Rio Tinto in $737M decarbonization and critical minerals production push

Rio Tinto (NYSE: RIO; LSE: RIO; ASX: RIO) is investing up to $515 million over the next eight years to decarbonize its Fer et Titane (RTFT) operations in Sorel-Tracy, Que. and to help diversify its critical minerals portfolio, while the federal government will contribute up to $222 million to the initiatives.

The partnership, worth up to $737 million will support innovations to reduce by up to 70% the greenhouse gas emissions from RTFT's titanium dioxide, steel and metal powders business, Rio Tinto said in a news release on Monday. 

About $515 million of the total investment will come from Rio Tinto, media relations director Simon Letendre said in an email. The federal government will invest up to $222 million over the next eight years through its Strategic Innovation Fund (SIF) to support the diversification of RTFT's portfolio as a North American supplier of critical minerals for electric vehicles, 3D printing and aerospace. 

Rio Tinto CEO Jakob Stausholm said in a statement that the company is committed to supporting a net-zero future. 

"We are excited to collaborate with the government of Canada to position RTFT for the future and strengthen the critical minerals and metals value chains in Canada and the United States,” he said.