Posted on 13 Nov 2023
Mining major Rio Tinto and Chilean state-owned copper producer Codelco have formalised a joint venture (JV) to explore and potentially develop assets in the country’s Atacama region, Kallanish reports.
On Wednesday, Rio Tinto completed the acquisition of PanAmerican Silver’s 57.74% stake in Agua de la Falda for $45 million to form the JV called Nuevo Cobre (New Copper). Codelco owns the remaining 42.26% interest in the firm.
Rio Tinto chief executive Jakob Stausholm notes Chile is one of the most important sources of copper and other critical minerals essential for the energy transition.
“With this partnership, we are bringing together our complementary experience and capabilities,” the top executive adds. “Codelco’s local knowledge and expertise is second to none and we have a global track record in exploration.”
Calling the partnership an “unbeatable opportunity” for both firms, Codelco chairman Maximo Pacheco adds that the venture can help “accelerate exploration and development of these assets to contribute the copper that the world needs for its energy transition.”
The partnership follows a collaboration agreement the two firms signed in October 2022. While Agua de la Falda was previously explored for precious metals, there has been minimal modern exploration for copper. The JV will focus on joint copper exploration at the asset, after analysis by Rio Tinto indicated the prospective for new copper discoveries.
Early this year, Rio Tinto formed a JV with Canadian firm First Quantum Minerals to develop the La Granja copper project in Peru. Located in Cajamarca, the asset, one of the world’s largest undeveloped copper deposits, is estimated to have an inferred mineral resource of 4.32 billion tonnes at 0.51% copper.
Source:Kallanish
