Savannah Resources (LSE:SAV) expects to complete the Definitive Feasibility Study (DFS) and environmental licence compliance process (RECAPE) in July 2026 for the Barroso Lithium Project in Portugal.
The company is currently focusing on completing numerous tasks, including the closure of metallurgical testwork. The final noise modelling for the RECAPE has also begun.
To maintain momentum against the current positive lithium price – at ¥146,500 per tonne – the DFS and RECAPE will be completed without further data collection from fieldwork.
Based on the new schedule for the study and process, Savannah expects to receive Barroso’s final environmental licence in Q3 2026. A final investment decision will also be reached by the end of this year.
CEO Emanuel Proença says the company is able to produce the RECAPE and DFS to the required standards without additional geotechnical and resource data, which will now be incorporated into future engineering studies.
“This is good news for all stakeholders, and it comes after detailed discussions and validation from our technical consultants and project finance advisors,” Proença says.
“Our course ahead is clear and the team and I look forward to achieving the many milestones which lie ahead for Savannah. We are confident that, by reaching these key milestones and progressing through the important steps along the way, we will continue to create significant value for the company as well as many benefits for the local region.”
A front-end engineering design is currently in the tendering exercise. Savannah has engaged with numerous engineering firms on this front and expects to select one in the coming weeks.
The company is also engaging with the Portuguese Government ministry and agencies involved in the temporary land access process. This is expected to be completed and approved in the near-term.
As previously reported, Savannah has been working with AICEP, the Portuguese Trade & Investment Agency, to align compatibility with any future project financing and other funding options to Barroso’s development. This follows the signing of an investment contract for up to €110 million ($182.5 million) of a non-reimbursable state grant.
Other memorandum of understandings (MoUs) have also been signed with four key local stakeholder groups. Additional MoUs will be provided in due course.
For several years, locals have resisted the offers of Savannah Resources to purchase the land of the Barroso Mine which has a lithium resource of 39 million tonnes @ 1.05% lithium oxide for 411,900 tonnes across five orebodies, as this news service reported.
Savannah Resources is a mineral resource developer focused on the Barroso Lithium Project in northern Portugal. The project is the largest battery grade spodumene lithium resource outlined to date in Europe and was classified as a ‘strategic project’ by the European Commission under the Critical Raw Materials Act in March 2025.
Write to Aaliyah Rogan at Mining.com.au
Images: Savannah Resources
