Portuguese PM António Costa Resigns Amid Lithium, Hydrogen Corruption Investigation

Portuguese PM António Costa will face a separate inquiry for his alleged personal intervention to expedite the granting of licenses for lithium exploration and hydrogen production.

File Photo of Portuguese Prime Minister Antonio Costa

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Portuguese Prime Minister António Costa on Tuesday resigned from his position amidst a corruption probe. The investigation, which involves Costa and other political figures, pertains to alleged "misuse of funds, active and passive corruption by political figures, and influence peddling," as stated by public prosecutors, news agency AFP reported. In addition to the broader investigation, António Costa will face a separate inquiry for his alleged personal intervention to expedite the granting of licenses for lithium exploration and hydrogen production.

At a press conference, Costa remarked, "The duties of the prime minister are not compatible with any suspicion of my integrity", as quoted by AFP. He then announced his resignation, which was subsequently accepted by Portugal's head of state, President Marcelo Rebelo de Sousa. The president has called for a meeting of parliamentary parties to discuss the organisation of an early election, AFP's report stated.

Before dissolving the parliament and calling for early elections, the Portuguese President must convene the Council of State, which includes prominent political figures, former presidents, and other notable individuals. The president is expected to address the nation following the Council of State meeting.

On Tuesday, Portuguese media reported that investigators conducted searches at various ministries, as well as at Costa's official offices and residence. Public prosecutors later announced the indictment of Infrastructure Minister Joao Galamba and issued an arrest warrant for Costa's chief of staff, according to the report.

The investigation encompasses multiple areas, including lithium mining concessions in the northern region of Portugal, a hydrogen production project, and a data centre planned by the company Start Campus in Sines, located approximately 100 kilometres (62 miles) south of Lisbon.

Given concerns about flight risk and the potential for ongoing illegal activities, arrest warrants were also issued for the mayor of Sines and two executives at Start Campus. Additionally, the president of the executive board of the Portuguese Agency for the Protection of the Environment (APA) has been indicted as part of the probe, the report mentioned.