Galan Lithium (ASX:GLN) Hombre Muerto West project in Argentina is a potential medium-term target for mergers and acquisitions, with mining giant Rio Tinto Group (ASX:RIO) and South Korean steelmaker Posco Holdings both developing areas of the same basin, Euroz Hartleys said in a Thursday note.

The project is targeting production in early 2026 and is still in the commissioning phase with a small start-up scale, however, successful commissioning presents an opportunity for investors, Euroz Harlteys said.

A key de-risking catalyst is securing full project financing while rising lithium carbonate prices could enhance the project's outlook, Euroz added.

Euroz Hartleys started a speculative buy rating on Galan Lithium at a price target of AU$0.20.

Shares of the mining firm rose past 4% in recent Friday trade.

Price (AUD): $0.13, Change: $+0.0050, Percent Change: +4.17%