Global mining giant Rio Tinto is pushing ahead with the development of the Roche Dure lithium project in the Democratic Republic of Congo (DRC), considered one of the world’s largest lithium deposits.
On April 1, Bloomberg reported that Rio Tinto is in talks with the Congolese government to develop the Roche Dure lithium project.
Previously, Australian mining company AVZ Minerals attempted to develop the Roche Dure area. However, the DRC government revoked its mining rights, and arbitration proceedings are now underway.
The DRC is currently facing political challenges due to military conflict driven by rebel groups backed by Rwanda. This instability has made it difficult for companies to invest in the region.
Despite the political risk, Rio Tinto is moving forward with lithium development. While its competitor, BHP Group, is focusing on investments in politically stable countries, Rio Tinto appears willing to accept the risks involved in resource development.
This move comes as Rio Tinto’s stock has been under pressure. On March 31 (local time), its shares dropped 2.75%, nearing a 52-week low of $58.52 and not far from its three-year low of $57.87.
Rio Tinto currently operates in 35 countries, mining industrial metals such as iron ore, aluminum, and copper. The company’s market capitalization is approximately $101 billion.
