Rio Tinto secured a $1.175 billion financing package from the International Finance Corporation, IDB Invest, Export Finance Australia, and the Japan Bank for International Cooperation to support its Rincon lithium project in Salta Province, Argentina. The funding will back a $2.5 billion development that aims to produce 60,000 tonnes of battery‑grade lithium carbonate per year over a 40‑year mine life, with full production expected in 2028.
The Rincon project is part of Rio Tinto’s broader lithium strategy, which also includes the Sal de Vida and Fénix projects in Argentina and a hydroxide facility in Canada. The financing de‑risks the project and provides the capital needed to advance construction—begun in 2025—and to ramp up to full capacity. Multilateral backing from IFC, IDB Invest, EFA, and JBIC signals strong confidence in the project’s viability and in Rio Tinto’s execution capability.
The project will use Direct Lithium Extraction (DLE) technology, offering significant water‑conservation benefits and higher processing efficiency in the arid Salta region. This technology positions the project as a sustainable and cost‑competitive source of lithium, aligning with global demand for battery materials driven by electric‑vehicle and energy‑storage growth.
Rio Tinto’s chief executive for aluminium and lithium, Jérôme Pécresse, said the financing “broadens our funding sources for the Rincon project and supports the continued execution of our lithium growth pipeline, which is underpinned by the attractive long‑term outlook driven by the energy transition. We appreciate the strong support from IFC, IDB Invest, Export Finance Australia and JBIC as we progress the Rincon project.” The quote underscores the company’s confidence in the project’s strategic fit and the broader shift toward future‑facing metals.
The financing comes at a time when Argentina’s regulatory environment has become more favorable to large‑scale mining, with initiatives such as the RIGI incentive scheme encouraging investment. Combined with Rio Tinto’s recent acquisition of Arcadium Lithium for $6.7 billion, the company is positioning itself to capture a larger share of the global lithium supply chain as demand continues to accelerate.
Investors have expressed positive sentiment toward Rio Tinto’s expanding battery‑materials portfolio, reflecting confidence in the company’s long‑term growth strategy in a market increasingly focused on clean‑energy transition.
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