In 2023, Argentina topped Latin Americas mining investment attractiveness index.
The Fraser Institutes survey of 293 companies across 86 jurisdictions highlighted this achievement.This is a significant milestone, given Argentinas federal structure, where provinces own the resources.The survey considered four Argentine mining jurisdictions: Jujuy, La Rioja, Salta, and San Juan.By examining the median scores from these provinces, Argentina secured the top regional position.
It outperformed Brazil by seven spots and Chile by 16.Historically, Argentina has ranked lower than other Latin American countries with strong mining traditions.Argentina Tops Latin America in Mining Investment Attractiveness.
(Photo Internet reproduction)However, recent efforts to boost the mining sector are closing this gap, according to the National Mining Secretariat.Salta emerged as the most attractive province for mining investments in 2023.
It scored 77.24, placing 14th out of 86 jurisdictions.This made it the top jurisdiction in Latin America.
Salta currently has 32 projects in its portfolio, with none yet in production.Two projects are under construction, and 19 are in advanced exploration stages.
Most projects focus on lithium.The Centenario Ratones project by Eramine Sudamerica will soon produce lithium carbonate for export by years end.Mining Landscape in ArgentinaThe province also hosts copper, gold, silver, and uranium projects.
This information comes from the Open Community Information System on Mining Activity in Argentina.In 2023, Salta surpassed San Juan, the top Argentine jurisdiction, in 2022.Political turmoil, including a failed re-election attempt by Sergio Uac and a subsequent political shift, contributed to San Juans decline.Conversely, La Rioja ranked among the least attractive jurisdictions globally, placing 83rd out of 86.
The Fraser Institute report included anonymous comments from business leaders.One president of a company with less than $50 million in revenue criticized Argentinas foreign exchange restrictions.Another comment highlighted the lack of transparency due to mandatory local service hires.The government under Javier Milei has proposed new mining legislation.
It includes incentives for large investments over $200 million, guaranteeing 30 years of customs, tax, and currency stability.Senate committees have significantly modified the proposal, and a full Senate discussion is expected soon.Negotiations with provinces have led to an agreement to increase the maximum royalties from mining projects from 3% to 5%.However, the Argentine Chamber of Mining Entrepreneurs (CAEM) has rejected this measure.