Allied Critical Metals gains EU strategic status for Borralha tungsten

Allied Critical Metals Inc. CNSXACM OTCMKTSACMIF FRA0VJ0 reported on Thursday that its Borralha tungsten project in northern Portugal was included among 46 new European Union Strategic Projects.

The designation offers coordinated support and access to streamlined permitting, with a generally applicable 27-month maximum for extraction projects, subject to conditions and exclusions. It also provides help identifying financing opportunities, without guaranteeing funding or replacing environmental requirements.

The European Commission adopted its second strategic-project list on Oct. 9. Its selection criteria include contributions to European supply security, technical feasibility and environmental and social sustainability, placing the designation within a broader effort to develop extraction, processing and recycling capacity.

Allied's CNSXACM shares closed at C$1.59, down 7.02 per cent, in Toronto at 4 p.m. EDT on Oct. 14, according to Google Finance. That close preceded Thursday's company announcement.

Environmental Requirements Remain In Force

Allied says the 27-month permitting limit excludes certain periods, including preparation of the environmental impact assessment report. The headline timeline therefore does not establish a construction date or a date for first tungsten production.

Strategic status is intended to make permitting more predictable and help connect developers with European industrial customers and potential offtake partners. Allied describes Borralha as the only Portuguese project and the only tungsten extraction project in the new selection.

"Environmental impact assessments and applicable European and Portuguese environmental regulations remain in force following designation. Strategic Project status does not exempt a project from these requirements or constitute a separate environmental certification," Allied said in its Oct. 15 release.

The financing support involves identifying potential public and private sources, including European financing initiatives and relevant financial institutions. It does not represent a commitment to provide project capital, so a financing agreement would be a separate development.

Borralha Has Measured And Indicated Resources

In its Oct. 15 release, Allied reports 1.0 million tonnes of measured resources grading 0.22 per cent tungsten trioxide. Indicated resources amount to 12.0 million tonnes at 0.21 per cent.

A further 7.7 million tonnes classified as inferred grade 0.18 per cent. The estimate uses a 0.09 per cent cut-off and is reported undiluted and in situ; Allied cautions that resources are not reserves and have no demonstrated economic viability.

Read more: Antimony Resources reports 21.45 per cent antimony over 1.10m at Bald Hill

Allied is a Canadian developer with two wholly owned tungsten projects in northern Portugal, Borralha and Vila Verde. Its Sept. 28 announcement reported a US$15 million second tranche that completed a US$25 million private placement.

The planned uses of those proceeds include the Vila Verde pilot project, exploration and development at Borralha, and working capital. Allied also said in that September release that Borralha already benefited from a favourable environmental impact declaration, positioning it for advancement toward feasibility and development.

Allied's corporate calendar lists Mining & Critical Minerals Europe in London on Oct. 20 and 21 as its next scheduled event.