The Chinese capital company formalized the submission to incorporate its integrated PPG project into the Incentive Regime for Large Investments (RIGI). Ganfeng operates the Mariana project in Salta, which made its first lithium export to China in February.
By Panorama Minero
Ganfeng Lithium announced the formal submission of the application to adhere to the Incentive Regime for Large Investments (RIGI) for the development of the Pozuelos–Pastos Grandes (PPG) project, located in the Puna of Salta. The venture is led in the country by its subsidiary Lithea Inc., in association with Lithium Argentina.
The estimated investment amounts to approximately US$3 billion, structured in three stages of development. According to what was reported by the company, the project would reach a maximum production exceeding 150,000 tonnes per year of lithium products when operating at full capacity. The first phase already has an approved Environmental Impact Declaration (DIA).
An Integrated Project in Two Salt Flats
The Pozuelos–Pastos Grandes project integrates the resources of the Pastos Grandes and Pozuelos salt flats, in the Los Andes department. It is located 13 kilometers south-southwest of Santa Rosa de los Pastos Grandes, 56 kilometers from San Antonio de los Cobres, and 154 kilometers northwest of the city of Salta.
The development area is situated at an average altitude of 3,785 meters above sea level and covers more than 8,664 hectares within the Salar de Pastos Grandes. The initiative contemplates the expansion of existing infrastructure, including camp and operational facilities.
Recent Precedent in the RIGI
The submission of PPG occurs after, last July, the Mariana project—also operated by Ganfeng in Salta—was not admitted into the RIGI. On that occasion, the Ministry of Economy indicated that the initiative did not comply with the requirements related to minimum future investment commitments required by the regime, given that it was already in an advanced phase of execution. Ganfeng carried out in February the first export of 240 tonnes of lithium chloride produced in Mariana.
With the new application, the company seeks to frame the integral development of Pozuelos–Pastos Grandes within the incentive scheme provided for large investments, in a context of expansion of the lithium project portfolio in northwest Argentina.
Regional Presence
Ganfeng Lithium established in the province of Salta its regional center for Latin America, from where it coordinates its operations in the region. The company participates in different lithium projects in Argentina and thus consolidates its positioning in the South American lithium triangle.
The administrative decision regarding the admission of PPG into the RIGI will be decisive for the execution schedule of the three planned stages and for the financial scheme associated with one of the largest investments currently projected in the Argentine lithium sector.
