09:50 AM EDT, 07/03/2024 (MT Newswires) -- Rio Tinto's (RIO) Canada unit Rio Tinto Exploration Canada has signed an agreement for the option to form a joint venture with Saga Metals, the latter said Wednesday.

The potential joint venture is related to the Legacy Lithium Project in the James Bay region in Quebec, Canada, Saga Metals said.

The mining company said that Rio Tinto Exploration has the option to acquire a 51% interest in the project over four years by meeting specified cash payments and exploration expenditures. Following this, RTEC will have the option to increase its stake to 75% by further investing in exploration, Saga added.

RTEC will manage the project operations during both option periods, with both companies collaborating on exploration strategies through a technical committee, Saga said.

Shares of Rio Tinto were up 2.9% in early Wednesday trading.

Price: 67.95, Change: +1.94, Percent Change: +2.94