Savannah Resources has postponed the start of production at the Barroso lithium mine in Boticas to 2027 due to delays in the bureaucratic process, as announced by the company. CEO Emanuel Proença stated that while progress has been made in the first half of the year, it is now time to responsibly initiate the fieldwork necessary to complete the Definitive Feasibility Study (DFS) and the environmental licensing process.
The delay was attributed to the extended timeline required to finalize the administrative easement process. Savannah now aims to complete the Final Feasibility Study by the second half of 2025 and anticipates the environmental licensing process will conclude early, with production slated for 2027.
In a positive development, the Portuguese Environment Agency (APA) issued a favorable Environmental Impact Statement (DIA) on May 31, 2023, deeming lithium mining at Barroso environmentally viable. Initially, production was expected to begin in 2026. Proença emphasized the company’s desire to finalize land agreements swiftly but noted that, despite acquiring over a hundred plots, negotiations with all landowners are ongoing. As a result, the company is utilizing temporary administrative easements to access the necessary land, a common practice in industrial projects.
Savannah remains committed to negotiating land purchases and leases amicably to minimize the extent of any future expropriations. In its recent operating results for the first half of the year, Savannah highlighted the efforts of its team across multiple locations, emphasizing their dedication to developing a high-quality project.
In June, Savannah formed a strategic partnership with AMG Critical Materials, which operates Europe’s first large lithium refinery. Proença expressed confidence that this partnership positions the company strongly for the next phases of the project, and he acknowledged the contributions of all involved.
Savannah Resources is focused on the Barroso lithium project, believed to be the largest lithium spodumene resource identified in Europe, and has dedicated the past seven years to its development. However, the mining operation faces opposition from local mayors and community members organized under the Unidos em Defesa de Covas do Barroso (UDCB) association.
