Rio Tinto sees lithium as fastest-growing division

RIO Tinto expects its lithium business to outpace all other divisions as the mining giant works to triple output by 2028 to meet rising demand from electric vehicle and battery storage markets.Jérôme Pécresse, who heads Rio’s aluminium and lithium unit, told Reuters on the sidelines of the Fastmarkets Global Lithium conference in Las Vegas that the company plans to produce at least 61,000 tons this year, scaling to 200,000t of capacity by 2028 if market conditions warrant it.Rio entered lithium last year through its acquisition of US-based Arcadium, gaining mines, processing plants and deposits across four continents, along with customers including Tesla, said Reuters. The purchase was made against a backdrop of depressed lithium prices caused partly by Chinese oversupply, a downturn that has only recently begun to ease.New mines in Argentina and Canada, designed to remain viable even at lower price points, are among the assets under development. Pécresse said roughly 90% of his time is devoted to delivering projects on time and within budget.Rio is targeting customers seeking long-term supply contracts, many of which include price floors and ceilings to protect both parties. The company is not currently pursuing further lithium acquisitions, with Pécresse describing the Arcadium portfolio as sufficient to reach the 2028 target.A key element of Rio’s growth strategy is direct lithium extraction technology, a primary driver behind the Arcadium deal, with at least one DLE project expected to launch within the next few years.Pécresse declined to comment on speculation about a potential merger with Glencore, citing a standstill period expiring in August.The post Rio Tinto sees lithium as fastest-growing division appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com