, market prices.
In addition to lithium (its share ranges from four to ten percent), positive (cathode) materials contain many other expensive and rare metals, cobalt, manganese and nickel, which Serbia does not have and would have to be imported, and the price of cobalt on the world market has varied from 30,000 to 90,000 dollars per ton in the last five years.
Many were also surprised by the announcement of the Memorandum of Understanding between the Government of Serbia and the Slovakian company InoBat, one of whose investors is Rio Tinto, on the construction of a gigafactory for the production of lithium-ion storage batteries with an innovative, revolutionary approach (?!), but on the basis of already well-known nickel-manganese-cobalt cathodes NMC622.
By looking at InoBat’s website, it can be seen that they have developed only one so far prototype of a lithium-ion battery, giving virtually no specifications of that prototype, such as voltage, specific capacity, energy, etc. The internet presentation does not show any mini-factory built so far, so the construction of a giga-factory of this extremely technologically demanding production is highly debatable. Of course, the presentation showed fantasies about flying cars, plant sketches, and a modern, in my humble opinion, average typical laboratory with empty desks, as if drawn.
If all these ideas and projects come to fruition, the crucial question is how to charge such “green” electric cars. The most environmentally acceptable solution is solar energy. The problem, however, is that a quick, half-hour charging of an electric car with a 50 kWh battery requires about 100 kW of electrical power. Therefore, the minimum area of the solar collector would be 800 square meters (dimensions 28 by 28 meters), because an average solar collector of 1.6 square meters (meter by 1.6 meters) and in ideal conditions gives a power of 0.275 kW, and in an average of 0.2 kW.
A multi-car charging station would have to have a huge area for the installation of solar collectors, which is technically unfeasible in urban conditions. And if solar photovoltaic panels were to be installed outside cities, even greater problems of transmission and distribution of that energy would arise. The relatively low DC voltage of the solar photovoltaic collectors would first have to be converted into alternating current by special devices, inverters, and then the voltage should be raised to a much higher value with transformers in order to reduce losses, transmission lines with copper wires should be built, and transformers again in order to reduced the voltage to a usable value and finally installed rectifiers alternating to direct current, which all represent huge investments. Aside from the fact that six to eight tons of carbon dioxide is released to produce a ton of steel for transmission lines and copper for conductors.
An even bigger problem is that solar collectors cannot work 24 hours a day, so additional accumulators are necessary to store surplus solar electricity, so that electric cars can be charged during the night, and all this produces new construction and maintenance costs.
Wind energy (wind generators) is a special story because of the big environmental consequences and oscillations (no wind, no electricity), and they are mostly built on fertile Vojvodina soil to reduce transport costs from locations like Stara Planina.
Because of all this, electric cars would probably be powered by electricity obtained from thermal power plants, because around 70 percent of electricity is produced by burning lignite in Serbia. Considering that 1,490 kWh of electricity can be produced from one ton of lignite from Kolubara, for 100 chargings on average, each electric car would consume 3.3 tons of lignite per year. Therefore, only 10,000 electric cars would increase coal consumption in Serbia by 33,000 tons, and electricity by as much as 50 GWh per year.
Certain parts for electric cars are also problematic. The construction of a lithium-ion battery consists of a positive and negative electrode, a thin porous separator that prevents their contact, and an electrolyte. The last two parts are the main causes of battery fires and explosions. Accidents accompanied by fire and explosion are mainly caused by uncontrolled overheating of batteries, manufacturing errors, damage to batteries in collisions… Self-ignition of a battery always causes an internal short circuit, which occurs when an electrical circuit is formed inside the cell, due to damage to the separator and the formation of an electrical connection between the positive and negative electrodes. The most common cause is corrosion of the negative copper collector, which occurs when the cell discharges below 30 percent capacity.
A battery pack in some electric vehicles can store up to 100 kWh of electricity, and when ignited it can release from two to twenty kilograms of hydrogen fluoride, which is enough to contaminate between 80,000 and 800,000 cubic meters of air. It is unimaginable what would happen in a chain collision of several such cars, because inhaling hydrogen fluoride can cause laryngospasm, laryngeal edema, bronchospasm and/or acute pulmonary edema, and in the most severe cases it can be fatal. According to the standards of the American National Institute for Occupational Safety, a concentration of 24.5 milligrams of hydrogen fluoride per cubic meter of air for 30 minutes is immediately dangerous to life and health, while the latent (lethal) concentration is 139 mg/m3.
An internal short circuit caused by a manufacturing defect is believed to be the root cause of both the 2013 Boeing 787 battery accident and the 2016 Samsung Galaxy 7 cell phone battery explosion. As of February 2022, there were 354 (or about 22 per year) confirmed air/airport incidents involving lithium batteries transported as cargo or baggage.
“In an effort to minimize potential damage to the facility”, and nearby vehicles in rare cases of potential fire, we recommend parking outdoors and 15 or more meters from another vehicle. In addition, we still insist that you do not leave your vehicle unattended while it is charging, even if you are using a charger in an open parking lot,” said Dan Fowlers, a spokesman for General Motors, as reported by the Detroit News on September 17, 2021. That safety “recommendation” came is just days after a 2019 GM Chevrolet Bolt caught fire in the garage of a home in Cherokee County, Georgia.
The owner realized something was up when the smoke alarm in his house went off. When he entered the garage, he noticed smoke billowing from his electric car, which was completely destroyed. Chevrolet has recalled more than 140,000 of the model so far, but is still working with supplier LG Energy Solution to determine the cause of the battery damage that led to the fire.
On November 23, 2022, firefighters used an enormous 45,425 liters of water to extinguish the Tesla Model S fire. Unfortunately, the fire is very difficult to extinguish because it is an internal combustion in the cell, where water cannot reach. By comparison, a standard car fire generally requires less than 2,000 liters of water. In Australia in 2021, it took three full days to put out the big battery fire at the Victorian Big Battery in Moorabbin, near Geelong. The fire started during testing in a shipping container containing a 13-ton lithium-ion battery and spread to another battery pack.
These are just some of the accidents with lithium-ion batteries. The predicted exponential growth of their application in the near future, as well as the purchase of cheaper systems with less security, leads to the thought of a drastic increase in such relatively sporadic cases, with unforeseeable consequences, especially if electric cars catch fire in densely populated urban areas or in a tunnel.
