Zijin Mining plans to spend US $380 million to set up Lithium Plant in Argentina

It is reported that China Zijin Mining will invest US $380 million through its local subsidiary Liex to build a lithium carbonate plant in Argentina.

The Argentine government said the plant, which will be located at the Tres Quebradas project in Catamarca in the north, aims to produce 20, 000 tonnes of lithium carbonate a year and hopes to double its production in the medium term. Construction of the plant will begin this year and production will begin by the end of 2023.

Authorities say Zijin plans to make other important investments in gold and copper in Argentina and is looking for advanced projects to that end.

Argentina, Chile and Bolivia are known as the "lithium triangle" in South America. Argentina is the fourth largest lithium producer in the world after Australia, Chile and China, according to (USGS) of the US Geological Survey. Global lithium prices have soared over the past year on expectations that the batteries needed for cars to switch to electric cars will lead to a surge in demand for lithium.