Current status of the Jadar Project – Interview with Marijanti Babić
Rio Tinto’s Country Head Serbia, Marijanti Babić, in an interview with Loznički Nedeljnik, answered questions about the status of the Jadar project, and the aspirations of the company in Loznica after the Government of Serbia cancelled the Special Purpose Area Spatial Plan for the development of the Jadar deposit.
1. By the decision of the RS Government last year, all administrative enactments related to Rio Tinto, i.e. the daughter company Rio Sava Exploration, all permits and decisions were revoked, which practically terminated your mutual cooperation. From that moment on, what are the company's activities in Jadar Valley related to the Jadar project?
We would like to again use this chance to emphasize that Rio Tinto honours the Government's decision to revoke the permits for the implementation of the "Jadar" Project. We operate in accordance with the regulations of the Republic of Serbia and all our current activities are a continuation of previously assumed obligations. This includes the completion of an internal Feasibility Study. We still believe that the "Jadar" Project has the potential to contribute to the economic development of Loznica and Serbia and to be the driving force behind the development of the e-mobility industry in our country. The project is planned as an underground mine and ore processing facility and has the potential to be realized in accordance with the highest standards of environmental protection and social responsibility. We are aware that the public has doubts about the project. We are open to dialogue and cooperation with all interested parties, including local communities, non-governmental organizations, and the academic community. The "Jadar" project is a unique opportunity that would have a positive impact on the economic development of Serbia. Thanks to the long life of the mine, 1,300 jobs would be created for several generations. Also, "Jadar" would contribute to the development of infrastructure, would double the budget of Loznica and would influence the strengthening of other sectors that would be necessary for its functioning. This does not mean that the extraordinary economic potential should be realized at the expense of nature and people. The strictest measures of prevention and protection of the environment and social responsibility are planned. There was too much misinformation in the public about the Jadar Project and lithium mining. We believe that a public debate based on facts is necessary so that everyone has the information on the basis of which they could form an opinion about the project.
2. From the beginning of the project until now, how many parcels in the Jadar Valley has the company purchased, what are the sizes, how many houses?
There were 52 permanent resident households within the proposed core project footprint (CPF) area, which would be used for the development of the mining and processing facilities. Out of these 52 households, 50 (96%) have sold their properties and been resettled, most of them with the support of our team. Out of approximately 220 hectares of land where the core footprint would be, so far we acquired 162 hectares.
The goal of this support is to maintain the same or to establish a better quality of life than it was before the purchase of the land.
3. Is there still an interest from your behalf to continue with land acquisition, and is there an interest from the locals to sell, and is acquisition still ongoing?
From January 2022, we are exclusively completing the land acquisition process for negotiations that began before the decision of the Government of Serbia to revoke the permits for the implementation of the "Jadar" Project. The local community's interest in land acquisition exists, but in accordance with the status of the project, we are not initiating new negotiations.
4. The public is mostly concerned regarding the impact of the mine on the environment. Does RSE have answers to the most important ecological questions such as the pollution of land, water and air?
The company has answers and solutions to environmental issues of public concern. We are aware that economic growth must not be achieved at the expense of the environment, or a negative impact on the well-being and income of local communities. During the preparation of numerous studies, domestic and foreign experts proposed solutions for managing the potential impacts of the "Jadar" Project on the environment, thanks to which they would be reduced to a minimum. We are grateful to the expert part of the public who constructively participated in the improvement of the project, criticizing some of the proposed solutions, which we subsequently significantly improved. We hope that we will be given the opportunity to present them to the public in a transparent and well-argued manner.
We understand that environmental impact issues are important and complex. The "Jadar" project is proposed as an underground mine, which has less impact on the environment and occupies a smaller area than an open pit mine. A mine deep below the surface would allow agricultural work to take place on the surface at the same time. The planned use of the best available technologies would ensure that the emissions from the ore processing plant are well below the limit values, prescribed by the laws of Serbia and the EU, even before filtering. Drinking water sources would not be used for the needs of the mine, and the exploitation itself would be carried out in zones that are separated from drinking water source zones. Plans for water recycling and reuse are part of the design solutions. We have done one of the most detailed studies on biodiversity in Serbia ever, in order to ensure the protection of flora and fauna.
Jadar would be developed with circular economy concepts at the forefront of its design. We are working with leading international universities and technology providers to investigate ways in which we can repurpose our waste into other industrial uses including building materials and backfill material for our underground mine. The waste from the ore processing process would not contain high levels of heavy metals. The material that is not recycled or reused would be stored in landfill that would have a system of multiple impermeable protective barriers at the top and bottom, as well as a system for collecting leachate that would be directed to treatment and recycling. We have assessed multiple locations for the landfill and one option within our feasibility studies is in the Štavice valley, 10 km from the proposed location of the "Jadar" Project and outside the floodplain. Instead of storing the ore processing residue in liquid form in a flotation tailings pond with a large dam, we would dry and compact the waste. The dry residue would then be disposed of in a stable landfill designed to prevent contact of the residue with soil, groundwater and surface water. Thanks to the dry residue, the landfill could be progressively recultivated, already after several years of mine operation. The landfill would be completely rehabilitated, and the company would be obliged to monitor water and soil parameters for 30 years after the closure of the mine, in order to prevent a potential impact on the surrounding environment.