Considering the large emission of carbon dioxide during production, the possibility of self-ignition, the lack of resources for the production of a large number of lithium-based electric cars, the synergy of different alternative sources should be considered. Some of the alternatives in the near future are sodium-ion batteries, hydrogen energy and fuel galvanic couplings, as well as liquid and gaseous biofuels (biodiesel, bioalcohols, biogas), which do not pollute the environment, since the amount of carbon dioxide produced by their combustion is equal to the amount that would be released by rotting the biomass from which they are obtained. The possibilities are unlimited, and clean energy is all around us, we just need to recognize it and use it, NiN writes.
The story of Serbian lithium is once again in the revival phase
That nothing is “cemented” in politics is shown by the revival of the story about lithium and its exploitation by the same actors, and some new ones, not caring much about what they said about it recently, before the elections.
The story of Serbian lithium is once again in the revival phase, even though, allegedly, the topic was put to rest at the beginning of the year. We all remember well when Prime Minister Ana Brnabić declared on January 20 that the government canceled the decree on the Spatial Plan of the special purpose area for the implementation of the jadarite ore exploitation and processing project, as well as that all administrative acts related to the company “Rio Tinto” and its daughter company “Rio Sava”. “All the decisions, all the permits, and we never had the contracts were annulled… This is the end of the ‘Jadar’ and ‘Rio Tinta’ project,” said the Prime Minister at the time, after the session of the Government of Serbia.
This was preceded by mass environmental protests because the mining of the famous “kryptonite”, due to the way of exploitation, can bring more harm than good. Those claims were the main slogans of the protests that took place on Saturdays for three weeks in a row, where tens of thousands of citizens expressed their displeasure and blocked the most important roads.
Due to protests and expressed fear of an ecological disaster, even the denounced multinational concern “Rio Tinto”, whose intention is to invest 2.4 billion dollars in the project to build the largest lithium mine in Europe and one of the largest in the world, decided to stop the project. Jadar”. At least that’s what Vesna Prodanović, general director of “Rio Sava”, the daughter company of this British-Australian mining giant, said.
This stoppage and the promises from “Rio Tinto” were preceded by several decisions of state and local authorities. After visiting Jadar and talking with the locals, Serbian President Aleksandar Vučić did not sign the Law on Expropriation and that act will not be in the procedure until further notice, while the Law on Referendum was sent back to the Assembly for correction, so the controversial parts of that act were urgently changed at the request of the alarmed public.
The Assembly of Loznica, a city of 20,000 inhabitants, in December canceled the spatial plan that envisages a mine in that area, and all after the announcement of the President of Serbia and the ruling Serbian Progressive Party (SNS) that this will be done and that in the future they will deal with “Rio Tinto” talk differently.
Moratorium and protests
At the beginning of the new year 2022, after Christmas, the President of Serbia stated that he expects the Government of Serbia to terminate all contracts with “Rio Tinto”, but also that his position is that they should not “disrespect the people”. Moreover, he expressed the opinion that a moratorium should be adopted until the end of the year so that the state does not lose its chance and money.
Discordant and, at times, contradictory statements from the top only increased the suspicion of environmental movements and protesters, which is why they insisted on a 20-year moratorium on lithium and boron mining, rather than a one-year moratorium. In that period, the collection of signatures for a people’s initiative proposing the adoption of a law for a permanent ban on the exploitation of lithium and boron began. 38,000 signatures were collected and the initiative was submitted to the Serbian Parliament, but it has not been put on the agenda to this day.
If we look back at the legal and financial sphere, even then everything was not clear and simple, despite political statements or precisely because of them. For the government, which claimed that environmental protection protocols would be respected, it was important that the lithium and boron ore reserves near Loznica are 158 million tons, the calculated value of which is 56 billion dollars, with initial investments of 1.5 billion dollars. The Minister of Mining and Energy at the time, Zorana Mihajlović, stated that Serbia could cover 12 percent of the world’s lithium needs with that project, noting that the value of proven mineral values in Serbia is more than two hundred billion euros.
Was that one of the reasons why President Vučić declared on the eve of the New Year that the “Jadar” project would not be withdrawn even though “some opposition politicians” requested it? Or perhaps it is what the director of the company “Rio Sava” Vesna Prodanović said, that the investment in “Jadar” is the subject of the Bilateral Agreement between Serbia and the United Kingdom from 2002, ratified in 2004, and that that document foresees internationally recognized investment protection mechanisms. Prodanović announced that “Rio Tinto” had allocated 450 million dollars for the development of the “Jadar” project until then, and that in July 2021 it had made a decision to allocate 2.4 billion dollars, provided that it receives the necessary permits and approvals.
Speaking about the protests due to the intention of the company “Rio Tinto” to exploit lithium in the Jadra valley, Vučić said that the company was brought to Serbia and those calling for the protests committed themselves to it through Great Britain. “Will you provide the billion euros we should pay for what they signed?” Or is it better to find a better way to solve the problem. It is important that there is a moratorium, no further activities of ‘Rio Tinta’. We will see what will happen next”, said the President of Serbia in the New Year edition of Večernje Novosti.
That “we’ll see” is just happening. “Rio Tinto” not only did not “bury” its plans, but the CEO of “Rio Tinto” Jakob Stausholm stated that the mining company did not give up on the lithium project “Jadar”, pointing to the reality that it is an incredible resource. That the world needs him. That Serbia needs him… “We have to figure out how to do it. The only thing I would say today is that we haven’t given up,” Stausholm said at a conference for investors in Sydney.
His statement comes at a time when the Government of Serbia is still in the mode of suspending this project, which it has stated on several occasions in recent months that it has been shut down, but also at the end of the “moratorium until the end of the year” that President Vučić spoke of, who today says that he still regrets that he made the decision for Serbia to abandon lithium mining and that because of that he “turned out to be the stupidest president in the world”. Commenting on the protest of environmental activists in front of the Serbian Government building, Vučić told TV Pink that the government did not make any decision, but that he decided everything himself.
