LONDON, May 9, 2026, 19:03 BST
- Rio Tinto is considering boosting its involvement in McEwen Copper’s Los Azules project in Argentina.
- The step ramps up its copper ambitions following the collapse of discussions with Glencore.
- With London markets shut for the weekend, investors will have to wait until Monday to react to the report.
Rio Tinto is weighing whether to boost its 17.2% holding in McEwen Copper’s Los Azules project in Argentina, according to two people familiar with the matter. The company owns the stake through its copper tech arm, Nuton LLC. Rio wouldn’t comment. Michael Meding, managing director at McEwen Copper, described discussions as “fruitful,” adding that Nuton “makes so much sense.” Reuters
Timing is playing a key role here. Rio is working to expand its copper pipeline after it dropped merger discussions with Glencore. Miners are in a race for deposits that could supply data centres, power grids, and clean-energy developments. Wiring and electrical gear run on copper, but getting new mines permitted, funded, and built takes years.
Rio Tinto shares in London ended at 7,704 pence, up 0.26%, according to Bloomberg’s May 8 quote, which showed the market as closed. The next chance to gauge investor reaction will be when London trading resumes.
Los Azules is located in San Juan province, not far from the Chilean border. According to McEwen’s 2025 feasibility study, the project carries an after-tax net present value of $2.9 billion. The company expects average copper cathode production to reach 204,800 tonnes annually over the first five years.
The mine plan is crucial for Rio thanks to Nuton. This technology leans on bio-leaching—naturally occurring bacteria break down sulphide ore to extract copper. McEwen’s materials highlight it as a method that slashes energy consumption and sidesteps the need for tailings dams.
Rio’s message to investors: growth is on the table, but discipline comes first. “Every dollar must deliver value,” Chief Executive Simon Trott told shareholders on May 6. The company is aiming to unlock $5 billion to $10 billion in cash from its asset base, with copper, iron ore, aluminium and lithium still core to its portfolio. SEC
Rio’s merger talks with Glencore fell apart back in February, ending several months of discussions about a potential mining giant with a valuation north of $200 billion. Copper scale concerns ultimately sank the deal, a problem that’s growing across the industry.
BHP is after the same strategy. CFO Vandita Pant, speaking this week, argued that AI-fueled demand is boosting the appeal of copper exposure. She described copper as a “bottleneck” for investors who are shifting focus upstream, steering clear of betting on single tech names. Reuters
Argentina wants to convert that demand into dollars. Mining Minister Luis Lucero has estimated copper exports could hit $20.6 billion and lithium $12.1 billion over the next decade, boosted by RIGI—a major investment incentive plan aimed at giving big projects steadier ground.
It’s a roster of heavyweight backers at McEwen Copper. Stellantis controls an 18.3% stake—an EV supply chain play—while Nuton sits just behind at 17.2%.
But there’s no guarantee Rio will boost its holding. Funding for Los Azules is still up in the air. Back in March, Meding put the target at $4 billion, possibly with a $300 million IPO later this year. Construction hasn’t started, and the mine’s first output is still years off.
For Rio, Los Azules represents a more streamlined, less risky move than taking on Glencore. The copper project brings optionality, skipping the baggage of a full trading operation and coal exposure. Now, the real hurdles: price, securing funds, and hitting project deadlines.
