Argentina’s Government has officially approved Rio Tinto’s $2.5bn (2.86trn pesos) Rincon lithium mining project, the first mining project under the newly established RIGI investment incentive regime, reported Reuters.
The Rincon project is situated in Salar Del Rincón, Salta province, Argentina.
The approval announcement was made by Daniel Gonzalez, the country’s Mining and Energy Coordination Secretary, at a conference in Buenos Aires.
The mining sector in Argentina had been voicing concerns regarding the prolonged approval process for seven projects that were submitted since the RIGI programme’s launch nine months ago.
The RIGI framework aims to offer tax and customs advantages, access to international arbitration for disputes and long-term stability plans.
Other companies that have applied for the RIGI programme include China’s Ganfeng, Canada’s McEwen Copper and South Korea’s Posco. Of these, five are lithium projects, with the remaining two focused on gold and copper.
Despite regulations stipulating a decision within a maximum of 45 working days, only Rio Tinto’s project has been approved to date.
Industry insiders suggest that the government did not intend to delay the process but was navigating complex approval procedures across various state departments.
Some companies may have also submitted premature applications that did not meet the necessary criteria.
Argentina CAEM mining chamber head Roberto Cacciola said: “We are grateful because there was strong anxiety over what was happening with the mining RIGIs. This was major news.”
The libertarian government led by President Javier Milei is aiming to bolster Argentina’s mining industry to attract foreign currency and maintain economic stability amidst high inflation rates.
As the fourth-largest lithium supplier globally, Argentina, alongside Chile and Bolivia, is part of the ‘lithium triangle’, which has the largest reserves of the metal essential for electronics and electric vehicles.
Argentina is not only a significant exporter of gold and silver but is also anticipating the development of substantial copper projects. However, as of now, none of the copper projects are in production.
Last year, Argentina’s mineral exports amounted to $4.8bn, with gold leading the way, followed by silver and lithium.
In February 2025, Worley was selected as the lead integration delivery partner for the Rincon lithium project.
