AMG Completes Acquisition of Zinnwald Lithium

With AMG Lithium’s full acquisition of Zinnwald Lithium Plc., Saxony expects to accelerate the mining of this strategically important raw material. The specialist in the production and development of high-quality lithium-containing materials for energy storage aims to use this to advance the development of the lithium project in the Eastern Ore Mountains, according to the Saxon Ministry of Economic Affairs.

“Domestic lithium can help make Europe’s supply of critical raw materials more resilient and support the transformation of the automotive, battery, and high-tech industries. This strengthens Saxony’s position as a hub for raw materials and benefits all of Europe,” emphasized Minister of Economic Affairs Dirk Panter (SPD). The fact that an internationally active company like AMG wants to expand its operations in Saxony demonstrates the attractiveness of the region as a business location and the confidence international investors have in the Free State. 

Lithium is considered a strategic raw material

Lithium is one of the raw materials classified as strategic by the European Union and is a key component of modern batteries for electric mobility as well as stationary energy storage systems. The lithium deposit in the Eastern Ore Mountains is one of the most significant known deposits in Europe. Zinnwald Lithium Plc. is not a German stock corporation (AG), but a public limited company (Plc) incorporated under British law.

The full acquisition had been announced some time ago and has now been officially reported. Previously, AMG Lithium held approximately 30 percent of the shares in the parent company. AMG Lithium is part of the AMG Critical Materials N.V. group, headquartered in the Netherlands. About a year and a half ago, the company commissioned Europe’s first lithium hydroxide refinery in Bitterfeld-Wolfen.

Lithium mining to proceed in stages

AMG Lithium had announced that it would initially approach the mining of lithium from solid rock in stages to reduce the risk for all parties involved. So far, there has been talk of an annual mining volume of up to 1.5 million metric tons of lithium ore. In particular, the proposed locations for a processing plant and a tailings pile required for this project are meeting with resistance from citizens’ initiatives.