Arcadium is a vertically integrated lithium chemicals producer with upstream brine operations in Argentina,
hard rock projects in Canada, and re?ning facilities around the world.

“Acquiring Arcadium Lithium is a significant step forward in Rio Tinto’s long-term strategy, creating a worldclass lithium business alongside our leading aluminum and copper operations to supply materials needed for the energy transition,” Rio Tinto CEO Jakob Stausholm said. “It is an outstanding business today and we will bring our scale, development capabilities and financial strength to realize the full potential of its Tier 1 portfolio.”

Stausholm positioned the acquisition as a “counter-cyclical expansion,” meaning that Rio Tinto is acquiring a major lithium producer while spot lithium prices are down more than 80% versus peak prices. The company is banking on the long-term outlook for lithium, with more than 10% compound annual growth rate in lithium demand expected through to 2040 leading to a supply deficit.

As far as mining operations, the company has brine operations and projects in Argentina and hard rock projects in construction and preconstruction phases in Québec, Canada.

The Fénix and Olaroz brine operations produce 32,000 mt/y LCE and 43,000 mt/y LCE respectively. The Sal de Vida brine operation, which is projected to produce 15,000 mt/y, is currently under construction. The Cauchari brine project has the potential to produce 25,000 mt/y.

Located 30 km from Nemaska, Québec, the Whabouchi project is currently under construction and it’s projected to produce 235,000 mt/y of spodumene, which equates to 30,000 mt/y LCE. The Galaxy hard rock project, located 100 km from James Bay, Québec, is in the pre-construction phase. It’s expected to produce 310,000 mt/y of spodumene, or 40,000 mt/y LCE.

The transaction has been unanimously approved by both the Rio Tinto and Arcadium boards and it is expected to close in mid-2025.