News
01 Apr 2025, 12:20
Edgar Meza
|
Germany

International investors prepare major lithium mining project in eastern Germany

Clean Energy Wire / MDR / epd / Tagesspiegel Background

UK mining and metals company Zinnwald Lithium could begin lithium mining operations in Germany’s Eastern Ore Mountains as soon as in 2030 in what is estimated to be “one of the largest integrated lithium operations in Europe”. Located in the state of Saxony along the Czech border, the Zinnwald Lithium project is described as strategic and positioned “to support Europe's lithium supply chain.”

Lithium is seen as a critical raw material for Europe’s energy transition. A key component of batteries that store renewable energy for cars, households and industrial plants, lithium has become essential for decarbonisation strategies around the world. Demand for lithium is projected to multiply by 60 by 2050.

As Germany and Europe focus on energy diversification and supply security, domestic mining operations like Zinnwald have become increasingly significant. According to the project’s pre-feasibility study, the mining operations are forecast to produce 18,000 tonnes of lithium hydroxide monohydrate (LHM) a year in their first phase – enough to equip 800,000 electric vehicles with batteries, reported broadcaster MDR and news agency epd. Phase 2 would see increased production of 35,100 tonnes a year. The project has a mine life of over 40 years, said the pre-feasibility study.

A cash flow of 12.1 billion euros is expected over the mine’s entire operating period, as are annual profits (EBITDA) of just under 10.3 million euros, Tagesspiegel Background reported. Development costs for the project are estimated at one billion euros.

The Zinnwald production facility would be powered by renewable energy, with mining operations carried out in a "surface-friendly" manner at a depth of approximately 100 to 400 metres below ground, said Marko Uhlig, head of Zinnwald Lithium GmbH, the group’s German subsidiary. Uhlig described lithium mining as "sustainable, low disruption and low risk." Local residents and a citizens’ initiative have expressed concerns about the project’s environmental impact while profits flow abroad.

The EU recently unveiled 47 "strategic projects" to secure and diversify access to raw materials, part of its Critical Raw Material Act agreed in 2023 to reduce dependencies and boost domestic mining for materials critical for the energy transition. 

All texts created by the Clean Energy Wire are available under a “Creative Commons Attribution 4.0 International Licence (CC BY 4.0)” . They can be copied, shared and made publicly accessible by users so long as they give appropriate credit, provide a link to the license, and indicate if changes were made.
« previous news next news »

Ask CLEW

Sören Amelang

Researching a story? Drop CLEW a line or give us a call for background material and contacts.

Get support

+49 30 62858 497

Journalism for the energy transition

Get our Newsletter
Join our Network
Find an interviewee