Rosatom subsidiary aims to diversify business and invests in mining lithium for battery production.
Uranium One Holding, a subsidiary of Russia’s Federal Agency for Atomic Energy, better known as Rosatom, has signed an agreement to establish a joint venture with Alpha Lithium Corporation. The goal is to develop the Tolillar lithium deposit in Argentina’s Salta province, Uranium One said Monday.
Uranium One intends to increasingly diversify its business model, including the development of rare earth deposits and deposits of technology metals, as well as investing in the production of biofuels.
Under the agreement now announced, the company will acquire for $30 million a 15 percent stake in Alpha Lithium Corporation, which in turn holds a 100 percent stake in Alpha Argentina, the project company that owns the exploration and production rights to the Tolillar lithium deposit.
Lithium is needed primarily for the production of batteries, and demand is rising rapidly due to the increasing number of electric cars. However, mining is repeatedly criticized due to environmental concerns. Meanwhile, Uranium One assures that the project will be developed taking into account the interests of local communities and using innovative technologies that have minimal impact on the environment.
Photo: iStock/Cavan Images