Mining News - June-July 2022

Legislative News

 

Resolution No. 46/2022, issued by the Mining Secretariat, published in the National Official Gazette on 06/30/2022

The Resolution extends 60 calendar days the deadline for submitting affidavits regarding Sections 8 (fiscal stability), 12 and 13 (Income tax), 18 (affidavit showing the work and investments actually carried out by the company), and 23 (environmental conservation) of the Mining Investments Law No. 24196, corresponding to fiscal year 2021.

Agreement Decree No. 1600/2022, published in the Official Gazette of the Province of Catamarca on 07/22/2022 

This Decree creates the Participative Commission for the Development of the Western region of the Province of Catamarca (CPDOC, by its acronym in Spanish) to involve the community in the infrastructure works, investment projects, and productive development within the framework of a strategic plan for the municipalities of the western region. The role of the CPDOC  consists of outlining and identifying needs and projections in areas where mining projects are located, or within the framework of the Territorial Strategic Plans, prepared by the Ministry of Labor, Planning and Human Resources. The CPDOC  will be chaired by the head of the Ministry of Labor, Planning and Human Resources, and will include representatives of the indigenous communities where the mining projects or the location of the Strategic Territorial Plan to be designed are located, as well as citizens interested in the assessment and identification of developmental needs and projections in their regions, among others. 

Jujuy Provincial Law No. 6278 - "Mesa Nacional del Litio"

This law endorses the act signed in Salta by the Lithium Mining Region for constituting an Executive Committee of the Lithium Round Table and creating the corresponding work subcommittees.

 

Mining in the Media

 

“Lithium in Argentina: White Gold Fever”, article published by Ámbito on 06/23/2022

The government is looking at the mining sector to attract dollars from investments and exports. In May, mining exports recorded their highest value since 2018, and in the year-to-date, they had a year-on-year increase of 41.5%. A highlight was the improvement in foreign sales of lithium, which rose 166.5%. The Ministry of Productive Development expects sales will increase tenfold, enough to displace gold from the first place.

“The President Celebrated an Agreement with a Chinese Company to Make Use of Lithium Privilege.”, article published by Nueva Rioja on 06/25/2022

President Alberto Fernández highlighted that Argentina is a "privileged" nation for having the "second largest lithium reserves in the world", after signing an agreement with Li Zhen, CEO of the Chinese company Gotion High Tech, for the company to establish two plants in the country. One of the companies will produce electric buses, and the other will manufacture lithium cells and batteries. in association with national motorbike and auto parts company, Corven. 

Gotion Inc. manufactures lithium batteries for the automotive industry in several countries, and ranks fifth globally in the industry, as well as producing lithium carbonate grade batteries and cells.

“Ministry of Productive Development’s Report on the Performance of the Mining Industry in Argentina”, article published by La Opinión Austral on 06/27/2022

According to this report, Santa Cruz is still the main metalliferous district, contributing with 81% of the silver sold from January to May of 2022, and 49.8 % of the gold sold during the same period. 

In May, mining exports reached USD 327 million, the highest record in that period since 2018.

“San Juan, a Leader in the American Copper Era”, article published by Tiempo de San Juan on 06/28/2022

San Juan ranks first in the district with the highest production potential in Argentina and the continent, according to the local Mining Ministry. The country's high copper potential is in the Central Andes area, next to Chile and Peru, with an approximate copper reserves value of 1,033 million metric tons for the region. This represents 40% of the world's copper reserves, with San Juan leading in development, since five of the eight national copper megaprojects are from San Juan.

“AngloGold Ashanti Acquires Gold Projects from Latin Metals Located in Salta”, article published by LexLatin on 06/30/2022

AngloGold Ashanti signed a binding agreement with Vancouver-based Latin Metals to acquire the Organullo, Ana Maria, and Trigal gold projects in the Province of Salta, Argentina, for USD 12.5 million.

“Mining Development: Copper and Lithium Are the Two Leading Resources Attracting Foreign Currency”, article published by Energía News on 07/21/2022  

According to the President of the Argentine Chamber of Mining Entrepreneurs, Franco Mignacco, the industry is experiencing sustained growth, and a great future can be predicted. Estimates shows that, for this year, the figure will be around USD 3,800 or USD 4,000 million. Argentina has two major minerals to consolidate the expansion of the mining activity: copper and lithium. Josemaría Project stands out as the most advanced initiative, but the importance of the Pachón, Los Azules, Taca Taca, and Mara projects should not be overlooked. As for lithium, investments are expected for over USD 5,000 million.