Rio Tinto has secured a $1.175 billion financing package from four international lenders to support development of its Rincon lithium project in Argentina's Salta Province, according to a company statement.

The financing comprises loans from the International Finance Corporation, IDB Invest, Export Finance Australia and the Japan Bank for International Cooperation. The proceeds will support development of the $2.5 billion Rincon lithium project, which targets approximately 60,000 tonnes of annual battery grade lithium carbonate capacity.

Construction of the plant began last year, including camp expansion works and development of site infrastructure. First production is expected in 2028 with a three-year ramp-up to full capacity. The project is expected to have a 40-year mine life.

"This financing package broadens our funding sources for the Rincon project and supports the continued execution of our lithium growth pipeline," said Jérôme Pécresse, Rio Tinto's Chief Executive Aluminium & Lithium.

The company previously reported a production target of approximately 53,000 tonnes of battery grade lithium carbonate per year for a 40-year period in December 2024. Rio Tinto stated that plans are in place to build for a capacity of 60,000 tonnes per year with debottlenecking and improvement programs scheduled to unlock the additional throughput.