Cáceres lithium mine project halted by Extremadura government

The Junta de Extremadura has denied Castilla Mining's request for a direct exploitation concession for the San José de Valdeflórez lithium deposit near Cáceres. The decision, issued by the Directorate General of Industry, Energy and Mines on 30 July 2026, cites the company's inability to provide the required documentation and the need for further geological studies, which are incompatible with a direct concession.

Cáceres mayor Rafa Mateos announced the project is now closed, calling it “water under the bridge” and praising the administration for following due process. He noted the project had generated years of controversy and that the company had admitted it still required new drilling, sampling and laboratory tests before any viable extraction could be demonstrated. The regional authority archived the procedure, effectively ending a decade‑long effort to develop the lithium mine.