Rio Tinto bags its lithium prize in a hurry

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Rio Tinto bags its lithium prize in a hurry
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With global lithium prices in a slump, mining giant Rio Tinto has wasted little time in buying US-based Arcadium Lithium for almost $10 billion.

Mining giant Rio Tinto has made a counter-cyclical move in the face of a global lithium slump, paying nearly $10 billion for Arcadium Lithium to position itself as a leader in the key energy transition commodity.

The swiftness of the deal’s conclusion is in stark contrast to another big Australian miner’s efforts earlier this year, when BHP attempted a $75 billion takeover of UK-listed Anglo American.Lithium is a key ingredient in the high-energy batteries that drive electric vehicles and provide storage and stability to integrated electricity grids.

“We are also facing challenging market conditions with the outlook for lithium prices continuing to remain depressed. China is a dominant global producer of lithium and is by far the world’s largest and best-resourced manufacturer of lithium batteries.

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