The constitutional court said that a 2022 government decision to revoke permits awarded to the Australian mining giant was "not in line with the constitution and the law".

However, the court added the government "decides on further realisation of the particular project".

The decision to halt the project followed massive demonstrations in Belgrade against the mine that activists label a permanent danger to the environment of the agricultural region.

Rio Tinto welcomed the court's decision, with project director Chad Blewitt saying it could become a "world-class" asset that can be developed safely according to both Serbian and EU standards.

Blewitt added the project could act as a "catalyst for the development of other industries and thousands of jobs" in Serbia now and in future.

The world's second-largest metals and mining corporation had hoped to develop the multibillion-dollar project in Serbia's western Jadar valley, known for some of Europe's largest lithium deposits

But the government said in 2022 it had invalidated "all permits, resolutions and decisions" related to the Rio Tinto project, forcing the firm to halt its work in the area.

The decision followed massive demonstrations in Belgrade against the mine, which activists said endangered the environment of the agricultural region.

- Political decision -

One of the main opponents to the project Savo Manojlovic slammed the court's decision as political and accused the tribunal of "trampling the constitution."

"The constitutional court made the decision ... in coordination with the political authorities and Rio Tinto", he said on X.

Activist Zlatko Kokanovic from the village where the mine is located, pledged that "if they attempt to implement the project in any way ... we will be forced to take new steps".

Several hundred people rallied on Thursday in front of the constitutional court before the decision was released.

"Ecology is above all political directions and opinions, we need to raise awareness and protect it," protester Filip Filipovic, a 20-year-old student, told AFP.

Opponents have accused both President Aleksandar Vucic and Rio Tinto of not being transparent about the process.

Vucic, in an interview with the Financial Times in June, suggested that the lithium mine could start as soon as 2028, based on new assurances from Rio Tinto.

The statement stirred public concern and sparked a new wave of protests.

According to Rio Tinto data, the mine in Jadar could produce 58,000 tonnes of lithium annually, enough for 1.1 million electric vehicles.

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RIO TINTO PLC