A major lithium mine in Jiangxi province, operated by a subsidiary of CATL, is approaching a critical phase in its efforts to resume production after being shut down for a full year. The restart of the Jiangxiawo lithium mine has drawn significant market attention, with unverified rumors frequently stirring volatility in the capital markets.
According to a local government official in Yichun City, the environmental impact assessment (EIA) public participation disclosure for the mining project was completed on August 7th. The report is now pending submission for formal review by experts. When asked if this signals an imminent restart, the official clarified that the project requires a series of approvals. The process involves expert review of the EIA report, followed by another public notice period before the final EIA approval can be issued.
The Jiangxiawo mine, located in the Yichun area straddling Yifeng and Fengxin counties, is the world's largest proven lepidolite mine. It is operated by Yichun Contemporary Amperex New Energy Mining Co., Ltd., a subsidiary of CATL. The mine's original EIA approval for a 45-million-tonne-per-year ceramic clay (lithium-bearing) mining project was issued in August 2022. Operations were suspended on August 9, 2024, after the mining license expired, marking a full year of inactivity.
The suspension is not a simple matter of license renewal but stems from significant regulatory changes. Following the implementation of the new Mineral Resources Law on July 1, 2025, lithium is now classified as a strategic mineral, with approval authority transferred to the Ministry of Natural Resources. The mine's original classification as a ceramic clay (with associated lithium) operation no longer complies with the new regulations. The operator must now complete a change of the primary mineral category, adjust the development plan to meet comprehensive utilization requirements, and pay royalties for previously extracted lithium resources. It must also pass special inspections for tailings management and ecological restoration.
Over the past year, the mine's restart has been the subject of intense speculation. While the exact timeline remains uncertain, progress has been made recently. The EIA approval is a mandatory legal prerequisite for restarting operations. Prior to this, Yichun Contemporary Amperex New Energy Mining Co., Ltd. had already obtained a new Construction Project Land Pre-approval and Site Selection Opinion on June 17th, and a Safety Production License on June 29th.
When contacted by reporters, several lithium companies in the Yichun region stated that, based on the current progress, they expect the mine to restart sometime between the third quarter of this year and the end of the year. One local lithium firm noted that, given the typical licensing process for mining companies, the EIA approval is now at its final stage.