Unlocking critical raw materials in the Western Balkans: research highlights opportunities in legacy mining

A new study by the Centre for European Policy Studies (CEPS) explores the untapped potential of Critical Raw Materials (CRMs) in the Western Balkans, emphasizing how recovering these resources from decommissioned mining sites and mine tailings could drive economic growth, enhance EU supply chains, and accelerate regional integration.

Titled “Enhancing Resource Cooperation in the Western Balkans“, the report positions the region as a key partner in the EU’s push for raw material security amid global geopolitical shifts. CRMs, such as lithium, cobalt, rare earth elements, and copper, are essential for technologies like electric vehicles, renewable energy systems, and digital infrastructure.

The EU’s Critical Raw Materials Act (2023) aims to reduce dependency on imports from China and other nations by boosting domestic and near-shore sourcing. The Western Balkans – comprising Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia – hold significant historical mining legacies from the Yugoslav era, with vast quantities of CRMs locked in abandoned sites and waste tailings.

The promise of recovery from decommissioned sites and tailings

One of the report’s most compelling aspects is the opportunities arising from reprocessing mine tailings and revitalizing decommissioned sites. These “legacy” assets, often seen as environmental liabilities, represent a “circular economy goldmine,” according to CEPS analysts. Tailings – fine-grained waste from ore processing – contain recoverable concentrations of CRMs that were uneconomical or technologically infeasible to extract decades ago. Modern techniques, including hydrometallurgy, bioleaching, and AI-driven sorting, could now yield high-value materials at lower costs than new mining.

The study estimates that the Western Balkans’ tailings dams alone could supply up to 10-15% of the EU’s annual CRM needs for select metals like antimony, bauxite, and graphite.

For instance: – In Serbia’s Bor mining district, decommissioned copper mines and tailings could recover thousands of tons of copper and rare earths annually, potentially generating €500 million in revenue over a decade. – Albania’s chromium-rich tailings from Cold War-era operations offer opportunities for ferrochrome production, vital for stainless steel in green tech. – Bosnia’s lead-zinc tailings in Srebrenica and other sites hold cobalt and indium, with recovery projects estimated to create 2,000-3,000 jobs in remediation and processing.

These initiatives not only address EU supply vulnerabilities – exacerbated by recent U.S. tariffs on minerals and Russia’s weaponization of resources – but also provide environmental benefits. Reprocessing tailings reduces acid mine drainage, stabilizes hazardous sites, and restores land for agriculture or renewable energy projects. Projects that integrated recovery programs could cut regional CO2 emissions by 20% compared to primary mining, aligning with the EU’s Green Deal.

Economic and geopolitical opportunities

Economically, the report forecasts that CRM recovery could add €2-3 billion to the Western Balkans’ GDP by 2035, fostering SME clusters in recycling tech and attracting EU investments via the Global Gateway initiative. This would diversify economies overly reliant on coal and heavy industry, while creating skilled jobs in a region plagued by youth emigration.

Geopolitically, the study argues that partnering with the EU on CRMs could fast-track Western Balkan countries’ accession processes. By aligning with EU standards on sustainable mining and supply chain transparency, nations like Serbia and Bosnia could leverage CRM diplomacy to resolve bilateral disputes and strengthen ties with Brussels.

The report warns, however, of challenges: weak regulatory frameworks, corruption risks, and foreign influence (e.g., from China in Serbian lithium projects) could hinder progress without targeted EU support.

Recommendations and path forward

CEPS recommends establishing a “Balkan CRM Alliance” under EU auspices, with funding for pilot recovery projects, technology transfers, and capacity building. It calls for €1 billion in EU grants over five years to map tailings, assess viability, and train local experts. The study also urges integrating CRM strategies into EU enlargement talks, emphasizing that “recovering the past can secure the future.” As global demand for CRMs surges – driven by the energy transition and tech boom – this CEPS research underscores the Western Balkans’ role as a strategic asset. By transforming waste into wealth, the region could not only bolster Europe’s resilience but also pave its own path to prosperity and integration.

Legacy mining holds notable potential in EU member states such as Bulgaria and Romania (not covered by the CEPS report), which have rich historical mining traditions and untapped or underutilized deposits of critical minerals like copper, tungsten, or rare earths.

EU policies, particularly through the CRMA, do not explicitly single out “legacy mining” for preferential treatment over new (greenfield) projects, but they effectively favour and facilitate the reactivation or redevelopment of existing/legacy sites by prioritizing faster permitting, access to funding, and strategic designation for projects that can quickly contribute to domestic supply targets.

In practice, this has benefited legacy-related or brownfield initiatives in countries like Romania, where disused sites from the 1990s have been revived or designated as strategic under the CRMA, alongside expedited legislation and potential EU funding to reduce bureaucratic hurdles and support green transition goals.

Bulgaria shares similar geological potential, though fewer specific legacy reactivations have been highlighted in recent CRMA strategic project lists compared to Romania. Overall, while the CRMA applies broadly, its streamlined processes and incentives tend to advantage legacy mining where infrastructure or data already exist, making it more viable than entirely new operations in many cases.

Caption: Illustrative photo. Asarel Medet mining activities in Bulgaria. The country has largely untapped potential in legacy mining. [Website of Asarel Medet]