The Government of Rwanda has formalized a partnership through a Memorandum of Understanding (MOU) with Rio Tinto Minerals Development Limited, focusing on the exploration and mining of lithium in Rwanda’s Western Province.
Rio Tinto Group is a British-Australian multinational company that is the world’s second largest metals and mining corporation (behind BHP).
The signing follows prior meetings between the company executives with President Paul Kagame, including one during the just concluding the WEF 2024 in Davos with Jakob Stausholm, the company’s CEO.
President Kagame had also met with Dominic Barton, Chairman of Rio Tinto for a discussion on strategic partnerships in July 2023.
Yamina Karitanyi, CEO of Rwanda Mines, Petroleum, and Gas Board, underscored the significance of this collaboration, emphasizing, “The entry of Rio Tinto marks Rwanda’s resolve to further unlock the potential of the country’s mining sector. This development is part of our continued efforts to boost and modernize Rwanda’s mining sector with the application of the highest Environmental, Social, and Governance (ESG) standards.”
Rio Tinto Minerals Development Limited, an integral part of the globally recognized Rio Tinto mining and materials conglomerate operating in 35 countries, brings a wealth of experience to expedite the exploration and mining of primary lithium deposits in Rwanda’s Western Province.
Lawrence Dechambenoit, Global Head of External Affairs at Rio Tinto, expressed enthusiasm about the partnership, stating, “Rio Tinto is excited to be partnering with the Government of Rwanda, applying our global experience to accelerate the search for primary lithium deposits in Rwanda’s Western Province.”
The timing of this collaboration aligns with the surge in global lithium demand, driven primarily by the burgeoning electric vehicle (EV) market and the push for renewable energy storage.
According to industry reports, the global lithium market is expected to witness a compound annual growth rate (CAGR) of over 16% from 2021 to 2026, reaching a projected value of US$5.8 billion by the end of this period.
Lithium plays a pivotal role in the production of batteries for electric vehicles and renewable energy storage systems, making it a critical resource for the sustainable energy transition.
Rwanda’s strategic move to explore and mine lithium aligns not only with the nation’s economic development goals but also with the global shift toward greener energy solutions.
The collaboration between the Government of Rwanda and Rio Tinto positions Rwanda to capitalize on the burgeoning lithium market, contributing to the global efforts for a sustainable and low-carbon future.
This venture combines local insights with Rio Tinto’s global mining expertise, enhancing Rwanda’s position in the evolving lithium landscape.
As the demand for lithium continues to rise globally, Rwanda’s exploration and mining efforts reflect a forward-thinking approach to meet the challenges and opportunities presented by the evolving green economy.
