Vicuña Corp's Josemaría Project now slated for 25 years of operation, signaling a significant boost for Argentina's burgeoning mining sector and foreign investment goals.
Vicuña Corp, a joint venture between Australian mining giant BHP and Canada’s Lundin Mining, announced on Thursday a significant extension to the useful life of its Josemaría copper, gold, and silver project in Argentina. The mine, located in the northwestern San Juan province near the Chilean border, is now projected to operate for 25 years, a substantial increase from the previously estimated 19 years.
This six-year extension is primarily attributed to newly identified higher levels of exploitable resources within the project area. The updated assessments have revealed a more abundant mineral endowment, allowing for a prolonged and more robust operational timeline. Alongside this extended lifespan, Vicuña Corp also anticipates an increased ore processing rate at the site, projecting 175,000 metric tons per day, underscoring the project's enhanced scale and potential output.
Vicuña Corp recently presented new studies to provincial authorities, marking the second update to its environmental impact report. These discussions also encompassed critical water management measures, highlighting the company's commitment to responsible resource stewardship as the project advances.
Currently in its pre-construction phase, the Josemaría mine is a cornerstone of Argentina's future mining landscape. Production is anticipated to commence in 2030, following the submission of a comprehensive technical report in the first half of 2026. This report will be instrumental in finalizing exact timeframes and detailed production projections, providing greater clarity on the project’s economic contributions.
The announcement comes at a pivotal time for Argentina, as the government actively seeks to invigorate its mining sector. President Javier Milei’s administration is championing initiatives like the Large Investment Incentives Regime (RIGI) to attract much-needed foreign direct investment and bolster the nation's foreign-currency reserves, crucial for shoring up its economy. Provinces along the Chilean border, rich in mineral potential but historically underdeveloped, are particular targets for this renewed focus on mining.
Earlier this year, geological estimates revealed the immense potential of the region, with deposits at Josemaría and Vicuña’s nearby Filo del Sol mines collectively estimated to contain 13 million metric tons of measured copper and an additional 25 million tons of inferred copper. These figures underscore the vast, untapped mineral wealth within Argentina. While the nation has not produced copper since 2018, the substantial pipeline of projects currently in development, including Josemaría, could propel Argentina into the ranks of the top 10 global copper producers in the coming years.
