Geomet acquires land for lithium processing plant at Cínovec in Czechia

Geomet has acquired land in the Dukla industrial complex, where it plans to build a plant to process lithium from nearby Cínovec in the Teplice region. The purchase price for the land near the village of Újezdeček is almost a billion crowns, Seznam Zprávy reported today. Cínovec is home to Europe's largest lithium deposit, a key raw material for making batteries for electric vehicles and for renewable energy storage.

Geomet is owned by Severočeské doly, part of the ČEZ Group, and Australian mining company European Metals Holdings.

Under the agreement, Geomet purchased one plot of land and secured options to buy three others, with a total value of 966 million crowns, according to a presentation by European Metals Holdings cited by Seznam Zprávy. The company plans to build a plant at the industrial complex to process the ore and produce lithium for batteries.

“We can fully confirm the announcement published by European Metals Holdings. We would, however, like to stress that the announcement mainly concerns the acquisition of options on the land in question,” ČEZ Group spokesperson Ladislav Kříž told the Czech News Agency today.

The land at the Dukla complex was owned by four private companies, while all adjoining land relevant to the site is owned by the state or local authorities. One of the plots Geomet purchased is owned by Datou, according to the news website. Its owner is Jan Lichtneger, the dismissed head of Central Bohemian road maintenance, who is known from the so-called Dozimetr case.

The Ústí Region planning department has already received an application to amend the zoning plan around the Dukla complex to allow for a transport corridor for the ore. A decision is expected in the last quarter of this year. The outcome will also determine whether Geomet buys the other three plots, or exercises its options to purchase them.

Europe's largest lithium deposit lies beneath Cínovec in the Ore Mountains. Geomet is conducting exploration in the area and plans to mine the strategic metal underground in the coming years. The final feasibility study, which will answer key questions about the prospects for lithium production at Cínovec, will be completed by the end of this year, ČEZ Deputy Chairman of the Board Pavel Cyrani said recently. Mining could begin around the turn of 2026 and 2027, provided Geomet has a building permit in the second half of 2025. The entire project is estimated to cost 15 billion crowns.

During a visit to the Teplice region in May, Prime Minister Petr Fiala (ODS) said he sees lithium mining as an opportunity for the Ústí Region. He said the once coal-producing region could become a hub for modern energy and renewable sources. Cooperation with neighbouring Saxony is also important, the prime minister said. This is one reason why a Czech-Saxon memorandum on cooperation on projects of strategic importance was established, including the sourcing of raw materials such as lithium.