Board Shakeup Signals Strategic Shift as San José Project Faces Regulatory Roadblocks

Regulatory Extension Amid Complex Challenges

Infinity Lithium Corporation has been granted a further three-month extension by the Extremadura regional government to submit additional technical documentation for its San José Lithium Project mining licence application. This extension, pushing the deadline to October 2025, comes as the company grapples with regulatory demands it deems unreasonable, particularly the mandate to repeat metallurgical test work within Spain.

The company argues that no accredited laboratories currently exist in Spain to perform these tests to the required UNE-EN 14899 standard, unlike the original tests conducted in Germany and Australia. Constructing such facilities would be prohibitively expensive and time-consuming, further complicating the project’s progress.

Drill Core Constraints and Administrative Hurdles

Adding to the challenge, Infinity Lithium faces a dwindling supply of drill core, essential for various analyses including geotechnical and lender due diligence. The company cannot replenish this core due to permit revocations and administrative setbacks unrelated to its own actions. Using the remaining core for repeated tests risks exhausting this critical resource, potentially stalling the project indefinitely.

Moreover, access to the site for further drilling requires approvals from a separate administrative body, which have yet to be granted. Infinity Lithium is advocating for a suspension of the permitting process until these access issues are resolved, highlighting the complex interplay of regulatory requirements that currently stall both the San José project and a neighboring lithium project in Extremadura.

Strategic Board Changes Reflect New Focus

In parallel with these operational challenges, Infinity Lithium has announced significant changes to its board composition. Matthew O’Kane, a seasoned executive with over 25 years’ experience across mining and commodities sectors globally, has joined as a Non-Executive Director. His appointment aligns with the company’s strategic pivot towards advancing its Australian precious metals projects, including gold, silver, and copper assets in Victoria.

Meanwhile, long-serving European-based directors Remy Welschinger and Jon Starink have retired, marking a clear shift in focus away from European lithium projects. Executive Chairman Adrian Byass expressed gratitude for their contributions, underscoring the company’s intent to streamline costs and concentrate on opportunities with more immediate prospects.

Market Context and Forward Outlook

The lithium market currently faces depressed pricing and reduced capital availability, factors that compound the difficulties Infinity Lithium encounters in securing partners and funding. Despite these headwinds, the company emphasizes the strategic value of the San José deposit as a major European lithium resource with advanced technical groundwork.

Infinity Lithium is preparing to submit feasible documentation that does not require third-party authorisations, while reserving the right to seek legal suspension of the permitting process if further extensions are denied. The company remains engaged with regional authorities and stakeholders to navigate this regulatory impasse.