“I don’t understand why they protested in front of the government.” When they protest, they should protest in front of the presidency and I will address them and tell them nicely – people, you are destroying the country. The price today is 82,500 dollars per ton of lithium, with these reserves it is 100 billion, because you understand what you are doing to Jadr, Osečina, Valjevo and the whole of Podrinje”, said Vučić and pointed out that Loznica would receive five billion euros from lithium mining and that was the best for the country, but that citizens believed in conspiracy theories, and that the protest leaders were “paid by foreign foundations”.
And Prime Minister Brnabić, who once said that the story of “Rio Tinto” has been put to an end, a few days ago she assessed that lithium is a huge opportunity for Serbia. “Before the discovery of oil, Norway was one of the poorest countries in Europe, and after that it was one of the richest. This is equivalent to that. I made the decision to suspend the ‘Jadar’ project because of political attacks on President Vučić and SNS before the elections, but I still think that it is the biggest development opportunity”, Brnabićeva pointed out, adding that she does not see the possibility of reviving the project.
Therefore, it was just a pre-election story, her opponents from the opposition will say, claiming that the new Minister of Mining and Energy, Dubravka Đedović, wants to bring back the “Jadar” project, which the citizens opposed with mass protests, with her statements. They conclude that from her announcements, immediately after the formation of the Government of Serbia, that Serbia will be an important source of rare minerals in the world in the coming period. In addition to gold, silver, copper, zinc, it is also rich in lithium and therefore, as announced, the state will continue to develop mining while respecting environmental protection standards.
Regarding lithium specifically, Minister Đedović said that Serbia is lucky to have reserves of a very important mineral necessary for renewable sources, which are the focus of the whole world. “I think that Serbia should consider how it can use that potential.” It is mine to look at, to consider, to see what has been done, what has not been done and why it has not been done. But all countries that have a natural resource and do not use it are at a loss,” said the minister and stated that there is no use of a natural resource that is not harmful to the environment, but that the only question is what measures will be taken to reduce the risks. minus. The Minister of Mining says that geological research is currently being carried out in Serbia on 178 exploration fields – among which copper, gold, lead, zinc and silver are the most represented.
For the profession, such investigative rights are questionable and debatable because, as Ratko Ristić, a professor at the Faculty of Forestry at the University of Belgrade, often said, one should know that no company will invest hundreds of thousands and millions of euros because it loves Serbia, rather than to obtain exploitation rights. And these are mostly private mining companies that are interested in profit, not public interest. That is why, according to Professor Ristic, it is very important for Serbia that the Ministry of Mining and Energy starts to share exploration rights that are in the public interest, those that will strengthen the geological capacities of the country, primarily the Geological Survey of Serbia, whose experts used to do all the research, and now they are demoted.
Looking for an alternative
There are also new elements in the whole story, such as the search for alternative companies to “Rio Tintu”. German and Chinese companies have already been mentioned because both of them have the possibility to invest in a lithium battery factory and a plant for the production of electric cars that use such batteries in addition to the mine. Allegedly, the opening of the technological center of the American manufacturer of electric cars “Rivian” should confirm that the state will not agree to the mining of lithium and its export if factories for the production of batteries and electric cars are not opened here.
In such an atmosphere, a session of the Parliamentary Committee for Environmental Protection was scheduled for the end of November, but with bizarre twists and turns because the session took place simultaneously in two places. In the Parliament of Serbia, a meeting of the Committee was held, which was scheduled by the Deputy Chairman of the Parliamentary Committee for Environmental Protection, SNS MP Milimir Vujadinović, with the only agenda item on the use of lithium in Serbia, with reference to the impact on the environment and the overall economic development of the Republic of Serbia, as stated on the portal of the Parliament of Serbia.
At the same time, a meeting was held in Loznica, which was scheduled by the chairman of the Committee for Environmental Protection, Aleksandar Jovanović Ćuta, who will state that on November 15, he properly scheduled a meeting of the Committee in Loznica for November 25, and that subsequently his deputy Vujadinović convened the meeting in an hour later in the building of the Serbian Parliament. The session in Belgrade was attended by ten members of the board, thus providing a quorum for work. The Minister of Environmental Protection Irena Vujović and the Minister of Mining and Energy Dubravka Đedović were also there, as well as the professors of the Faculty of Mining and Geology Dinko Knežević and Nikola Lilić.
It was at that meeting that Minister Đedović said that “the decree of the Government of Serbia for the ‘Jadar’ project was canceled before the Environmental Impact Assessment Studies, which were supposed to be available to the public and be the subject of public discussion, were completed.”
One should not be too perceptive and, based only on what has been said in relation to lithium in recent days, conclude that the “Rio Tinto” project is not dead but that it is slowly coming back because due to the lack of funds, our country is not able to conduct research on its own and that the work is generally left to foreigners. Concessions for the exploration of raw material deposits that Serbia approves last for a maximum of 30 years, after which the state, if something remains in the deposit, can exploit it itself.
And as for the prime minister’s reference to the example of Norway, we should repeat what Pechat already wrote on that topic. Unlike the oil-rich Arab countries, the Norwegians kept everything in their hands, sales above all. That is why many domestic skeptics believe that all this makes sense only if our country is the exclusive owner of that wealth. Since the prospects and quantities of jadarite deposits have a strategic importance for Serbia, the exploitation of the ore and its eventual finalization should not be left to foreigners, who, in that case, would take all the profit and leave us with crumbs and tailings wastelands, such as those near Bor. The Norwegian example speaks volumes about this – both in terms of profit and in terms of ecology, Standard writes.
Serbia, Rio Tinto have not given up on the Jadar project
The CEO of Rio Tinto Ltd., Jacob Stausholm, said that the company has not given up on the “Jadar” lithium project in Serbia, TV N1 reported today.
Reuters reported that Stausholm said at a briefing for investors in Sydney that “Jadar” represents “unbelievable value”, he said.
Reuters recalls that Rio Tinto announced in July that it was “exploring all options” regarding the Jadar project when it comes to local community concerns.
The Prime Minister of Serbia, Ana Brnabić, recently stated that she does not see the possibility of the “Jadar” project being revived, but that she still regrets it, because, according to her, it was a historic opportunity for the development of Serbia.
Serbian President Aleksandar Vučić said last night on RTS that he likes to talk about lithium, “that it is terribly important and that we made a terrible mistake by stopping the ‘Jadar’ project.”