5. Are you in contact with the representatives of the ecological movements, associations and organizations that oppose your activities in Jadar, regarding the construction of the lithium exploitation mine, are you familiar with their requests and what is your current communication?
We are open to dialogue and cooperation with all stakeholders, be it those who oppose the development of the project or members of local communities who would like to be informed about "Jadar". We have Information Centers in Loznica and Brezjak where you can ask or suggest anything related to the project every day. We maintain regular contacts with associations that want to actively participate in finding the best possible solutions for the "Jadar" Project, both in the field of environmental protection, and in the field of economy, creation of new jobs, infrastructure, education, innovative technologies. On the other hand, there are several local associations that, according to them, do not want to talk to us despite the fact that we are always calling for dialogue in order to present the facts about the project transparently. We are aware that only through dialogue can we reach a solution to all open issues. Also, we realize that some groups and individuals will never accept our invitation for an open and constructive dialogue. Even doe we respect that position, we don’t accept that it gives them the right to spread false or misleading information about the Project.
6. What are the plans and goals of the company in Loznica?
The company's current activities are related to the previously undertaken obligation to complete the development of an internal feasibility study. We are also the owner of the land, which we manage in accordance with the law and good neighbour practice. We also have an obligation to our employees and suppliers. We have been a member of the local community for more than two decades, and our goal is to contribute to the community in which we do business and with which we live. We want to support and strengthen local communities, local economy, cultural heritage, agriculture, rural tourism, sports and other associations. Our goal is for local businessmen to be competitive and ready to take advantage of the economic opportunities that "Jadar" would bring to this city and its surroundings. If the project were to be implemented, the economy of Loznica would transform unstoppably.
We are aware that part of the Loznica public does not accept the option of opening a mine in the Jadar valley. Our task is to listen, understand and appreciate the reasons for that non-acceptance, as well as to improve the proposed project accordingly wherever possible. To resolve all open issues through dialogue and public debate in Loznica.
7. What is happening with the houses and facilities that you own in Nedeljice?
Members of the community we have spoken to want the abandoned houses and buildings demolished and removed because they are an eyesore and safety risk. Rio Sava is seeking support from all stakeholders involved in this process to fulfil this request to eliminate potential safety and health risks in the community.
Abandoned buildings are dilapidated and pose a risk to people who may enter the lots on which they are located. Abandoned buildings are empty, neglected and subject to the effects of the weather. Recent weather events, super-cell storms, have reinforced the need to remove objects as quickly as possible. The plan to demolish the abandoned structures is also in response to requests from neighbours and other landowners in the community.
The safety of workers and the community will be a priority during the work to remove the structures. This includes reducing noise, dust and traffic impacts. The works will be performed by accredited companies from Loznica and Serbia. We want to emphasize the demolition of buildings is not the beginning of construction – it is solely for health and safety reasons. These works are in accordance with the legal status and rights of Rio Sava as the owner of the land. The demolition process takes place in accordance with the permits issued by the municipality of Loznica and in compliance with the relevant laws of the Republic of Serbia.
8. It is a well known fact that you have allocated a certain amount of assets for various support programs for donations to the local communities. What are those programs and what did you aim for? How many persons or legal entities received any of those project funds? Are you expecting new support programs?
So far, we have invested more than 2 million euros in support of around 100 local community projects, benefiting over 10,000 people. 1,300 members of the local community took advantage of the free advisory services of our partners, including advice in the field of agriculture. We have had more than 9,000 formal meetings with members of the local community since August 2019. We have repaired and improved more than 30 km of local roads that we were using during field activities. So far, 128 households have benefited or are still benefiting from one or more of the existing livelihood restoration and improvement programs. There are also various donations for schools, a local hospital, numerous sports clubs, associations and events of importance to the local community, and we also supported the fight against the pandemic caused by the COVID-19 virus.
There are ongoing programs for the allocation of grants in the area of the city of Loznica and the municipality of Krupanj to support local entrepreneurship, old crafts and rural tourism, which will be implemented in phases. Only during the first phase of the Local Economic Development Program, we awarded 78 grants in the amount of over 370,000 euros. The next phase includes support for registered agriculture households in the area of Loznica and Krupanj, for which we received over 500 applications for participation in the program. Currently, the phase of consideration and evaluation of received applications by our expert partners is underway. We plan to continue this type of support to local communities and to expand it during the next year. You can read more about the grant program on our website or you can visit us at our information centres in Loznica and Brezjak.