Palkovsky family firm has a vision to continue research and development of sodium borate project and create more than 1,000 jobs

In the past years, the business operations of Euro Lithium Balkan, which explores minerals in the vicinity of Valjevo, was turbulent, to say the least. The public has identified them with what is in their company name - lithium. In order not to confuse anyone, and bearing in mind that the company has given up on further lithium research for at least three reasons, the company has decided to change its name. They point out that the company has no cooperation, nor does it have any plans to work together with some other companies and projects that deal with geological research and mining in Serbia.

We were interested in learning more about who is behind this company, whose new name Palkovsky d.o.o. is, and what their future plans are.

The father Petr Palkovsky, a native of the former Czechoslovakia, is a marine biologist who moved to Canada and is known for inventing water-based paint, which has changed this industry globally and made it less harmful to the environment. His son, Alexander Palkovsky, has a master’s degree in business and sustainable energy, and has implemented more than 50 different renewable energy projects around the world.

Alexander Palkovsky, vice president and one of the founders of this company, in an interview for eKapija, points out that the company has completely given up lithium in Serbia. Their vision, he points out, is to continue with further research on sodium borates and potentially start a responsible production of this critical mineral that has more than 300 applications in various industry branches.

– We have completely given up on further research and exploitation of lithium. There are at least three reasons for this:

• The first is that previous geological research has shown that the concentration of lithium in the vicinity of Valjevo is relatively low.
• The second reason is that the technology that would be suitable for lithium processing and that currently exists does not meet our environmental protection criteria, that is, the way we want to work.
• The third reason is that the company is aware of the social attitude of the public regarding this issue and we do not want to be part of the division in society.

All three reasons actually stem from the principles we stand for as a family. Therefore, we have changed the name of the company to our family name and, this way, we want to show that we are ready to put our name and reputation behind this project.

We are not a large multinational company, but a family business, originating from this region. We want to work together with the public and the state, two key actors. This site belongs to the citizens and the final decision should be made by the state and citizens - that is our point of view, which, I believe, differs from the point of view of large multinational companies, whether they come from the West or the East.

If it were possible to develop this project in Vancouver, where I was born, or in Ostrava, where my father is from - I would still be in favor of that project. If we couldn’t develop it according to the highest environmental and safety standards, we wouldn’t be here. Our goal is not only to make a profit, but to leave behind a positive legacy for a long period of time in Serbia, but also in the world - showing that minerals can be processed in a sustainable way, with benefits for the local community and the whole society.

We aim to create a unique business model. For us, this project is not only a sustainable extraction of sodium borate mineral deposits, but the need to establish a development partnership together with Serbia that will ultimately benefit the current and future generations of Serbia – says Alexander.
Why sodium borates?

After abandoning lithium, their focus is on sodium borate minerals, which have been discovered in the Valjevo district. This deposit is the only known sodium borate deposit in Europe, and the company believes that this makes it relevant for the strategic and economic development of Serbia. They have invested about USD 15 million in research so far and hope to continue the research.

– Sodium borate minerals are very rare in the world. Currently, there are only two major sites that are active. One is in California and the other is in Turkey. The one in California is at the end of its life and only Turkey remains to supply the whole world.

Currently, Europe is 99% dependent on deposits in Turkey, the US is 60% dependent on Turkey for its sodium borate mineral supply, and China and India are dependent on Turkey for 60-80% of their needs.

If the public agreed to start a project for the underground extraction of sodium borate minerals near Valjevo, it would position Serbia as the main alternative supplier of sodium borate minerals in the world.

The potential geopolitical and economic importance of this project for Serbia is enormous.

These minerals have a wide range of applications, including:

• LCD screens,
• Semiconductors
• Wind turbines,
• Magnets,
• Solar panels,
• Nuclear safety systems,
• Hydrogen storage systems,
• Energy efficient homes (insulation materials),
• Aviation and defense industry.

The EU recognizes borates as critical and strategic, primarily because, on one hand, there is a risk regarding supply from Turkey, and on the other hand, because of the wide range of their application.


A plan for the development of a project that does not change life on the surface

Alexander Palkovsky points out that environmental protection is a key aspect of the project and that it has been proven that these minerals can be processed in an environmentally responsible and safe way, precisely because of the specificity of the form in which these minerals were found in the vicinity of Valjevo.

• The entire extraction process will take place underground; it is expected that this process will not affect the agricultural activities and lifestyle of the locals.
• Two slanted access tunnels will be constructed to access the deposits underground, thus minimizing the impact on the surface.
• The excavated chambers would later be filled with backfill material to preserve the stability of the terrain and prevent surface subsidence.
• When the ore is brought to the surface through these access tunnels, in a closed system using only hot water and salt (sodium carbonate), without the use of toxic chemicals, sodium borates will be extracted to produce a number of end products.
• Currently, nearby devastated areas could be restored by filling old pits with neutral, safe material from the process, thus rehabilitating these ecologically devastated areas.

This approach ensures minimal risk to the environment and is safe for the community.

– Unlike conventional methods, our technology avoids the use of toxic reagents, which ensures that the by-product does not contain harmful elements. This minimizes any environmental impact–if there is any in the first place.

The estimated operational life of the mine is decades, and it could fully meet Europe’s demand for sodium borates during that period.
What’s the next step?

If the public and institutions agree to proceed, it will take approximately six years before this project begins.

• 4 years of further research and engineering, analysis and study
• 2 years to build

They emphasize that they do not want to rush the development and that they will fully inform the public about the entire process.

– If after four years it turns out that our research is correct and the construction of the project starts, it will take another two years to safely complete the project – Alexander says.
Can economy and ecology work together?

Palkovsky believes that technology and willingness determine whether business and environmental protection can go hand in hand.

– The sector of renewable energy sources has developed in the past 20-30 years, showing that we can leave behind fossil fuels if we want to.

Investors are increasingly interested in sustainability. Climate change and pollution pose significant risks not only to the environment, but also to the economy and human health.

Investors do not like risks, so they look for partners and projects that work to minimize the impact on the environment. This is why we believe our approach is the right one.
A future with geothermal energy for Valjevo?

Palkovsky also highlights the geothermal potential of Valjevo, which is completely independent of sodium borate mineral deposits.

An analysis carried out on behalf of the company in 2022 identified five potential geothermal zones, one of which is located directly below the Valjevo heating plant.

• Geothermal potential could replace 100% of Valjevo’s heating needs, which currently depends on oil derivatives and fossil fuels.
• A complete geothermal system could significantly reduce air pollution and heating costs, improving public health and municipal finances.

If further exploration is approved, geothermal heat production could begin in three years, but first an investment of about USD 1.5 million in additional exploration would be required. The company has committed to fully funding this research and sharing the results with the public.

– Our goal is not just profit - we want to ensure that the local community is informed and that it benefits from every project we develop.

Palkovsky doo Valjevo

Petr Palkovsky

Alexander Palkovsky

sodium borates

lithium

geothermal potentials

geothermal energy