Argentina: another lithium project comes on stream

The Olaroz-Cauchari project of mining company Exar will begin production and the first export of lithium carbonate in a few days.

It will be the third plant in Argentina to come on stream, following the construction of the US$976 million processing plant at the salt flats in the department of Susques in Jujuy.

The president of the responsible company Franco Mignacco confirmed this and told “Télam” that Cauchari Olaroz, with a production capacity of 40,000 tonnes of lithium carbonate, “has completed the construction phase and is expected to start pre-commercial production in early June.”

It will begin after all major systems are completed and the start-up team begins production testing of the purification systems, e-carbonation, and solvent purification (SX) process.

Mignacco, president of the Argentine Chamber of Mining Entrepreneurs (CAEM), explained that this first production would create the plant’s first lithium carbonate stockpile for export to China, amounting to about 100 tonnes, as stipulated in the investment agreements.

Exar is a national company whose shareholders are Canada’s Lithium Americas Corp and China’s Ganfeng Lithium, which have so far paid US$979 million for the project, which at its peak required the employment of 3,300 people at the site, located at an altitude of 4,500 meters.

The Salar de Olaroz-Cauchari project has infrastructure nearby, such as major paved roads, including the connection to the port of Antofagasta in Chile, a power transmission line, the adjacent 300 MW Cauchari solar park, and a gas pipeline.

The company estimates it will need about 700 workers directly and nearly 1,500 more through its suppliers and related services.

More than 60% of the workforce will come from the province of Jujuy and another 27% from the rest of Argentina’s northwest.

The company said it has involved in the project numerous employees from surrounding communities such as Susques, Pastos Chicos, Huancar, Puesto Sey, Olaroz, and Catua, with whom it is committed to sustainable development and that it is implementing training plans to promote their incorporation into the project.

Jujuy Energía y Minería Sociedad del Estado (Jemse) also holds a minority stake of 8.5% in Exar, which has the right to sell up to 5% of production for local demand.

News Argentina, English news Argentina, Argentine lithium

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