Rio Tinto had invested approximately €640 million in Serbia by the end of 2025, while its Jadar lithium project has shifted into a low-activity phase as the company awaits a political decision on its future. Financial statements of Serbian subsidiary Rio Sava Exploration show a sharp reduction in new investment, lower funding from the parent company and efforts to settle existing liabilities.
The political process could determine whether Rio Tinto resumes development, seeks another investor or considers legal measures to protect its investment. The timing is becoming more important as some project permits are due to expire in the first half of 2027.
Capital spending drops to minimum
Rio Sava’s capital expenditure fell from RSD 2.25 billion in 2024 to just RSD 6.9 million, or less than €60,000, in 2025. Parent-company funding declined from RSD 10.5 billion to RSD 4.1 billion over the same period. Cash reserves fell from RSD 2.74 billion to RSD 548.5 million, equivalent to about €4.7 million.
Rio Sava paid more than RSD 5 billion to domestic and foreign suppliers during the year. Payments to foreign suppliers increased twelvefold, from RSD 246 million to approximately RSD 3 billion. Staff costs reached RSD 1.52 billion, largely reflecting severance payments. The subsidiary recorded an operating loss of RSD 5.85 billion, or approximately €50 million.
More than €600 million committed to Jadar
Rio Tinto has provided around €200 million to Rio Sava through share capital, while additional capital reserves used for exploration and development reached approximately €436 million. Total funding therefore stands at about €640 million. Accumulated losses have reached approximately €604 million, covering expenditure on exploration, studies, drilling, consultants, legal services, salaries and community programmes. Costs incurred directly by Rio Tinto headquarters outside Serbia are excluded and could increase the overall investment figure.
Project-related assets remaining in Serbia are valued at around €36 million. These include land and properties in the Jadar Valley worth approximately €16.2 million, along with intellectual property and processing technology valued at about €19.4 million. The economic value of those assets depends on the continuation of the mining project. If Jadar is abandoned, Rio Tinto could face writedowns or seek to transfer the project to another investor.
Rio Sava reduces long-term liabilities
Rio Sava has eliminated its long-term liabilities, while approximately RSD 1.21 billion of remaining obligations are classified as short-term. At the end of 2025, the company held enough cash to cover roughly half of those liabilities and approximately one month of operating costs. Rio Tinto continues to provide financial support, with the group allocating another €24 million for its Serbian operations in 2026.
Rio Tinto had originally planned to invest $2.4 billion in Jadar. The investment cycle stalled following public protests and the withdrawal of political support. The upcoming political process will determine the environment in which Rio Tinto must address the project as permits approach expiry, maintenance costs continue and more than €600 million in invested capital remains without a return.
