The mining giant said Monday it approached Arcadium, one of the world’s largest lithium firms outside of China, with a non-binding offer. Both companies said that a deal was not guaranteed, and that they wouldn’t comment further on a potential tie-up. An unnamed source told Reuters, which reported the merger talks on Friday, that Arcadium could be worth US$4 billion to US$6 billion or more. (The Logic, Reuters) 

Talking point: Arcadium shares rose over 35 per cent, rekindling investors’ interest in battery metals after a difficult few months in the industry. Arcadium Lithium, which runs Quebec’s Nemaska Lithium, told The Logic last month that it was interested in expanding in Ontario. It also said it’s seeking investment partners to restart its second Quebec project. It’s not the first time Rio Tinto has shown interest in Canada’s lithium industry: two years ago, it inked a $222-million subsidy deal with the federal government to increase production of lithium, titanium and scandium. Rio Tinto’s shares were little changed on the London Stock Exchange on Monday.