The Gualcamayo gold mine in Argentina is setting its sights on a significant $665m investment to establish a new mining project, aiming to benefit from the country’s Large Investment Incentive Regime (RIGI).
This development comes as the mine’s executives shared insights during a recent press tour of the site, according to a Reuters report.
The RIGI, which was launched in October under President Javier Milei, aims to stimulate investments through July 2026, with a potential one-year extension. It offers extensive tax breaks and access to international dispute courts for investments exceeding $200m.
Minas Argentinas executive director Martinez Ricardo Martinez emphasised the importance of the RIGI for “legal security” and highlighted the necessity for stable mining regulations.
Following discussions with the government, Minas Argentinas, part of Aisa Group and the owner of Gualcamayo, has recalibrated its initial $1bn investment proposal to align with RIGI requirements.
The mine, which was on the brink of closure when purchased by Minas Argentinas in 2023, currently produces 50,000–55,000oz of gold annually through secondary recovery methods.
The ambitious plan for Gualcamayo includes the construction of a new mine, a pressure oxidation plant and a 50MW solar park to power the operations.
The proposed Carbonatos Profundos mine will be situated beneath the existing one, targeting gold production from sulphides. The company predicts annual output of 120,000oz of gold from 2029, with an estimated 17-year lifespan and potential exports worth $400m a year.
Gualcamayo’s new mine and processing plant construction is due to begin in 2027. Martinez noted that the mine possesses three million ounces (moz) of economically viable gold reserves, a fraction of the 5moz of certified resources discovered on just 3% of the 40,000-hectare property, leaving the majority unexplored.
Despite a decline in gold production across Argentina due to ageing mines and depleting high-quality ore, gold remains the country’s leading mining export, representing 68% of the total.
In a related development, Argentina’s Government officially approved Rio Tinto’s $2.5bn (£1.85bn) Rincon lithium mining project under the RIGI in May.
The Rincon project is located in Salar Del Rincón, Salta province, Argentina.
“Argentina’s Gualcamayo gold mine plans to invest $665m under RIGI programme” was originally created and published by Mining Technology, a GlobalData owned brand.
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