Although, at least officially, mining of lithium has been abandoned, according to the Handelsblat daily, Serbia is one of those countries that, according to Germany’s plan, should be encouraged to exploit lithium in order to strengthen European battery production and reduce dependence on China.
It is, as stated, a secret document that Berlin submitted to the European Commission (EC) which lists 20 specific proposals and projects that should start the EU’s “Global Gateway” initiative from the deadlock in response to the Chinese project. Belt and Road” and infrastructure investments.
Not a single lithium mine has yet been opened in the EU, although it is planned that the EU will reach zero carbon dioxide (CO2) pollution by 2050, and that tens of millions of electric cars will be driven by 2030.
There are projects that are in the development phase. Lithium is extracted only in Portugal, but for the needs of ceramics, while the opening of a large mine, like the one planned in Serbia, is still awaited. The reasons are expected, namely the negative impact of the mine on the environment.
The Barroso project in Portugal was supposed to be the first large-scale lithium mine in the EU, but the opening has been delayed several times, sometimes indefinitely.
In 2021, the first temporary permit was issued after a preliminary environmental impact report. However, it stopped there, because water pollution, energy consumption, steps after digging and crushing were not solved. In addition, the mine is strongly opposed by the local population and environmental associations.
Optimists believe that the mine could start working in 2023, since at the beginning of this year the government of Portugal approved it in principle, however, the municipalities where the mines should be opened announced the initiation of the procedure for the ban on mining.
It was originally announced that 10 percent of the world’s reserves were located there, but until today the projection was reduced to one percent. The estimated capacity is 27 million metric tons, and the company that wants to mine in Portugal is Savannah resources.
While the uncertainty continues, the Portuguese government has announced that they will not be in a hurry to grant permits.
Several more lithium mines are planned in the EU, and the best-known example is in Germany, where a project is underway where lithium would be obtained with the help of geothermal energy for the extraction of lithium-rich salt water from the Upper Rhine. The final product lithium hydroxide would then be obtained by electrolysis. That lithium should have a zero point of carbon pollution, however in Germany they want to avoid water pollution as well.
The entire project was conceived as an isolated system where the water would be completely purified, and only then released. This is a new approach with obtaining lithium from water, according to the first estimates it pollutes the environment far less than mines.
Research is underway, started in 2021, and this year the State Institute for Geology and Mining determined that the impact of the planned wells on the environment, taking into account their size, scope and intensity of action, cannot be assessed as significant. If everything goes according to plan, the beginning of commercial exploitation is possible from 2025.
The French company Imeris has announced that in 2028 it will start mining a lithium deposit in the Central Massif, which should last 25 years. Since the second half of the 19th century, the site has been home to a quarry that produces 30,000 metric tons of kaolin per year for tile production.
This company states that with 34,000 metric tons of lithium hydroxide per year, they would enable around 700,000 electric vehicles to be equipped with lithium-ion batteries.
The “Cinovec” project, implemented by European Metals Holding, is 100 kilometers from Prague in the Czech Republic. It aims to produce nearly 30,000 metric tons of lithium for batteries annually over a period of 25 years.
According to the 2022 feasibility study of European Metals, “Cinovec” has the potential to become the cheapest lithium rock producer in the world. The ore could produce at $5,000 to $6,000 per metric ton.
It is not yet known whether that will happen, just as it is not known when the mine could start operating. “Cinovec” is, they say, the fourth largest deposit without salt water in the world. With the completion of the investment in April 2020, the project started the work program, but not the production.
An updated Preliminary Feasibility Study (PFS) for the project was completed in June 2019 when the Final Feasibility Study was initiated but not yet complete. This mine is located close to companies that make cars, but also to Tesla’s giga battery factory.
European Lithium is developing the Wolfsberg project in Carinthia, 270 kilometers south of Vienna. This mine project plans to mine 10,000 metric tons of lithium hydroxide per year.
According to the company, this will equip the batteries of around 200,000 electric vehicles. They hope to achieve an operating rate of 800,000 metric tons per year with a mine life of over 10 years. The company expects to start production in 2025.
Finnish mining and battery chemicals company Keliber is currently running a project in western Finland with the goal of reaching production of 15,000 metric tons of lithium hydroxide per year, starting in 2025. The company also strives for sustainable production.
The lithium they plan to extract will, they say, have a smaller carbon footprint than the competition. This is because the refinery is located 70 kilometers from the mine. More than half of the electricity in the Finnish national grid is produced from renewable energy sources. As a result, the refining process will be more environmentally friendly.
In addition to the above, there are several other projects in Europe that are in the development phase. The presence of lithium in several other locations is also being investigated in Serbia.
As things currently stand, more serious lithium production in Europe, that is, the European Union, will not begin before 2025.
The pressure of industries and large capital will certainly increase, and the rise in the price of lithium, which is expected to increase several times over the next decade, is also certain.
Whether the EU will succeed in reconciling mining projects with environmental standards or whether it will enter the green transition with potential devastation on its own or surrounding soil, will be seen soon. The EU certainly needs supply chains that are closer to the continent, but also non-Chinese supply.
The European Green Deal of 2020 indicated that some environmental standards would be lowered, while the RipoverEU plan, published after Russia’s attack on Ukraine, further prioritized the switch to renewables as part of efforts to rapidly reduce use of Russian fossil fuels, Beta writes.
Serbia is one of those countries that should be encouraged to exploit lithium
Although Serbia has at least officially abandoned lithium mining, according to the Handelsblat daily, our country is one of those countries that, according to Germany’s plan, should be encouraged to exploit lithium, in order to strengthen European battery production and reduce dependence on China.
It is in question, according to a secret document submitted by Berlin to the European Commission, which lists 20 specific proposals and projects that should start the EU’s “Global Gateway” initiative from a deadlock in response to China’s “Belt and Road” project and infrastructure investments.
And how are things in the European Union when it comes to lithium mines?
Although it is planned to reach zero carbon dioxide (CO2) pollution by 2050, and tens of millions of electric cars will be on the streets by 2030, not a single lithium mine has yet been opened in the European Union. Instead, there are projects that are in the development phase. More precisely, lithium is extracted only in Portugal, but for the needs of ceramics, while the opening of a large mine like the one planned in Serbia is still awaited.
