FILE - In this file photo taken on Wednesday, March 22, 2017, Otto Janout, a prospector and one of the four founders of Geomet company, points at ore containing lithium inside a former mine located at the border with Germany near the village of Cinovec, Czech Republic. Australia's company European Metals Holdings (EMH) that has signed an agreement of understanding with the Czech government about a possible mining of lithium in the Czech Republic. Recent explorations have found the biggest deposit of lithium in Europe in northwestern Czech Republic. (AP Photo/Petr David Josek, File)
October 02, 2017 - 9:02 AM
PRAGUE, Czech Republic - The Czech Industry and Trade Ministry says it has signed a memorandum of understanding with European Metals Holdings, a step for the Australian company toward mining lithium, a key component in electric batteries.
Europe's biggest deposit of lithium has recently been found in the northwestern part of the Czech Republic. EMH has had an exclusive license to explore for the element and the right to seek permission to mine.
It plans to open a mine at Cinovec, on the German border, and previously said it wants to produce about 3,800 tons of lithium a year.
That would place the country among the top five lithium producers in the world.
As part of its deal with the ministry, EMH agrees to process the lithium in the country.
News from © The Associated Press, 2017