Rio Tinto and Codelco formed a joint venture to develop a high-grade lithium project in Chile. Read why this partnership is bullish for lithium and investors in the LIT ETF.

Rio Tinto has signed binding agreements with Chilean state-owned copper mining company Codelco to establish a joint venture (JV) to develop the Salar de Maricunga lithium project in Chile by investing up to $900m (£672.

Rio Tinto, which could be granted an intellectual property permit if its DLE technology is used for the project, will hold a majority of seats on a technical committee with Codelco, and move to a 50-50 split once production begins, according to a filing with Chile's financial regulator.