PORTUGAL Law and Practice Contributed by: Manuel Protásio and Catarina Coimbra, VdA
cession for exploitation – and over the physical facilities created for support of mining activities – as security of credits/loans for the exploitation works, and must be previously communicated to DGEG. The enforcement of mortgages must follow the rules of the Code of Tax Procedure and Proceed - ings and of the Civil Procedure Code until the moment of auction, which must be executed by the DGEG through public tender. 6. Mining: Outlook and Trends 6.1 Two-Year Forecast for the Mining Sector One of the most prominent trends in the Por - tuguese mining sector – which is likely to con - tinue for the next couple of years – is the inter - est in lithium exploration and other activities in the lithium value chain. In fact, in addition to the projects under development for the massive exploitation of lithium reserves, several initiatives aim to establish lithium conversion plants. The development of downstream lithium processing facilities is crucial for adding value to raw lithium resources, and support for the EU’s goals for a sustainable battery supply chain in Europe and Portugal is making strides in this direction.
As these projects are moving forward, it is expected that both national and European legis - lation will be adapted to address the challenges of this growing industry. Portuguese legislation for the mining sector has also seen significant changes in recent years with the enactment of a new and more efficient legal and institutional framework, introducing substantial modifications to the regulation of mining rights and the extractive industry sector in general. Such changes relate, in particular, to the follow - ing: • the distribution of exploitation benefits (ie, royalties) between the state, municipalities and local populations; • the possibility of having the relevant conces - sion agreement imposing that minerals are processed on national territory; • more demanding environmental sustainability regulations (in compliance with “green min - ing” standards); and • the recognition of the wider inspection powers of the regulatory agency; and v) the promotion of public participation/consultation in the awarding procedures for the granting of mining rights.
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