The reasons are expected, namely the negative impact of the mine on the environment.
Barroso Project, Portugal
The Barroso project in Portugal was supposed to be the first large-scale lithium mine in the European Union. It is not known whether it will actually happen. The opening, which was planned several times, was postponed, sometimes for a certain time, and sometimes for an indefinite time.
In 2021, the first temporary permit was obtained after the preliminary environmental impact report. However, it stopped there, because water pollution, energy consumption, steps after digging and crushing were not solved. In addition, the mine is strongly opposed by the local population and environmental associations. Similar to what was seen in Serbia.
However, optimists when it comes to the opening of the mine believe that it could start operating in 2023, since the government gave the “green light” at the beginning of this year. However, the municipalities where the mines are to be opened have announced the initiation of the procedure to ban mining.
It was originally announced that 10 percent of the world’s reserves were located there, but until today the projection was reduced to one percent. The estimated capacity is 27 million metric tons, and the company that wants to mine in Portugal is Savannah resources.
While there is uncertainty about this mine, the Portuguese government has announced that they will not be in a hurry to grant permits for further research when it comes to lithium.
Apart from Portugal, several more lithium mines are planned in the European Union.
Vulcan Project, Germany
After Portugal, about which there is the most data, perhaps the most famous example is in Germany, where work is being done on a project where lithium would be obtained with the help of geothermal energy for the extraction of lithium-rich salt water from the Upper Rhine. The final product lithium hydroxide would then be obtained by electrolysis. That lithium should have a zero point of carbon pollution, however in Germany they want to avoid water pollution as well.
The entire project was conceived as an isolated system where the water would be completely purified and only then released. This is a new approach with obtaining lithium from water, according to the first estimates it pollutes the environment far less than mines.
Research is underway, started in 2021, and this year the State Institute for Geology and Mining determined that the impact of the planned wells on the environment, taking into account their size, scope and intensity of action, cannot be assessed as significant. If everything goes according to plan, the beginning of commercial exploitation is possible from 2025.
The Emily Project, France
The French company Imeris has announced that in 2028 it will start mining a lithium deposit in the Central Massif, which should last 25 years. Since the second half of the 19th century, the site has been home to a quarry that produces 30,000 metric tons of kaolin per year for tile production.
This company states that with 34,000 metric tons of lithium hydroxide per year, they would enable around 700,000 electric vehicles to be equipped with lithium ion batteries.
Cinovec, Czech Republic
The Cinovec project, located 100 km from Prague in the Czech Republic, is being implemented by European Metals Holding. It aims to produce nearly 30,000 metric tons of lithium for batteries annually over a period of 25 years.
According to a 2022 feasibility study by European Metals, Cinovec has the potential to become the cheapest lithium rock producer in the world. The ore could produce at $5,000 to $6,000 per metric ton.
It is not yet known whether that will happen, just as it is not known when the mine could start operating. According to their statement, Sinovec is the fourth largest deposit without salt water in the world. With the completion of the investment in April 2020, the project started the work program, but not the production.
An updated Preliminary Feasibility Study (PFS) for the project was completed in June 2019 when the Final Feasibility Study was initiated but not yet complete. This mine is located close to companies that make cars, but also to Tesla’s giga battery factory.
Wolfsberg Project, Austria
European Lithium is developing the Wolfsberg project in Carinthia, 270 km south of Vienna. This mine project plans to mine 10,000 metric tons of lithium hydroxide per year.
According to the company, this will equip the batteries of around 200,000 electric vehicles. They hope to achieve an operating rate of 800,000 metric tons per year with a mine life of over 10 years. The company expects to start production in 2025.
Project Keliber, Finland
Finnish mining and battery chemicals company Keliber is currently running a project in western Finland with the goal of reaching production of 15,000 metric tons of lithium hydroxide per year starting in 2025. The company also strives for sustainable production.
The lithium they plan to extract will, they say, have a smaller carbon footprint than the competition. This is because the refinery is located 70 km from the mine. More than half of the electricity in the Finnish national grid is produced from renewable energy sources. As a result, the refining process will be more environmentally friendly.
In addition to the above, there are several other projects in Europe that are in the development phase. Also in Serbia, the presence of lithium is being investigated at several other deposits.
As things currently stand, more serious production of lithium in Europe or the European Union will not begin before 2025, when the first shortages of this ore are already being overlooked.
The pressure of industries and large capital will certainly increase, and the rise in the price of lithium, which is expected to increase several times over the next decade, is also certain.
Whether the European Union will succeed in reconciling mining projects with environmental standards or whether it will enter the green transition with potential devastation on its own or surrounding soil, will be seen soon. The European Union certainly needs supply chains that are closer to the Continent, but also, as you can see, supply that is not Chinese.
The European Green Deal from 2020 indicated that some standards regarding environmental protection will be lowered, while the RipauerEU plan ( REPowerEU ), published after Russia’s attack on Ukraine, the European Commission additionally prioritized switching to renewable sources as part of efforts to the use of Russian fossil fuels is rapidly reduced.
In any case, we will look at the mix of political, economic and environmental interests with the hope that it is possible to achieve sustainability, N1 writes.
Serbia, The ban on lithium has not even been passed
Public controversy surrounding lithium in Serbia has been going on for years. The current government, representing the interests of the Rio Tinto company, has been convincing the citizens of Serbia for years that lithium is a historic development opportunity, comparing Serbia to El Dorado?! The question arises, why does the state avoid mentioning the negative sides of Rio Tinto?
Under the pressure of the December protests in 2021, and the blocking of the highway at the Gazela bridge, the state “officially” withdrew from all projects related to lithium mining in Serbia, and thus supposedly put an end to the topic. Is this the end of the Rio Tinto saga? It’s not. Today, we have daily situations where officials are preparing the ground for the return of the opening of lithium mines, both by Rio Tinto and other companies, such as Ultra Lithium and Eurolithium. This is just the beginning. It is time to analyze this problem according to the following points:
1. The facts
Although insider information from the company Rio Tinto and the Government of the Republic of Serbia claimed that the ban on lithium was not true, but only to buy time before the elections, the citizens, like the protest organizers themselves, believed the representatives of the authorities and withdrew from the protests and blockades because they respected their word. . What happened in the meantime?
