Rio Tinto and Codelco complete Nuevo Cobre exploration joint venture agreement

The acquisition, announced on 1 August 2023, comprises a 57.74% operating stake in Agua de la Falda for US$45 million and the grant of net smelter returns royalties. It paves the way for Rio Tinto and Codelco to start its joint exploration project at the asset.

Jakob Stausholm, Rio Tinto Chief Executive, and Maximo Pacheco Chairman, Codelco met in Tokyo to formalise the new joint venture, which will be known as Nuevo Cobre (New Copper).

Rio Tinto Chief Executive, Jakob Stausholm, said, “Chile is one of the most important sources of copper and other critical minerals the world needs to deliver the energy transition and achieve net zero. With this partnership, we are bringing together our complementary experience and capabilities. Codelco’s local knowledge and expertise is second to none and we have a global track record in exploration. I am very much looking forward to getting our work on the ground started.”

Codelco Chairman, Maximo Pacheco, added, “This is an unbeatable opportunity for Codelco and Rio Tinto to join our knowledge, experience, strengths, and capabilities to accelerate exploration and development of these assets to contribute the copper that the world needs for its energy transition. We are very pleased to formalise this partnership with Rio Tinto and acknowledge our mutual commitment to following the best standards of health, safety, community relations, and care for the environment.”

Agua de la Falda has previously been explored for precious metals with minimal modern exploration for copper. Analysis by Rio Tinto Exploration indicates it is prospective for new copper discoveries, which will now be the focus of the joint venture. The partnership builds on a collaboration agreement between the two companies signed in October 2022, aimed at encouraging innovations and technology to improve safety, productivity and environmental, social, and governance (ESG) outcomes in underground mining.

Read the article online at: https://www.globalminingreview.com/mining/10112023/rio-tinto-and-codelco-complete-nuevo-cobre-exploration-joint-venture-agreement/