Fortune Minerals and Rio Tinto Collaboration

Shares of Fortune Minerals surged following the announcement of a collaboration with Rio Tinto aimed at expanding the production of cobalt and bismuth, two critical minerals in North America.

Stock Price Performance
In morning trading, Fortune Minerals' shares rose by 29% to C$0.05, significantly reducing the year-to-date decline to 31%.

Technological Advancement in Mineral Recovery
Fortune Minerals and Rio Tinto have joined forces to develop innovative technology that enhances the recovery of minerals. Through a memorandum of understanding, testing will be conducted at Rio Tinto's copper mining and smelting operations in Utah, as well as at Fortune's planned Alberta refinery.

Focus on Bismuth and Cobalt Recovery
The collaboration between the two companies primarily aims to assess various process methods and technology options for recovering bismuth and cobalt from Rio Tinto Kennecott's smelter waste.

Significance of Cobalt and Bismuth
Cobalt is a key component in the production of lithium-ion rechargeable batteries, widely utilized in electric vehicles. On the other hand, bismuth finds applications in automotive coatings, paints, and low temperature alloys and castings.

Government Support for Critical Mineral Production
Recognizing the importance of these critical minerals in new technologies, both Canada and the U.S. signed a Joint Action Plan on Critical Mineral Collaboration in 2020. The plan aims to facilitate production of strategic minerals including cobalt and bismuth within the two countries.