- With a false promise to ban lithium, the government managed to kill the energy of the protests and the anger of the people that threatened to jeopardize the April elections. The citizens were convinced that they had achieved victory by their actions because they trusted the word of the state leadership. However, none of the companies that plan to mine and process lithium (Rio Tinto, Eurolithium, Ultra Lithium and others) closed their offices in Serbia (which would be a logical move for any company that received a state ban), but continued to buy land. around future mines and haul heavy machinery. The deceived people achieved a Pyrrhic victory, while the government avoided a revolution. The government and Rio Tinto still don’t seem to understand that this is only half time and that the current score is state 1 – citizens 0.
- Rio Tinto was told to put up with it and continue to work in silence, only to continue publicly with their activities after 10 months, while they recently announced competitions for new jobs. We ask why a company that has been officially “forbidden” by the state to mine lithium is hiring new staff? It’s just proof that Rio Tinto never had any intention of giving up on the lithium mine.
- In the meantime, we learned that the government issued 60 permits for lithium exploration in the territory of the Republic of Serbia! Why permits if the lithium ban is officially in place? In Rekovac, despite the official ban, work continued on the planned lithium mine, so the citizens blocked the work while the state watched silently.
- Rio Tinto states on its profile that, in addition to Argentina and the United States, it also works in Serbia (Loznica). No serious company keeps information on its website (over a year old) that it is still planning work in Serbia, unless it is true.
- Rio Tinto states on its website that it plans 1,000 jobs in the long term and over 2,000 jobs during the construction phase. Why so many jobs if they are forbidden to work?
- Rio Tinto hired domestic experts to make positive studies on the impact on the environment, while rejecting the already made negative studies, and threatening the same experts with lawsuits that they may not speak about it publicly because of the signed Confidentiality Agreement. Domestic experts are obviously not interested in the fact that they are working against the interests of their country and people, endangering the environment, health, land, and rivers. The Faculty of Biology is the first institution that spoke about it publicly, but they were silenced by the media due to the Confidentiality Agreement.
- Environmental Impact Study: Does it make sense for the Environmental Impact Study to be funded by Rio Tinto instead of being done by an independent company? Rio Tinto’s funding of the study is a classic conflict of interest. I am asking whether I, or any other person/association, as an independent person, can finance the Environmental Impact Study? If the answer is no – why can’t they while Rio Tinto is allowed, even though it is in a conflict of interest? Who in their right mind can believe that Rio Tinto will finance and publish negative Environmental Impact Studies? So far we have seen that there are several negative studies (eg the Faculty of Biology) that Rio Tinto is hiding from the public, threatening the authors with Non-Disclosure Agreements.
- Rio Tinto’s media preparation implies that hired local experts, university professors, whom Rio Tinto sends in cooperation with the state to visit the state-controlled media and whose editorial policy the state can influence, advocating the thesis that lithium mines are not such a bad solution for state and that they do not have a large negative impact on the environment while they kept silent that these experts are on the payroll of Rio Tinto, i.e. that they are paid to represent the interests of the company. Otherwise, they would be summarily dismissed. Such experts are compromised and in a conflict of interest, and their goal is to prepare citizens for lithium mines because most citizens believe the information they hear in the media, regardless of the fact that it is untrue.
- Rio Tinto finances state universities, asking them for support for its project in Jadro. This is called corruption, for which deans and professors will have to be held criminally responsible for abuse of official position.
- Would Rio Tinto open lithium mines across the EU if allowed? Of course he would. Well, only Germany has three times more lithium than Serbia. The EU will not allow Rio Tinto to open its mines on its territory because they are aware of the environmental consequences, but at the same time they are ready to turn a blind eye to the destruction of the environment if lithium mines are opened throughout Serbia, because Europe needs lithium batteries, while Serbia has enough close for cheaper shipping compared to North and South America.
2. Privatization of the Jaroslav Cherny Institute
In order to justify their project, Rio Tinto employees often refer to a positive opinion from the compromised Jaroslav Černi Institute (the only institute dealing with water in Serbia), which, under the pressure of the state, after 74 years, was privatized for only 2.5 million euros by the Millennium Team, even though the Anti-Corruption Council demanded that the privatization be overturned. The question arises why the state does not listen to what the Council for the fight against corruption says? What is the point of the existence of this Council if their conclusions are not acted upon? Is it corruption in action by the state? Obviously it is!
Černi (allegedly under political pressure) gave positive opinions for all ecologically debatable projects in Serbia (Makiško polje, Belgrade na vodi, Rio Tinto, Rekovac/Levač…) and now it is in the hands of the Millennium team, a company that is allegedly close to the government. There is a justified danger that in the future the Millennium Team will control to whom Jaroslav Cerny will give positive opinions, which will depend on the permits for all future projects in Serbia.
3. Does the affair with lithium mines end with Rio Tinto? By no means! This is just the beginning
In addition to the Jadra valley (Loznica) where Rio Tinto is planning its excavations, the company Eurolithium in Rekovac (Levač) continues to bring in heavy machinery that is already ready for excavation. Citizens revolted and organized round-the-clock vigils to prevent the excavations until the police wanted to interfere, even though they were supposed to act and prevent further work by the Eurolithium company. The works have stopped and will not continue because the company Eurolithium, as well as Rio Tinto, do not want to risk a physical confrontation with the local population, which would motivate the people to rebel, which would make their further business much more difficult.
Lithium mines are planned at 40-60 locations throughout Serbia, in the Loznica-Vranje-Bor triangle. Over two million of our citizens live in that territory, where many of them will have to move out of their homes, while others will have their living environment (land, water) threatened. Other lithium mining companies are on standby, waiting to see how the currently resigned Rio Tinto fares. If Rio Tinto goes ahead with its plans, the other 59 sites will be wide open for lithium mining.
For example, the company Ultra Lithium received seven exploration permits in the Republic of Serbia – through its local subsidiary, Ultra Balkans doo – for the mines Valjevo, Kragujevac, Blace, Koceljeva, Trnava, Istok, Preljina and Ladevci from the Ministry of Environmental Protection, Ministry mining. Application permits for research cover a total area of 676.54 km 2.
