European Metals Holdings Limited saw its share price surge 60% in trading following the announcement that it has been awarded a grant of up to €360 million (approximately £315 million) from the Czech Government to support development of the Cinovec Lithium Project.
The funding, provided under the “Strategic Investments for a Climate-Neutral Economy” programme and subject to final administrative completion, represents a significant endorsement of the project at both national and EU level.
Cinovec has been designated a Strategic Project by the European Commission and classified as a Strategic Deposit by the Czech Government, reflecting its importance in strengthening Europe’s supply of critical raw materials required for the transition to a climate-neutral economy. The grant will be paid as a subsidy to reimburse eligible capital expenditure, providing substantial financial backing to accelerate project advancement and reduce development risk.
Executive Chairman Keith Coughlan described the grant as a “transformational milestone” for both European Metals and the Cinovec Project, noting that the Czech Government’s award of up to €360 million represents one of the largest direct funding commitments to a critical raw materials project anywhere in the European Union. He said the scale of the support, following the project’s formal strategic recognition, highlights Cinovec’s growing importance to Europe’s future electromobility ambitions.
Coughlan added that the timing of the grant aligns with an improving outlook for lithium markets and heightened geopolitical focus on securing critical raw material supply chains. In his view, the funding decision further reinforces the depth of backing for Cinovec at both Czech national and European Union levels, strengthening its position as a cornerstone project in the region’s transition to a low-carbon economy.
