Allied Critical Metals is advancing its Borralha tungsten project in northern Portugal following its designation as a strategic project under the EU Critical Raw Materials Act, a status that could support permitting coordination and access to potential financing sources.
Borralha has a reported mineral resource of approximately 20.7 million tonnes across Measured, Indicated and Inferred categories. The estimate includes 1 million tonnes grading 0.22% WO₃ in the Measured category, 12 million tonnes at 0.21% WO₃ Indicated and 7.7 million tonnes at 0.18% WO₃ Inferred. The resource has not been converted into a mineral reserve.
The project was the only Portuguese development selected in the European Commission’s latest strategic-project round and the only tungsten extraction project included in that group.
Strategic Designation and Permitting Framework
Under the EU framework, strategic extraction projects can benefit from more coordinated permitting procedures and assistance in identifying potential public and private financing sources. The targeted maximum permit-granting period for extraction projects is generally 27 months, although preparation time for environmental-impact assessments may fall outside that timeframe.
The designation does not automatically grant construction approval or guarantee funding. Allied Critical Metals must still advance environmental approvals, detailed engineering, mine and processing economics, and a viable financing structure.
Tungsten Demand and European Supply Security
Tungsten is used in hard metals, defence applications, aerospace components and industrial tooling, among other sectors. Europe remains heavily dependent on imports, making domestic extraction relevant to efforts to diversify supplies for advanced manufacturing and defence-related industries.
Borralha’s strategic status could help reduce some of the permitting and financing obstacles associated with European mining development. The project must demonstrate competitive operating costs and a commercially viable processing route capable of producing a saleable tungsten product at scale.
Project Financing and Commercial Requirements
The next development stage requires Allied Critical Metals to translate the EU designation into final permits, credible project economics, customer commitments and construction financing. Commercial offtake arrangements will be important alongside engineering and processing assessments.
Although Borralha has a defined mineral resource and strategic recognition, neither establishes economic viability or confirms that construction will proceed. The project’s advancement depends on completing the remaining technical, regulatory and financing requirements.