The Government of the Republic of Serbia claims that only Serbia has lithium deposits, which, of course, is not true. Lithium is also found in Croatia, Bosnia and Herzegovina , North Macedonia, Albania, Greece and Turkey. The fact that someone drew the borders does not mean that lithium, which has been under the ground for thousands of years, “moved” to Serbia. Also, lithium can be found in many EU countries, while it is most abundant in Germany (three times more than in Serbia).which does not think of allowing companies like Rio Tinto to open mines in their territory. The question arises why the mentioned countries are not in the same lithium fever for the opening of a lithium mine that should bring them tens of billions of euros in profit? Are those countries greedy for money or is it in their national interest to preserve their natural resources and prevent the destruction of their country?
The issue of lithium is neither a political nor an economic issue, this has become a matter of life and death, on which the future of us and our children depends. I don’t care if the lithium companies are from the east or the west! No company that does not respect EU environmental standards and that is not allowed to mine and process lithium on the territory of the European Union, cannot work on the territory of the Republic of Serbia either! Point.
4. How does Rio Tinto work?
Rio Tinto is a corporation with a value of 60 billion euros that is used to using all possible means to achieve its goals. This summer, the Chinese became the single largest shareholder of Rio Tinto.
The company Rio Tinto (Rio Sava) has hired people in charge of constantly observing, monitoring and recording everything negative that appears about the company in public. Their PR teams are constantly on the alert to immediately respond to every statement in the media with a denial, forcing the media to publish their statements that are more political marketing ploy than they have anything to do with the truth. Until now, my articles about Rio Tinto have been regularly tried to be refuted, stating falsehoods and claiming the opposite without any evidence. Calls to organize a TV duel where we will present our arguments are still regularly ignored.
When they deny, they always accuse by name anyone who criticizes Rio Tinto’s way of doing business, telling falsehoods that they are a socially responsible company that prioritizes the environment, which so far has not been demonstrated in any of their lithium mines around the world. Discrediting the opponent is their priority, although until now they have not realized that by doing so they are only promoting the opposite side, harming themselves. No company in Serbia has become as hated as Rio Tinto. Citizens are becoming more and more aware of the consequences, although the state media is trying to confuse citizens through broadcasts, claiming that lithium is not as dangerous as claimed, although there is not a single lithium mine in the world that meets environmental standards. The legal representative of Rio Tinto (Rio Sava) Colin McKay is in the latest issue of NIN (December 8, 2022),THE GOVERNMENT OF SERBIA NEVER MADE A DECISION ON THE LITHIUM MINING BAN THAT WOULD APPLY TO RIO TINTO!”And what are we going to do now? Is this proof that the Government of the Republic of Serbia lied to its citizens? Of course it is.
Rio Tinto is used to doing business in corrupt countries like Serbia, paying politicians to lobby for their company (which could be seen in the media in previous years). At one time, Rio Tinto announced that it was ready to talk to the leaders of the opposition in order to explain to them that lithium would not endanger the environment. Although it seems to me that they are indirectly offering a bribe in this way, trying to convince the leaders of the opposition not to oppose the opening of the lithium mine. For persuasion, they increasingly use EU and US officials who, in talks with opposition leaders, set conditions that the Rio Tinto project should not be hindered.
The coming period will show which political organizations will reconcile in public appearances and protests against Rio Tinto, as well as which organizations have not signed the Social Agreement. So far, the political organizations that do not want to commit in writing that they will be against Rio Tinto and lithium are Nebojša Zelenović (Coalition Moramo), who became famous with a video from Brussels where he claimed that they are looking for a solution for Rio Tinto with the EU Greens, as well as We are not strangling Belgrade, which has repeatedly refused to sign the Social Agreement. Insider information from several parties claims that both political organizations have received orders from Brussels that they must not sign the Social Agreement. It is not clear to anyone which organization can claim to be against Rio Tinto, while at the same time refusing to officially sign it. Any political organization that refuses to sign the Social Agreement cannot be considered an opponent of Rio Tinto and the lithium mine, but only their ally.
Rio Tinto has its own list containing the names of all the people who speak negatively about the company and who are against lithium mining, who are on their measures, whose social media accounts are monitored daily. Since we have mostly listened to inept explanations from Rio Tinto representatives, it is necessary to get answers from the authorities to the following questions:
- Is there an official ban on lithium mining by the Government of the Republic of Serbia? If there is, then Rio Tinto is lying, for which it should bear the consequences, close its offices and leave the Republic of Serbia. If it doesn’t exist, then the state has deliberately lied to its citizens, which is why it should bear the consequences!
- Why does Rio Tinto continue to buy land in the Jadra Valley if they have no intention of mining lithium there? Until now, they have not mentioned that they will be engaged in agriculture.
- Was such a statement by the head of state just buying time to appease the protesters who blocked the Gazelle Bridge in December before the April elections?
5. Processing of lithium
We all already know the consequences of lithium processing around the world, regardless of whether the lithium is mined, from salt rocks or from geothermal sources. In the world, one ton of lithium requires over 1000 tons/cubic of water mixed with sulfuric acid, which after processing becomes poisoned and can no longer be used. Such water ends up in the soil, streams and rivers, which permanently destroys the environment and endangers the health of citizens. Only the planned lithium mine in Loznica is estimated to contain 148 million tons of lithium, while Rio Tinto will consume over 1,000 tons of sulfuric acid per day, which will eventually have to end somewhere. Rio Tinto had previously inquired about the abandoned Viscose factory in Loznica, where they wanted to use their discharge pipes to discharge their poisoned waste water directly into the Drina. And that’s not all.
In addition to the sulfuric acid used for lithium processing, the citizens do not know that 15,000 cyanide tanks will be used in Loznica alone (as explained by the vice-chancellor of Belgrade University Prof. Dr. Ratko Ristić). And mines are planned in 40-60 locations! If only one tank were to spill, it would be an ecological disaster of unprecedented proportions. This is precisely why no EU country will allow Rio Tinto to process lithium and destroy the environment on its territory. The citizens of Serbia, in contrast to the state leadership, refuse to be a dumping ground for the EU, where fertile land will be destroyed and streams, rivers and lakes will be poisoned, where the population will be forcibly relocated in order to provide lithium batteries for the EU market.
