The lithium sector is one of the most dynamic in Argentina, along with hydrocarbons.

In November of last year, Codelco, the Chilean state copper company, formalized a strategic association with the Anglo-Australian mining company Rio Tinto, with the aim of carrying out joint work on copper.

And although the agreement targeted the red metal, the company also decided to invest in a lithium plant, specifically in Argentina.

According to information collected by the EFE Agency , Rio Tinto will invest US$350 million in the construction of a lithium processing plant within its Rincón project, in the northern Argentine province of Salta.

The CEO of Rio Tinto Group, Jakob Stausholm, met this week with the governor of Salta, Gustavo Sáenz, with whom he analyzed the Rincón lithium exploration project, within the Salar de Rincón.

“The company announced that it plans to invest US$ 350 million in the construction of a battery-grade lithium carbonate processing plant, with production estimated to begin by the end of the year, while it works on the development of a larger plant,” it emerged.

The Rincón project was acquired by Rio Tinto in early 2022, with an investment of US$ 825 million.

The managing director of the project, Guillermo Caló, specified that the plant will have the capacity to process 3,000 tons of lithium carbonate per year.

MEETING WITH THE ARGENTINE GOVERNMENT

Both Agencia EFE and Argentine media indicated that Rio Tinto authorities met in Buenos Aires with the Chief of Staff of Argentina, Nicolás Posse; and with the Minister of Economy, Luis Caputo, “to analyze the government's measures to open the economy and investment opportunities in the mining sector,” according to official sources.

Lithium is now one of the most dynamic sectors in Argentina, along with hydrocarbons.

Argentina is the fourth largest producer of lithium in the world (behind Australia, Chile and China), the third in reserves (behind Chile and Australia) and the second in resources (behind Bolivia).

The country currently has a portfolio of 50 lithium projects, of which three are in production: Olaroz (from Arcadium Lithium, a merger of the Australian Allkem and the American Livent), Fénix (from Arcadium Lithium) and Caichari Olaroz (from the Chinese Gafeng).

Due to the potential of the projects in advanced construction, Argentina plans to soon climb to third place as the world's largest lithium producer.