The group said the Zijin Mining project is one of the many highly polluting Chinese investments undertaken "without necessary environmental and social due diligence"

Zijin said it signed a deal with Xanadu Mines to buy a 19.9% stake at A$0.04 ($0.0296) per share, and another 50% stake in Xanadu unit Khuiten Metals for $35 million.

The plant will be situated in the Tres Quebradas project, the northern province of Catamarca, and will aim to produce 20,000 tonnes of lithium carbonate per year

China's Zijin Mining Group said on Monday it had launched its first lithium exploration project via a joint venture with Democratic Republic of Congo-owned firm Cominiere