By buying Arcadium, Rio would gain access to lithium mines, processing facilities and deposits in Argentina, Australia, Canada and the United States to fuel decades of growth, as well as a customer base that includes Tesla, Ford, BMW, and General Motors.

Rio Tinto has agreed to buy U.S. based Arcadium Lithium for $6.7 billion, it said on Wednesday, a deal that will catapult it to become the world's third largest miner of the metal used in electric vehicle batteries.

Rio Tinto, the world’s second-largest metals and mining group, has agreed to acquire smaller peer Arcadium Lithium for $5.85 per share, valuing the company at