Chile’s Codelco Partners with Rio Tinto for Strategic Lithium Development

Chile’s state-owned Corporación Nacional del Cobre (Codelco) announced Monday its selection of Anglo-Australian mining giant Rio Tinto as partner for developing the Salar de Maricunga lithium project in northern Chile.

The partnership agreement establishes terms for a joint venture that positions Chile to expand its role in the global lithium market. Under the deal, Rio Tinto will acquire a 49.99% stake in the project while Codelco maintains controlling interest with 50.01%.

The Anglo-Australian mining conglomerate, the world’s second-largest mining group, has committed to contribute up to $900 million toward project development.

The Salar de Maricunga represents a significant lithium resource, ranking as the world’s second-highest concentration of lithium in salt flats after Chile’s Salar de Atacama.

This strategic asset gains importance as global demand for lithium continues to surge amid the ongoing energy transition and electric vehicle manufacturing boom.

Máximo Pacheco, Codelco‘s board chairman, emphasized the competitive nature of the partner selection process. He noted that the agreement demonstrates lithium’s strategic value as a critical mineral.

Codelco’s Strategic Partnership Advances Chile’s Lithium Sector

It also highlights Codelco’s reputation as a business partner and Chile’s attractiveness for foreign investment. The selection followed extensive groundwork by Codelco teams, including site visits to Maricunga.

They also conducted presentations for interested parties and responded to numerous information requests from potential partners. This thorough process ensured the selection of a partner with appropriate technical expertise and financial capacity.

Rio Tinto CEO Jakob Stausholm expressed honor at being chosen to develop this world-class project. The companies plan to utilize Direct Lithium Extraction technology, a more efficient and environmentally friendly alternative to traditional evaporation ponds.

“The development of this important lithium resource will generate greater growth and added value in our portfolio of critical minerals,” Stausholm stated, emphasizing these resources’ essential role in the global energy transition.

The joint venture will capitalize on previous exploration work, engineering studies, and environmental permits already secured for the salt flat.

This partnership marks a significant step in Chile’s strategy to maintain state control over its lithium resources while leveraging private sector expertise and capital to maximize their value.