Argentina Aims To Become One Of The World's Top Ten Copper Producers By 2030, Its Investor-Friendly Stance Has Attracted Global Players Such As Glencore And Lundin Mining

Argentina aims to become one of the top 10 copper producer in the world by 2030, and its investor-friendly stance has attracted global players such as Glencore and Lundin Mining to its north mountains.

Government forecasts show the South American country, with its string of copper projects, could produce 793,000 mt a year by the end of the decade, well below neighboring top producer Chile but close to big producers like Australia and Zambia.

While that's a distant goal -- Argentina currently produces no copper after closing its last working copper mine in 2018 -- rising global demand for copper as electrification pushes across the globe could make the country a important new suppliers.

Leading the way is Lundin Mining's Josemaria project in northern San Juan province, which aims to produce more than 130,000 mt per year.

It was followed by Glencore’s $4.5 billion El Pachon project; Yamana Gold, Glencore and Newmont’s MARA project, First Quantum’s Taca Taca and McEwen Mining’s Los Azules.

"With Pachon, Altar and Los Azules, we can increase copper's huge potential to meet the world's needs for the energy transition that is already underway," said Carlos Astudillo, mining minister in San Juan, a major copper-producing province.

Argentina has an estimated 65 million mt of copper reserves, about 3% of the global total, according to a 2022 government report. That compares with 9 percent in Peru, the world's second-largest producer, and nearly a third in Chile, the world's largest producer.

Franco Mignacco, president of the Argentine Chamber of Entrepreneurs in the Mining Industry (CAEM), said the global electric vehicle boom will be a key driver.

"The projects we have are of global importance and relevance because it is estimated that copper demand could double between now and 2050," he said. Copper demand is expected to double from 2020 levels to 50 million tonnes by 2050.

"We already have projects and we need more."