Stock Markets May 8, 2026 07:56 AM

Rio Tinto Weighs Increasing Stake in Argentina’s Los Azules Copper Project

Company assessing economics and testing proprietary leaching technology as it looks to expand its copper pipeline

By Priya Menon RIO

Rio Tinto is reviewing the economic prospects of the Los Azules copper deposit in Argentina and is considering raising its current 17.2% interest. The assessment is being carried out by Rio’s technical team alongside tests of Nuton LLC’s leaching process, while McEwen Copper and other investors press ahead with financing plans for the large-scale project.

Rio Tinto Weighs Increasing Stake in Argentina’s Los Azules Copper Project
RIO

Key Points

  • Rio Tinto is evaluating the economic potential of Los Azules and may increase its 17.2% stake through its Nuton LLC venture - sectors affected: mining and metals.
  • Nuton is testing proprietary leaching technology at the project site while Rio’s technical team reviews project economics - sectors affected: mining technology and project development.
  • McEwen Copper seeks about $4 billion in initial capital for development; Stellantis and Nuton are existing major investors, reflecting links to the automotive and EV supply chain - sectors affected: automotive, EV batteries, and capital markets.

Rio Tinto is conducting an internal evaluation of the economic potential of the Los Azules copper project in Argentina and is contemplating increasing its existing 17.2% stake, according to industry sources. The interest in Los Azules - ranked among the world’s 10 largest undeveloped copper deposits - comes as major miners prioritize large-scale copper assets to meet rising demand from data centres and the global clean energy transition.

The miner holds its position in Los Azules through Nuton LLC, its copper technology venture. Sources familiar with the matter said Rio Tinto’s technical team is assessing the project's economics while trials of Nuton’s proprietary leaching technology are under way at the site.

Rio Tinto declined to comment on the review.

"We are obviously discussing with our existing partner Nuton because their technology makes so much sense," Michael Meding, managing director at Canadian miner McEwen Copper, said. "Now that Rio Tinto is building their copper pipeline, they basically have a mandate to add copper for their production profile. So we are having fruitful conversations."

Securing a larger interest in Los Azules would strengthen Rio Tinto’s pipeline of copper projects at a time when new discoveries are limited and competition for high-quality deposits is intense, the sources said. The push toward organic growth through stakes in undeveloped deposits has become a focus for Rio following the collapse of merger talks with Glencore.

Nuton initially invested about $100 million to acquire its stake in McEwen Copper, which is a subsidiary of McEwen Mining, according to McEwen’s investor presentation. Alongside Nuton, automaker Stellantis holds an 18.3% stake in McEwen Copper, having put in roughly $275 million as part of its efforts to secure raw materials for electric vehicle batteries.

McEwen Copper is seeking approximately $4 billion in initial capital to move Los Azules into development. A feasibility study released in October 2025 estimated an after-tax net present value of $2.9 billion for the project, which targets first production by 2030. The study projects average production over the first five years at about 204,800 metric tons per year of copper cathode.

The company has also indicated plans for an initial public offering of about $300 million toward the end of this year as part of its funding strategy.


As Rio Tinto evaluates the site and Nuton’s technology is trialled on location, the economic and technical assessments will be central to any decision to increase its stake. The combination of sizeable capital requirements, ongoing technical validation and broader competition for copper assets frames the immediate outlook for Los Azules and its current investors.

Risks

  • Significant financing needs - McEwen Copper is seeking approximately $4 billion in initial capital to develop Los Azules, a material funding requirement for project progression - impacts capital markets and mining sector.
  • Technical and operational uncertainty - Nuton’s proprietary leaching technology is still being tested at the site, and results will influence project economics and timing - impacts mining operations and technology deployment.
  • Competitive and strategic uncertainty - scarcity of new large discoveries and fierce competition for quality copper assets increases strategic pressure and may affect deal dynamics - impacts mining M&A and resource allocation.

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