Rio Tinto has acquired PanAmerican Silver‘s stake in Agua de la Falda and formed a joint venture with Corporación Nacional del Cobre de Chile (Codelco) to explore and potentially develop the company’s assets in Chile’s Atacama region.
The acquisition, announced on 1 August 2023, consists of a $45 million operational share in Agua de la Falda and the grant of net smelter returns royalties. It allows Rio Tinto and Codelco to begin their joint exploration effort at the asset.
Rio Tinto CEO Jakob Stausholm and Codelco Chairman Maximo Pacheco met in Tokyo to formalise the new joint venture, which will be known as Nuevo Cobre (New Copper).
“Chile is one of the most important sources of the 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,” Stausholm said.
Pacheco commented, “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 formalize 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.”
Rio Tinto Exploration’s analysis of Agua de la Falda suggests potential for new copper discoveries, making it the focus of a joint venture on precious metals.
The collaboration builds on an agreement reached by the parties in October 2022 to improve safety, productivity, and environmental, social, and governance (ESG) outcomes in underground mining through innovation and technology.
