European mining developments are increasingly being shaped by access to processing capacity, strategic capital and existing infrastructure, with recent transactions involving Evolution Mining, AMG Critical Materials, Savannah Resources, Eldorado Gold and Talga Group highlighting different approaches to project development and consolidation.
Evolution expands copper position in Queensland
Evolution Mining has agreed to acquire Carnaby Resources for approximately A$213 million, using shares to consolidate the Greater Duchess copper-gold project near its Ernest Henry operation in north-west Queensland. Carnaby shareholders will receive 0.0682 Evolution shares per share, implying A$0.772 based on Evolution’s 24 July closing price. The offer represents a 60.4% premium to Carnaby’s previous A$0.48 close. Carnaby shares subsequently rose 57% to A$0.755, while Evolution gained almost 3% to A$11.60.
Greater Duchess has 29.2 million tonnes of resources grading 1.3% copper and 0.2 grams of gold per tonne, equivalent to approximately 441,000 tonnes of copper-equivalent metal. Probable reserves total 8.4 million tonnes at 1.7% copper and 0.3 grams of gold, or about 1.9% copper equivalent. Evolution estimates that the project could add around 10,000 tonnes of annual copper production at Ernest Henry by using available processing capacity rather than requiring a separate concentrator and operating infrastructure.
The acquisition also complements Evolution’s Bert project and consolidates Carnaby’s position in the Cloncurry district. The all-share transaction leaves Carnaby shareholders with approximately 0.9% of the enlarged Evolution, while preserving Evolution’s cash for development and debt reduction. Carnaby’s board unanimously recommends the transaction. Directors holding about 7.3% of the company support the deal, subject to the absence of a superior proposal and the independent expert’s confirmation. Completion remains subject to shareholder, court and regulatory approvals.
AMG takes control of German lithium development
AMG Critical Materials is acquiring the remaining approximately 71% of Zinnwald Lithium that it does not already own. The transaction is expected to become effective on 27 July, with Zinnwald’s AIM listing due to be cancelled on 28 July. AMG is paying approximately US$56 million, split equally between cash and new AMG shares. The offer values Zinnwald at about £57.2 million, or approximately 10 pence per share. The underlying Zinnwald lithium project in Saxony has a pre-feasibility estimate of €1.048 billion in initial construction capital. Its maiden reserve totals 128 million tonnes grading approximately 0.44% lithium oxide, supporting a mine life of more than 40 years.
Phase one is designed to produce 18,000 tonnes a year of battery-grade lithium hydroxide, with potential peak output of 35,100 tonnes. The project’s study estimates a €2.19 billion post-tax NPV and 19.8% post-tax IRR, based on a long-term lithium-hydroxide price of approximately €26,288 per tonne. AMG has provided Zinnwald with more than £14 million of funding since 2023 and operates a lithium-hydroxide refinery at Bitterfeld-Wolfen. The company plans to spend the next 18–24 months assessing a staged development rather than immediately committing to the full €1.048 billion construction plan.
Barroso moves into financing
Savannah Resources has begun formal project-finance work for its Barroso lithium project in Portugal, following its definitive feasibility study and initial non-binding bank offers. The DFS estimates US$417 million of initial capital expenditure, including pre-stripping and contingency. The figure falls to approximately US$283 million after recognising the capital portion of Portugal’s grant. Portugal has awarded Barroso up to €110 million in non-reimbursable support, including approximately €82.25 million linked to construction and €27.42 million tied to operating milestones. Savannah is also discussing financing with KfW IPEX-Bank and Euler Hermes.
Phase one has a 14-year operating life, producing an average 183,000 tonnes a year of 5.5% lithium-oxide spodumene concentrate. Total production is estimated at 2.56 million tonnes from 20.6 million tonnes of processed ore. At an assumed concentrate price of US$1,788 per tonne, the project carries a projected US$913 million post-tax NPV, 43.2% post-tax IRR and 1.9-year payback. Average C1 costs are forecast at US$473 per tonne and all-in sustaining costs at US$646 per tonne. Savannah has non-binding indications of demand for approximately 865,000 tonnes a year of by-products and maintains an offtake relationship with AMG Critical Materials. Construction is targeted for 2027, with first production in 2028.
Skouries reaches commissioning stage
Eldorado Gold’s Skouries copper-gold project in northern Greece has processed its first ore through the crushing circuit as commissioning progresses across crushing, grinding, flotation, concentrate handling and filtered-tailings systems. Stockpiles have reached approximately 3.9 million tonnes, including 3.4 million tonnes from the open pit. The project has 157.7 million tonnes of proven and probable reserves grading 0.74 grams of gold per tonne and 0.49% copper.
Over an initial 20-year mine life, Skouries is expected to produce approximately 140,000 ounces of gold and 67 million pounds of copper annually. Phase 2 construction capital has risen to about US$1.315 billion, with US$1.116 billion invested by 31 March. An additional US$260 million of accelerated operating capital includes expanded open-pit and underground mining, while US$82 million is intended to improve start-up readiness. Hellas Gold has fully drawn a €680.4 million term facility, while a €60 million cost-overrun facility remained undrawn at the end of March. All 12 towers and conductors for the project’s power connection are complete, although final energisation still requires inspections, metering, testing and regulatory approval. First concentrate remains targeted for the third quarter of 2026, followed by commercial production in the fourth quarter.
Talga seeks Japanese financing for Vittangi
Talga Group has signed a non-binding letter of intent with Japanese trading company Hanwa covering potential graphite-anode offtake and project investment in the Vittangi project in northern Sweden. The parties aim to negotiate binding agreements during the fourth quarter of 2026, following due diligence and term-sheet work in the third quarter. The proposed project is designed to produce approximately 19,500 tonnes of coated anode material annually from high-grade graphite at Nunasvaara South.
Vittangi has EU strategic-project status and access to conditional non-dilutive financing, including a €150 million European Investment Bank facility and a €70 million EU Innovation Fund grant. Talga has also entered preliminary arrangements with Mitsubishi Chemical and Dainen Materials. A project-level investment from Hanwa could reduce future equity requirements, while a binding offtake agreement could support debt financing.
Australia broadens scrutiny of critical-mineral financing
Australia is preparing to expand national-security scrutiny to cover offtake agreements, lending arrangements and other contracts that can give foreign state-linked companies indirect control over critical-mineral projects. The proposed framework could cover exclusive purchase agreements, loans linked to product sales and technical-control provisions. Legislation has not yet been drafted. The policy follows intervention involving Northern Minerals’ Browns Range heavy-rare-earth project, where the Federal Court imposed A$14 million in penalties in early 2026 after two investors failed to comply with a disposal order. Australia is also developing a A$1.2 billion Critical Minerals Strategic Reserve, intended to support projects involving rare earths, antimony and gallium through offtake, price-support mechanisms and selective stockpiling.
