China-based miner Ganfeng Lithium has commenced production at its Mariana Salt Lake project in Salta Province in northern Argentina, reported Reuters.
This development marks the beginning of several lithium projects the company has under way in the country.
The Mariana plant was developed with an investment of $790m (5.76bn yuan) and is designed to produce 20,000 tonnes per annum (tpa) of lithium chloride from the Llullaillaco salt flat extraction.
The project, which began with a ground-breaking ceremony in May 2022, will support Ganfeng in bolstering its lithium production capacity.
In addition to the Mariana Salt Lake project, Ganfeng has invested $190m in constructing a solar park to meet the plant’s energy demands.
Ganfeng Lithium Group president Wang Xiaoshen stated that the company’s other Argentina lithium projects are progressing well.
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The Pozuelos-Pastos Grandes project is set to begin construction this year, while the Incahuasi–Arizaro project is in an advanced exploration phase.
The company is also involved with Lithium Argentina in the operational Cauchari-Olaroz project and the Pastos Grandes project, which is currently in the feasibility stage.
In August last year, Ganfeng completed the acquisition of a 14.9% stake in Proyecto Pastos Grandes (PGCo), the Lithium Argentina unit that owns the Pastos Grandes lithium brine development project, for 357.1m yuan.
Argentina’s Government, under President Javier Milei, has been supportive of mining initiatives, offering incentives that have been well-received by international copper and lithium miners.
Argentina, Chile and Bolivia are part of the “lithium triangle” in Latin America, which is known for having one of the largest reserves of the lightweight metal.
Despite some delays in lithium projects due to low prices and a slowdown in electric vehicle sales, the region continues to see development in lithium mining.
At the inauguration of the Mariana plant, Mining Secretary Luis Lucero highlighted the project’s potential to boost local economies and provide quality employment for hundreds of families.
The Mariana project, which Ganfeng fully owns, has a total lithium resource of approximately 8.12 million tonnes of lithium carbonate equivalent.
