By Terell Wright

An Austrian federal administrative court overturned a decision that waived an environmental impact assessment for a Critical Metals lithium mining project.

The Federal Administrative Court agreed that the mining exploration company's project is smaller than the 10-hectare threshold in the Austrian law, but ruled the existing law is non-compliant with European Union law.

The court ordered the Carinthian government to conduct a case-by-case review of whether the project could lead to environmental harm, overriding the size limit due to the potential precedence of EU law.

The court also allowed an appeal to the Administrative Court of Justice, noting there is no prior case law on whether the Austrian regulation complies with EU requirements.

"This decision by a lower court is surprising and completely contrasts the EU's desperation to be self-sufficient in critical minerals," said Critical Metals' Chief Executive Tony Sage.

Sage said the ruling will not affect the mining project's timeline and is confident the company's full environmental approval will be reinstated.

Write to Terell Wright at terell.wright@wsj.com

(END) Dow Jones Newswires

November 25, 2025 17:48 ET (22:48 GMT)

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