of mining dating back to the Roman era.
Portugal has a long history of mining dating back to the Roman era. The country’s mining industry is experiencing significant growth and transformation, aligning with the EU’s goals for raw material self-sufficiency.
Mining production in Portugal increased by 2.10% in December 2024 compared to the previous year. The country’s non-ferrous metal ore mining industry had a market size of €580.1 million in 2024, ranking 8th in Europe for revenue.
The sector has seen recent developments in lithium, copper, and other minerals, attracting substantial investments and strategic planning.
With some 60,000 tonnes of proved reserves, Portugal is Europe’s biggest lithium producer. Several projects are underway, including the Savannah mine in Boticas and the Lusorecursos mine in Montalegre, with a combined investment of around €4.6 billion expected in the coming years.
Portugal hosts Mina de Neves-Corvo the sixth-largest copper mine in Europe, which were sold in December 2024 to by Lundin Boliden Mining. The government has prioritized copper exploration in its strategic plan for green transition raw materials3.
Lundin Mining was working on a large-scale zinc expansion project at the Neves-Corvo mine in southern Portugal. Once completed, the expansion will significantly increase the mine’s capacity, reinforcing its position as a major zinc producer.
The Panasqueira Mine, located in central Portugal, is a historic tungsten deposit that has been operational throughout the 20th century. Panasqueira Mine is owned and operated by Almonty Industries Inc., which acquired the mine in January 20163. The mine primarily produces wolframite, the main ore of tungsten, along with small amounts of tin and copper.
Portugal has been involved in various mining and battery projects, showcasing its potential as a significant player in mineral extraction and renewable energy storage solutions.
World’s first solar panel/ lithium battery factory opened in Alentejo, Portugal in 2024 built by LuxOEnergy.
BigBATT, a 150 MW battery project developed by Portuguese utility company EDP that will be located next to the Ribatejo power station in Portugal, was one of the European projects selected by the Innovation Fund.
Chinese group CALB (standing for China Aviation Lithium Battery) has received a favourable environmental impact assessment, with ‘dozens of conditions’, for its €2 billion project for a lithium battery factory in Sines, Portugal.
International Players
Boliden (BOL.ST) : Operates the Neves-Corvo mine, which produces copper and zinc and is also involved in the large-scale zinc expansion project.
Portugal Fortescue Unipessoal Lda: is a subsidiary of Fortescue Metals Group, is involved in lithium research and exploration.
Savannah Resources (LSE AIM: SAV): Is developing Europe’s most significant resource of hard rock spodumene lithium Barroso Lithium Project.
Ascendant Resources (TSX: ASND): Engaged in base metal exploration and production, focusing on lead and zinc deposits.
Almonty Industries. A global mining company specializing in tungsten mining & exploration. Primary operations in Spain, Portugal, & S Korea.
Ibero Mining (TSX.V: IMC): Actively exploring for copper and gold in Portugal.
Avrupa Minerals (TSX.V: AVU): Focused on tungsten and other critical minerals.
Almonty Industries Inc. (TSX:ALL)Owns and operates the Panasqueira tungsten mine.
Sandfire Resources (SFR.AX) Joint venture partner in Portugal with Avrupa Minerals Limited developing the Alvalade Project.
Domestic Players
The Directorate-General for Energy and Geology. A central government body that continues to define, implement and evaluate public policies relating to energy and geological resources, with the aim of ensuring the regular and continuous satisfaction of collective needs in the sectors under its responsibility.
Somincor: A subsidiary of Boliden, operating in Castro Verde, Beja.
Lusorecursos Portugal Lithium: Portuguese company engaged in prospecting, extracting and processing raw materials, with a strong technological focus, in particular for the production of high quality lithium ion batteries.
Grupo Almina.A Portuguese mining company based in Aljustrel, ALMINA mines zinc, lead and copper.
Lifthium Energy Focused on refining lithium using sustainable technologies with a low carbon footprint – so – called green lithium.
Allied Critical Metals Corp. Mining exploration and development firm focused on two historically significant Tungsten (WO3) mining projects in northern Portugal – Borralha and Vila Verde.
Lepidico Limited. A vertically integrated lithium developer.
ALVARRÕES – Lepidico. Grupo Mota currently operates numerous mines and quarries in Portugal including the Alvarrões Lepidolite Mine, from which it produces approximately 20,000 tonnes per annum of lithium minerals, predominantly lepidolite.
Mineralia: A key player in industrial minerals, mining and processing feldspar, quartz, and kaolin for ceramics and glass industries.
Cimertex: A distributor of mining equipment, recently placing a major order with Sandvik for underground mining machinery.
In July 2024, the Portuguese government finalised a strategic plan to explore raw materials critical for the green transition, with a particular focus on copper and lithium8. This strategic emphasis aligns with broader EU initiatives, such as the Critical Raw Materials Act, which aims to secure a sustainable supply of energy-transition minerals.
The Portuguese government has also been proactive in creating a favourable environment for the growth of the mining sector by establishing clear and transparent regulations. These regulations help both national and foreign investors make informed decisions, plan effectively, and implement profitable mining projects. For instance, the general permitting system in Portugal could be improved if the mining law allows a unique mining title covering a long period from exploration to closure, streamlining processes and encouraging investment.
In addition to regulatory improvements, Portugal plans to issue an international tender for lithium prospecting licenses in 2025, a move that underscores the country’s commitment to expanding its lithium mining capabilities. This step is part of a broader strategy to position Portugal as a key player in the global market for critical raw materials needed for renewable energy technologies and electric vehicles.
Industry challenges
However, the industry faces challenges. A planned lithium refinery project by Galp and Northvolt was cancelled after Northvolt withdrew. The global lithium market has seen price declines, with prices falling by more than 45% in 2024 due to overproduction from China and a drop in EV demand. Additionally, there are concerns about the environmental and social impact of lithium mining, with local communities and environmental groups raising concerns about potential damage to ecosystems and livelihoods.
Moreover, empirical research highlights the socio-environmental impacts of lithium mining projects in Portugal, pointing out issues related to distributive, recognition, and procedural injustices. Addressing these concerns is crucial for ensuring that the benefits of mining activities are equitably distributed and that local communities are fairly treated.
Overall, Portugal’s strategies involve not only boosting exploration and extraction but also addressing environmental and social challenges to ensure sustainable development within the mining sector.
