Rio Tinto (ASX, LSE: RIO) has commenced its first commercial shipment of lithium carbonate from the Rincon project in Argentina, with a shipment of 200 tonnes leaving the Port of Buenos Aires for Shanghai, China. This marks a significant milestone for the company’s battery materials business, as Rincon is its flagship lithium asset.
Located in Salta province within the lithium triangle, Rincon aims for an annual production capacity of 60,000 tonnes. The project will start with a 3,000-tonne starter plant, expanding to a 57,000-tonne facility by 2028, with a total estimated construction cost of $2.5 billion. Rio Tinto has secured a $1.175 billion financing package from several international lenders to support its development.
The project is expected to sustain production of approximately 53,000 tonnes of lithium carbonates annually over a 40-year lifespan, enhancing Argentina’s role in the global lithium supply chain amidst a growing demand driven by the energy transition.
