European Metals Holdings Ltd (LON:EMH) told investors that it remains “entirely focused” on working with all stakeholders related to its assets in the Czech Republic.
The company has issued a statement following public statements by the Minister of Industry and Trade, and correspondence sent to the company, which it said purports to terminate a Memorandum of Understanding with the ministry.
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It said: “The MOU outlines mutual willingness to explore downstream processing opportunities, Czech academic research into lithium processing, potential future co-operation and discussing and exploring possibilities of future agreements.
“All company rights are derived from the current Czech legal system, notably the geological and mining act, not the MOU.
“Any termination of the MOU would not in any way affect the exploration rights of the company or the company's tenure over its exploration permits and the company continues to progress the project with ongoing metallurgical testwork, discussions with offtakers and preparations for feasibility drilling underway.”
The company added that it is entirely focused on working with all stakeholders, including the Minister, to successfully develop the Cinovec Project as a first-in-kind project that will pave the way for a successful lithium mining and processing industry in the Czech Republic.
It now looks forward to meeting with the minister in the near future.