Mining giant Rio Tinto (ASX:RIO) and Corporación Nacional Del Cobre de Chile (Codelco) have signed binding agreements to form a joint venture to develop and operate a “high-grade” lithium project in the Salar de Maricunga in Chile.
Under the agreement, Rio Tinto will acquire a 49.99% interest in Salar de Maricunga through which Codelco holds its licenses and mining concessions in the Salar de Maricunga, by funding studies and development costs.
The transaction is expected to close by the end of Q1 2026, subject to receipt of all applicable regulatory approvals and the satisfaction of other customary closing conditions.
The agreement is touted as the next step in a broader strategic partnership to strengthen both Rio Tinto’s and Chile’s positions as suppliers of materials for the global energy transition.
Salar de Maricunga is a large lithium-containing resource base in the Atacama region, which Rio Tinto says has potential for scalable, long-life, and low-cost production.
“Its brine has one of the highest average grades of lithium content in the world,” Rio Tinto says.
As part of the deal. Rio Tinto will invest $500 million into the company once a decision is made to proceed with the project, towards construction costs. These milestones are subject to further studies and are targeted to occur before the end of the decade.
Rio Tinto will also deploy $350 million of initial funding into the company towards additional studies and resource analysis to progress the project through to a final investment decision.
And $50 million will be invested into the company if the joint venture achieves its aim of delivering first lithium by the end of 2030.
The partners will fund further capital requirements in line with their share of ownership of the joint venture.
Rio Tinto Chief Executive Jakob Stausholm says Codelco is a strategic partner for Rio Tinto in Chile, with this agreement building on its copper joint ventures.
“We aim to bring significant investment and long-term benefits to the Atacama region as we advance Maricunga and Nuevo Cobre together, with a focus on responsible sustainable development including shared infrastructure and solutions to minimise water usage,” Stausholm says.
Codelco Chairman Máximo Pacheco says the project continues the company’s lithium diversification strategy, “which is essential for the energy transition, with a world-class partner in Rio Tinto that represents the most attractive option for Codelco and the country”.
Global lithium demand is forecast to grow by almost 13% a year to 2030, driven by rising electric vehicle (EV) adoption and battery energy storage system (BESS) deployment. Electric trucks and other heavy-duty vehicles are expected to represent a growing share of global lithium demand over the outlook period
Chile’s lithium extraction is set to rise in level terms, however the pace of growth is forecast to lag other lithium producers. This is forecast to see its share of global extraction fall to 15% by 2030 from almost 24% in 2024, according to the Department of Industry, Science and Resources (DISR) March 2025 Resources and Energy Quarterly.
Write to Adam Orlando at Mining.com.au
Images: Rio Tinto
