Rio Tinto Takes Command Of Canadian Lithium Market With Major Stake In Nemaska

Rio Tinto secures majority interest in Canada’s Nemaska Lithium, marking a strategic move to secure lithium supplies. The partnership with the Government of Québec enables Rio Tinto to manage Nemaska Lithium and utilize its processes and standards to establish an integrated lithium business in Canada.

The deal sees Rio Tinto acquiring a 53.9% stake in Nemaska Lithium, with the Government of Québec holding a 46.1% share. The partnership is expected to be substantial, with Rio Tinto committing over $300m in 2026 to further develop its lithium operations in the region. Additionally, the Government of Québec plans to contribute up to $200m through equity subscriptions, providing a significant boost to the project’s funding.

Construction at Nemaska Lithium’s Bécancour site was 60% complete by the end of 2025, with engineering work currently finished. The site is expected to play a critical role in the production of lithium hydroxide, which will be used to supply various industries, including battery manufacturers and industrial customers.

The acquisition of Arcadium in March 2025 was a crucial step in securing Rio Tinto’s majority interest in Nemaska Lithium. This deal gave the company control over two key assets: the Bécancour lithium hydroxide plant and the Whabouchi spodumene mine in the Eeyou Istchee James Bay area of Québec.

The Whabouchi mine, which is wholly owned by Galaxy Mining, will be an important source of spodumene for Nemaska Lithium’s Bécancour plant. Commissioning activities at the Bécancour plant are scheduled to begin in 2026, with initial production anticipated in 2028.

Rio Tinto Aluminium & Lithium chief executive Jérôme Pécresse stated that Rio Tinto’s activities in Québec play an important role in the company’s ambition to take its world-class lithium business to the next level of growth and performance. The acquisition of Nemaska Lithium will enable the company to better support the long-term development of the business, expanding its integrated lithium product offering.

The partnership between Rio Tinto and the Government of Québec is seen as a strategic move to secure lithium supplies in Canada. With increasing demand for lithium from various industries, securing a stable supply chain has become increasingly important.

Furthermore, the acquisition of Nemaska Lithium gives Rio Tinto access to significant spodumene reserves, which will be used to produce high-purity lithium compounds for use in battery manufacturing and other applications. The agreement with the Aluminum Corporation of China, where both companies jointly acquired a controlling stake in Companhia Brasileira de Alumínio from Votorantim, highlights the growing importance of partnerships in securing access to strategic resources.

As demand for lithium continues to grow, partnerships like the one between Rio Tinto and Nemaska Lithium are likely to become increasingly common. With increasing competition for limited resources, companies are looking to form strategic alliances to secure access to key commodities. This trend is expected to continue as the global energy landscape evolves.

Securing access to key resources like lithium has become critical to a company’s success in today’s rapidly changing world. The partnership between Rio Tinto and Nemaska Lithium is an important step in the company’s efforts to establish itself as a leading player in the global lithium industry. With significant investments planned for 2026, this deal marks a major milestone in Rio Tinto’s strategy to expand its presence in the Canadian market.