European Metals Holdings and Czech energy group ČEZ are advancing a processing redesign at the Cínovec lithium project in the Czech Republic after pilot tests achieved 93.4% lithium extraction at lower roasting temperatures.
Geomet, the project’s operating company, has granted in-principle approval to replace two gas-fired rotary kilns with a single tunnel kiln capable of using natural gas or electricity. The proposed change would reduce roasting temperatures from approximately 950°C to 850°C and potentially halve processing time from 60 to 30 minutes.
Cínovec is designed to produce 37,500 tonnes of battery-grade lithium carbonate annually, equivalent to around 5.2% of projected EU demand in 2030. Expected capital and operating cost savings have not yet been quantified, and final equipment selection remains subject to further engineering, testing and procurement.
Pilot tests support revised processing design
Cínovec contains a substantial lithium-bearing zinnwaldite deposit near the Czech-German border. Unlike spodumene, which is used in many Australian lithium operations, zinnwaldite requires thermal and chemical treatment to release lithium from its mineral structure.
Testing achieved 93.4% lithium extraction during roasting and leaching, compared with 93.2% under the previous rotary-kiln configuration. Results also showed no statistically significant difference between 30-minute and 60-minute roasting periods at the lower temperature.
The tunnel kiln would move prepared material through controlled heating zones, potentially improving temperature distribution and reducing energy losses. Commercial performance will depend on throughput, reagent composition, material handling, downstream processing and continuous operating reliability.
Electric heating could reduce emissions
The proposed system could use electrical heating elements instead of relying on gas-fired roasting. ČEZ owns 51% of Geomet, while European Metals holds the remaining 49%, creating potential opportunities to integrate the plant’s electricity requirements with the utility’s energy portfolio.
European Metals estimates that electric heating supplied by renewable sources could eliminate approximately 98,000 tonnes of CO₂ emissions annually. This remains a company estimate dependent on the final equipment configuration and electricity supply arrangements. The choice of heating technology will affect electricity infrastructure, energy contracts, operating expenditure and exposure to natural-gas and carbon-related costs.
€1.5 billion project requires further financing
The December 2025 definitive feasibility study estimated initial capital expenditure of approximately €1.5 billion after approved grants. It outlined annual production of 37,500 tonnes of lithium carbonate and an ore reserve of 54.4 million tonnes grading 0.58% lithium oxide.
The study projected a pre-tax internal rate of return of 14.8%, using a long-term lithium carbonate price assumption equivalent to approximately €22,600 per tonne, substantially above the Chinese spot-market reference quoted when the study was released.
Potential savings from the revised design include replacing two major processing units with one furnace, reducing energy demand and exhaust-gas volumes, and simplifying equipment installation. The proposed configuration would fit within the planned processing footprint at the Prunéřov chemical plant, approximately 59 kilometres by rail from the mine. Engineering contractors must still confirm equipment specifications, thermal performance, electricity demand and integration with downstream chemical processing before updated cost estimates can be prepared.
Public support and further testing
The Czech government has approved support of up to €360 million, and the project has also received approval for funding under the EU Just Transition Fund. Cínovec was designated a strategic development under the EU Critical Raw Materials Act in March 2025.
Previous testing included 1,500 kilograms of pilot-scale briquetting trials, laboratory and pilot roasting, reagent optimisation and assessments of material handling. Results also indicated that certain process by-products could be recycled into the kiln charge.
The next testing phase is scheduled for November 2026, using a shuttle kiln capable of processing 1.5-tonne briquette batches. Work will focus on temperature profiles, heating requirements, construction materials, ventilation and the mechanical behaviour of roasted material.
European Metals expects the redesign to avoid delays to the existing development schedule. Geomet must still complete engineering and testing, secure outstanding debt and equity commitments, and establish satisfactory offtake arrangements before the project can advance towards a final investment decision.