The representatives of the Rio Tinto company claim in their denials that all of this is not true and that their new technologies will not destroy the environment. The problem is that these new technologies do not want to show, justifying it as a trade secret, with the oft-repeated phrase “take our word for it”! Rio Tinto has no answer as to why they have not opened lithium mines in the EU with these “new technologies” while at the same time they are convincing the citizens of Serbia to allow them to open lithium mines in Serbia. Until Rio Tinto opens its lithium mines in Germany (which has three times more lithium than Serbia), there is no logic in opening them in Serbia either.
6. Confrontations
In order to clarify the dangers of lithium processing, I have repeatedly sought media confrontations with Rio Tinto management. Director Rio Tinto has repeatedly refused to be a guest on shows (like “Impression of the Week”), because she didn’t like the interviewees!? Is it logical that the director of Rio Tinto, who is accused of destroying the environment, sets the conditions with whom she will exchange opinions. She’d probably like to be a guest on a show with some of the experts on Rio Tinto’s payroll and choose the questions to ask her.
Rio Tinto “became famous” with a video advertised on the media, where the company misled the public that they were producing green energy. Even the ambassadors of certain countries claimed that lithium is green energy, probably not knowing what the lithium processing procedure looks like in which sulfuric acid and cyanide are used. Such a video caused a counter effect, provoking the anger of the people who rioted and blocked the highway near the Gazelle Bridge. Realizing their mistake, Rio Tinto employees were ordered to mediate truce and not expose themselves until the dust settled. That truce still holds while the project continues to be carried out quietly away from the public eye.
7. How to solve the problem called Rio Tinto?
All employees of the company Rio Tinto (Rio Sava) should know that they are accomplices because they are well aware of the consequences of poisoning water and fertile soil, as well as that they will be held criminally responsible together with the management. They are paid to misinform the public, to shoot commercials where they try to present themselves as an environmentally conscientious company, even though they have been leaving devastation behind for decades all over the world. In some countries, civil war broke out because of their business, where over 10,000 people lost their lives, while children who bathe in rivers poisoned by Rio Tinto have living wounds.
In order to check whether the company Rio Tinto, despite the “ban” of the Government of the Republic of Serbia, continues its work in violation of the laws, as an environmental protection analyst, I propose the following solutions:
- That the Government of the Republic of Serbia should publish a document in which it is written that there is a ban on working with lithium , because the representatives of Rio Tinto were obviously not informed, or they were well informed, which means that the citizens were deceived.
- Publicly publish the list of all employees on the Jadar Rio Tinto (Rio Sava) project in Serbia. Citizens have the right to know who are the people who are ready to endanger their water, land, and health for a lot of money, despite the “official ban” of the Government of the Republic of Serbia.
- Publicly publish the list of all experts (especially university professors and scientific researchers) who are engaged in the Rio Tinto project . Those people write fake positive environmental impact studies for money, while colleges get money through cooperative agreements. In the modern world, this is called corruption and it is criminally responsible! Citizens have the right to know who are the experts among us who, despite strong warnings, are working to destroy the environment in order to achieve financial gain.
- To cancel the Confidentiality Agreements signed with the Faculty of Biology as well as with other institutions, so that their experts could tell in detail what consequences await us without Rio Tinto threatening them with a lawsuit.
- That all political organizations undertake that all employees who actively participated in projects related to lithium in the company Rio Tinto (as well as all other companies that work with lithium) will be prosecuted and prosecuted, that professors and researchers will be stripped of their scientific titles, that their work contracts in institutions will be canceled due to the criminal offense of deliberately misleading the public, endangering the environment, land, rivers and the health of the citizens of Serbia. A prison sentence must be sought for such crimes. No fines and suspended sentences are out of the question.
- That the company Rio Tinto , which is officially forbidden to work in Serbia, be ordered to close all its offices (in Belgrade and Loznica) and leave the territory of the Republic of Serbia within a month.
- As an environmentally friendly solution for lithium batteries, new technologies have already been developed – lithium batteries that do not leave any consequences for the environment , are of better quality and last longer than lithium batteries. Alternative solutions are hydrogen batteries, as well as aluminum, sulfur and salt batteries, which will soon be in use.
- That statesmen stop telling falsehoods that Germany is already working extensively with lithium because currently only a pilot project is being developed to obtain lithium through geothermal waters and not from jadarite ore (for which sulfuric acid must be used) as planned in Loznica. At the same time, Germany is currently only in the experimental phase and their institute is still working on pilot plants where research is carried out because they have not yet reached the level of cleanliness that corresponds to the environmental requirements of the EU.
8. Conclusion
The problem is that nobody is accountable in corrupt Serbia, so the people on Rio Tinto’s payroll relaxed, thinking that they will not suffer any consequences because they “cooperate” with the state. It is time for them to be warned that they are accomplices who will be held accountable for their actions. If they are ready to live and work under such pressure, because this kind of crime does not get old – good luck to them, they will need it.
So far, I have not met a single person who supports the Rio Tinto project, except for the company’s employees (who are financially dependent), although many of them do not support, but work there because their existence depends on it. Many Rio Tinto employees have already resigned (both out of conscience and public pressure), while a large number of employees are actively looking for new jobs in other companies in order to “clean up” and escape in time.
The state has reconciled and defends itself to every question about Rio Tinto by saying that it is officially forbidden to work with lithium. The fact that the state tacitly approves the continuation of the activities of Rio Tinto and other companies, avoiding to react, means that this government is deliberately deceiving its citizens. My assessment is that it will remain so until the April elections in Belgrade, because the government does not want to risk a new blocking of the Gazelle, a rebellion of the people that will cause them to lose power in Belgrade. Even though it is a local election, Rio Tinto is one of the few topics that can bring citizens of Belgrade to the streets.
I am personally convinced that the state will not give up its intention to push through the lithium mines, and knowing that citizens will not give up defending their lives and the lives of their children, I am afraid that incidents and physical conflicts will escalate in the future. That’s why I ask the question, does someone have to die in order to prevent the lithium farce? Are we facing a civil war like the one in Papua New Guinea where over 10,000 people lost their lives due to a lithium mine that poisoned all drinking water sources? How many people need to lose their lives for someone from the government to say enough is enough, we don’t want a civil war, Energija Balkana writes.