Rio Tinto Secures $1.175 Billion Financing Package for Rincon Lithium Project
Rio Tinto’s Rincon lithium project is located in Argentina’s Salta province, within the ‘lithium triangle.’ Copyright© 2025 Rio Tinto
Key Points
- Rio Tinto has secured a $1.175 billion financing package from four international lenders — IFC, IDB Invest, Export Finance Australia, and JBIC — to fund the Rincon lithium project in Argentina.
- The package supports the $2.5 billion Rincon expansion plan targeting approximately 60,000 tonnes per year of battery-grade lithium carbonate; plant construction has already begun.
- Rincon uses Direct Lithium Extraction (DLE) technology and is expected to sit in the first quartile of the global lithium cost curve, with ore reserves 60% higher than assumed at acquisition.
- First production is targeted for 2028, with a three-year ramp-up to full capacity and a projected mine life of 40 years.
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The Financing Package
Rio Tinto has secured a $1.175 billion financing package from four international lenders to support development of the Rincon lithium project in Argentina’s Salta Province, according to an announcement on March 10, 2026.1 The package comprises loans from the International Finance Corporation (IFC), IDB Invest, Export Finance Australia (EFA), and the Japan Bank for International Cooperation (JBIC).
The proceeds will be used to support development of the $2.5 billion Rincon project, which is targeting approximately 60,000 tonnes of annual battery-grade lithium carbonate capacity. Construction of the plant started last year, including camp expansion works and development of site infrastructure.
Rio Tinto’s Chief Executive Aluminium & Lithium Jérôme Pécresse said: “This financing package broadens our funding sources for the Rincon project and supports the continued execution of our lithium growth pipeline, which is underpinned by the attractive long-term outlook driven by the energy transition. We appreciate the strong support from IFC, IDB Invest, Export Finance Australia and JBIC as we progress the Rincon project.”1
Rincon Project Background
Rio Tinto approved a $2.5 billion investment in December 2024 to expand the Rincon project in Argentina’s Salta province, marking the company’s entry into commercial-scale lithium production.2 The project’s total capacity of 60,000 tonnes of battery-grade lithium carbonate per year is comprised of an existing 3,000-tonne starter plant and a 57,000-tonne expansion plant currently under development.
Located in the heart of the ‘lithium triangle’ — the region spanning Argentina, Bolivia, and Chile that holds a large share of the world’s known lithium resources — Rincon consists of brine extraction using a production wellfield, processing and waste facilities, and associated infrastructure. The project employs Direct Lithium Extraction (DLE) technology, a process that supports water conservation, reduces waste, and produces lithium carbonate more consistently than conventional evaporation pond methods.2
Direct Lithium Extraction (DLE)
DLE is a technology that selectively extracts lithium ions from brine without the need for large solar evaporation ponds. Compared to traditional methods, DLE significantly reduces water consumption and land use, accelerates production timelines from years to hours, and delivers higher lithium recovery rates — making it increasingly favoured in new project development.
Rincon’s ore reserves came in 60% higher than assumed at the time of acquisition, and the project is expected to be in the first quartile of the global lithium cost curve — a competitive position that gives it resilience through lithium price cycles.2 The mine life is projected at 40 years, underpinning the long-term return profile of the investment.
Construction of the expanded plant began in 2025, with camp expansion works and site infrastructure now underway. First production is targeted for 2028, followed by a three-year ramp-up to full capacity. When approving the investment in December 2024, Rio Tinto Chief Executive Jakob Stausholm described the asset as “tier 1, world-class” and highlighted the company’s use of advanced technology to halve the amount of water used in processing, while maintaining strong ESG standards and community partnerships.
The project also benefits from Argentina’s Incentive Regime for Large Investments (RIGI), which offers lower tax rates, accelerated depreciation, and regulatory stability for 30 years — providing long-term protection from policy changes and enhanced investor protections.2