Extraction
01 Location
02 Ore
03 Ore Extraction
04 Standards
Location
The ore deposit is located about 15 kilometres northeast of the City of Valjevo.
Extensive exploratory drilling has confirmed and defined a high-quality sodium borate orebody at a depth of about 250–300 metres below the surface. The orebody is lens- and tabular-shaped, supporting safe and well-established underground mining.
The plan is to develop an underground mine from which ore would be brought to the surface through a pair of inclined underground access tunnels (declines) approximately 2 kilometres long.
The only visible part of the operation would cover about 10 hectares and would also be the only land parcels expected to be acquired for the project.
This operation area would host the entrances to two parallel inclined tunnels, a warehouse to stockpile the mined ore, a small office building, covered conveyors for ore transfer, and a loading ramp for transferring ore into freight trains. Please see the 3D Project Visualization for more details.
From there, ore would be transported by rail to a mineral processing facility that will be located near one of the large inactive coal pits pit areas. This means the roads around the operation would not experience any additional traffic from ore haulage.
By applying state-of-the-art, proven, and safe mining technologies, everyday life and nature at the surface would not be affected by the mine.
Ore
Borates are natural minerals composed of boron (B), oxygen (O), and other elements such as sodium, calcium, and others. These compounds are found in soil, water, and rock. Borates never occur as pure boron in nature; rather, they are bound with other elements to form a range of mineral species. Sodium borates are among the rarest and most distinctive borate minerals in nature. Thanks to their composition, this ore can be processed using a non-hazardous method based only on recylced hot water and sodium carbonate.
The Valjevo Borates deposit primarily consists of sodium borates and are exceptionally rare on a global scale. The Valjevo area hosts one of the three most significant known deposits of sodium borates in the world.
Valjevo Borates could provide up to 10% of global supply. Borates are essential to agriculture, pharmaceuticals, energy, the electronics industry, building materials, and aerospace industries.
This deposit positions Valjevo and Serbia as an important location in the global economy.
The ore lies at a depth of approximately 275 metres in a horizontal layer.
Ore exploration: the first step
To determine the exact position of the deposit, its thickness, tonnage, composition, and ore quality, the first phase involves exploration drilling through a defined number of exploratory boreholes. Drilling retrieves rock samples from depth, which are then analysed to obtain the necessary data about the ore.
The final drilling program, including the number, depth, and layout of boreholes, is defined in accordance with the globally recognized NI 43-101 standard, which ensures data reliability and transparency.
How is it done?
Exploratory drilling is similar to drilling a water well, using comparable drill rigs and principles.
The key difference lies in the objective:
- Water well: drilled until reaching an aquifer, with the goal of providing a steady inflow of water.
- Exploratory borehole: drilled to retrieve cylindrical core samples from depth, with the goal of obtaining knowledge about mineral composition and quality.
Core samples from each borehole are sent to laboratories, where geologists determine chemical composition and ore quality. Based on these data, a subsurface model of the deposit is created to define the extent and quantity of the ore.
Depth of exploratory boreholes
In the Valjevo area, exploratory boreholes are drilled to depths of 250–300 metres, because the sodium borate orebody lies at this depth (on average about 275 m).
What happens after exploration?
After exploration is completed and all required samples are collected, boreholes are permanently sealed. The entire opening is filled and sealed with inert materials (most commonly a mixture of soil and cement) to ensure no voids remain.
This ensures that:
- the natural integrity of the soil is restored,
- and the surface is returned to its original condition.
For a passer-by or a farmer using that land, there would be no visible trace that drilling took place.
Ore extraction
The plan is to develop an underground mining operation, meaning that mining activities would take place below the surface. Life at surface above the underground operation would continue undisturbed.
Access to the orebody
Because the ore lies in a horizontal orebody at a depth of about 275 metres, two inclined access tunnels approximately 2 kilometres long would be constructed. Ore would be transported to the surface through these declines using underground trucks.
Extraction
The underground mining method planned for the project is known as cut-and-fill. This method is well established and has been used extensively in similar types of deposits around the world. It involves extracting ore and then backfilling the mined underground openings with a concrete-like material to maintain structurally integrity of the ground and allow everyday activities at the surface to continue without exception.
How it works: a structured network of underground rooms (stopes) would be developed from which ore is extracted, while pillars of intact material temporarily remain in place to support stability until backfilling has occurred. Once ore is extracted, the walls and ceilings of these openings are reinforced to maintain structural integrity of the stopes. The underground openings are then filled with backfill material, meaning that mining voids are not left empty.
The application of this modern underground method is designed to ensure physical activities and life at the surface continues without disruption.
Following the highest standards, only ore-bearing sections would be mined, minimising the volume of barren host rock extracted. Ore would be mined using automated processes designed to prioritise worker health and safety.
Careful planning and strict operational standards are used to ensure safe and responsible underground operations in accordance with Canadian and international standards.
Bringing ore to the surface
Ore would be transported by large trucks through the tunnels to the surface on an elevated platform, temporarily stored in a covered stockpile warehouse, and then transferred via covered conveyors into freight trains. These trains would use the existing railway to transport ore to the processing facility to be located at an inactive coal mining area which is already industrialized.
Environmental impact
Because the mining operations would take place underground and mineral processing would occur at a separate location, this approach requires only a minimal surface footprint (approximately 10 hectares) and with neglible environmental impact.
Transporting ore by freight rail means that local roads would not experience additional traffic.
Everyday life and activities at the surface would continue normally, and nature’s integrity would be maintained.
Standards
NI 43-101: International standard for mining projects
Palkovsky Group operates in line with the highest international mining standards and follows NI 43-101 Standards for mineral exploration, handling, analysis, and disclosure. The standard is a Canadian legal requirement for public companies and governs how companies disclose mining related information in Canada – it is globally recognized as one of the strictest of such frameworks.
Its application requires that all technical reports be prepared by qualified and licensed experts using defined methodologies. This ensures that project data is credible, transparent, repeatable and verifiable. It reduces the risk of inaccurate assessments and strengthens confidence among governments, institutions, and investors.
Compliance with NI 43-101 demonstrates the company’s commitment to professionalism, responsible resource management, and long-term sustainable development.