French Mining Company Eramine Begins Lithium Production in Argentina

Eramine Sudamericana S.A., a subsidiary of the French mining group Eramet, is set to inaugurate Argentina's fourth lithium project and the first in the Salta province on July 3rd. The Centenario-Ratones deposit, located at an altitude of 3,900 meters, has a potential production capacity of 24,000 tons of lithium carbonate equivalent (LCE) per year in the first stage. This project is one of five currently under construction in Argentina, which will collectively increase the country's total lithium production to 250,000 tons by 2026.

Eramine's project is the first in Argentina to utilize the Direct Lithium Extraction (DLE) process, which is more efficient and sustainable compared to traditional solar evaporation methods. The DLE process allows for a 90% lithium recovery rate, reduced brine pumping, and faster production times. The company aims to produce 24,000 tons of lithium carbonate annually, which is half of the 50,000 tons reported to have been sold in 2023 by three other mining companies.

The project has also prioritized local employment, with 70% of the workforce coming from Salta and 7% from the nearby communities. Eramine has invested $603 million in the construction of its facilities and has the support of the Kolla Andean community in the area. The company's innovative extraction process allows for a 60% recycling of the water used, and it plans to maintain production for the next 40 years to meet the growing demand for lithium, particularly from the electric vehicle industry.

Eramine's investment in the region has been crucial, with $292 million spent on local suppliers, $142 million of which went to Salta-based companies. The company has also established 263 local suppliers and has implemented sustainable development initiatives in the area.

Why this matters: The lithium boom in Argentina is attracting significant investments from international mining companies, creating jobs and economic opportunities in the region. The use of more sustainable extraction methods, such as DLE, is also helping to reduce the environmental impact of lithium production.

The inauguration of Eramine's Centenario-Ratones project marks a significant milestone for Argentina's lithium industry. With a potential production capacity of 24,000 tons of LCE per year, the project is expected to contribute significantly to the country's goal of increasing its total lithium production to 250,000 tons by 2026. The use of the DLE process and the company's focus on local employment and sustainable development demonstrate the potential for responsible lithium extraction in the region.

Key Takeaways

• Eramine to inaugurate Argentina's 4th lithium project in Salta on July 3rd.
• Centenario-Ratones deposit has 24,000 tons/year LCE production capacity in first stage.
• Project uses Direct Lithium Extraction (DLE), a more efficient and sustainable process.
• 70% of workforce from Salta, $603M invested, 60% water recycling, 40-year production.
• Argentina aims to increase total lithium production to 250,000 tons by 2026.