The Catamarcan official underscored the importance of a federally driven mining policy, the development of local suppliers, and regulatory stability as pillars for positioning Catamarca as a strategic player in the region. He also emphasized the significance of the San Francisco Pass as a key logistical corridor to enhance the mining sector’s competitiveness.
By Panorama Minero
Argentina is at a pivotal moment for mining development, with regulatory changes such as the RIGI and renewed interest from international investors. From your perspective, how should Catamarca position itself in this new scenario to establish itself as a leading mining province in South America?
From my point of view, beyond the importance of investment regimes recently implemented by the national government, which are primarily related to fiscal matters, Argentina’s mining policy has long lacked a federal state policy approach. I have always maintained that it is merely the sum of the policies implemented by each mining province. In other words, while incentives are important and contribute to attracting investment to any of the provinces, the work carried out by local governments is equally—if not more—crucial.
In Catamarca’s case, we have a long-standing mining tradition, several large-scale projects in operation, and a portfolio of developments with significant growth potential, which, in turn, translates into a substantial contribution to Argentina’s mining export sector. In this regard, Catamarca has been making sustained progress in key areas: strengthening legal certainty, improving procedures and oversight, and increasing the flow of information—an essential factor in fostering public acceptance of the industry. When society has a deeper understanding of mining activities, the processes involved in each project, and a tangible perception of the economic and social benefits generated, mining gains social acceptance, creating the environment necessary for investment decisions to favor Catamarca.
Ultimately, national incentives serve as an additional boost, but without the efforts of provincial governments to create a comprehensive climate of security and stability, mining investors would not come. Without the work of the provinces, tax benefits alone would not provide the foundation needed to drive sector growth.
One of the recurring challenges in Argentina’s mining sector is regulatory stability and predictability for investors. What measures is the province taking to ensure clear rules and attract long-term capital? Beyond the RIGI, what can the province do to further stand out?
In Catamarca, mining policy is a state policy. Moreover, as a province, we believe that all public policies we develop must be progressive, continuously improving conditions across all aspects of the industry: the strict legal framework governing procedures, information management and dissemination systems, and community engagement mechanisms, which are essential for mining projects to advance within a given social context.
To this end, Catamarca has established a robust legal framework for managing mining properties, a process initiated with the 2020 reform of the Mining Procedures Code. This reform aimed to transfer mining properties to investors capable of developing them, putting an end to the real estate speculation that had long plagued the sector when property management was under judicial administration. By consolidating the administrative process, the province streamlined property development and ensured that speculative holders transferred their assets to investors with the capacity and intent to advance projects.
In terms of stability, it is worth highlighting that Catamarca enjoys strong political consensus on mining. Around 95% of the province’s political spectrum—including all parties with realistic governing prospects in the medium and long term—supports mining as a state policy and a pillar of economic development, albeit with some nuances. This consensus provides investors with confidence that, regardless of the governing political party, mining will remain a fundamental driver of local development, as it has been for many years.
Developing a local supplier network is key to maximizing mining’s economic impact in Catamarca. What progress has been made in this area, and what challenges remain? How is the balance between local suppliers and the growing needs of large mining projects being managed?
Since 2014, when Catamarca enacted regulations requiring a percentage of local workers and suppliers in mining projects within the province, significant progress has been made on both fronts.
Beyond the legal requirement for local hiring and procurement, this process has been reinforced by numerous public policies aimed at building the necessary capabilities to meet these requirements efficiently. The goal has been to ensure that Catamarcan service providers can meet the industry's standards, competing with offerings available both domestically and internationally.
As a result of these policies, in recent years, Catamarca has significantly increased its share of the mining sector’s economic impact, particularly in employment and local procurement—two areas that generate far greater economic benefits than traditional mining royalties. While royalties have often been the focus of discussion, they represent only a fraction of the wealth generated by mining investment compared to job creation and local supplier engagement.
We are fully aware that maximizing mining’s economic impact in nearby communities and across the province requires the highest possible participation in direct employment and mining-related services within Catamarca. The economic impact of local job creation and supplier engagement far outweighs that of royalties or even tax revenue.
In this regard, the state policy of training Catamarcan workers—through the Ministry of Education, the National University of Catamarca, and the Ministry of Labor, which plays a key role in improving and certifying skills—has been instrumental. Ultimately, the most tangible economic impact comes from expanding employment opportunities and strengthening the local supply chain.
The lithium and copper markets are undergoing major transformations, with price volatility and increasing competition among producing countries. What strategies is Catamarca implementing to ensure its resources are developed competitively and sustainably in this global context? What role will Catamarca play nationally in these markets?
It is clear that Catamarca holds significant potential in the two most critical minerals for the global transition: lithium and copper. The province has been Argentina’s leading lithium producer for nearly 30 years and hosted the country’s last large-scale copper production project, Bajo de la Alumbrera. Looking ahead, we have substantial growth potential in lithium and are well-positioned to advance a world-class copper project, MARA.
Regarding lithium, we have the potential to quadruple or even quintuple current production in the short to medium term, considering the four projects currently under construction, along with the expansion of the Fénix project.
In copper, we are in the final stages of advanced exploration and feasibility studies for MARA, aiming to establish it in the medium term as the project that will restore Argentina’s position as a copper-producing country. This is a key objective not only for Catamarca but for several provinces. It is encouraging that Argentina’s entire Andean region is now aligned in its efforts to advance and develop projects that will significantly contribute to the country’s export portfolio.
In the context of the energy transition, lithium is one of the most in-demand minerals. How is Catamarca working to establish itself as a key player in this global market? What policies are supporting this vast geological potential?
Catamarca has been Argentina’s leading lithium producer since 1997 with the Fénix project, and its growth potential remains significant. In the short to medium term, the province is set to quadruple or even quintuple its current production, driven by four projects nearing the exploitation stage: POSCO’s Sal de Oro, located in the cooperation zone with Salta; Arcadium’s Sal de Vida, now under Río Tinto; Zijin’s Tres Quebradas; and the recently approved construction of Hombre Muerto Oeste by Galan. Additionally, the planned expansion of the Fénix project over the next two years further strengthens this trajectory.
Given this scale of development, Catamarca is poised to become a key player in Argentina’s lithium sector and contribute significantly to positioning the country as a major global producer.
This progress is the result of sustained provincial efforts. Even amid price fluctuations that have slowed some projects and halted exploration in others, Catamarca has continued to foster the necessary partnerships to advance infrastructure and logistics. Public-private initiatives, such as investments in road development, not only improve conditions for investors but also play a crucial role in enhancing local communities' quality of life, supporting other productive sectors like tourism, and increasing overall accessibility.
Ultimately, lithium is positioning Catamarca as a major force in the industry—not only through the projects already in development but also through the many early-stage exploration initiatives that will further expand production in the medium term.
What factors does the province consider when assessing mining performance as a productive activity? What is the overall balance in the province regarding this sector?
Analyzing the mining sector involves a range of different parameters. Some are purely quantitative, such as production volumes, export figures, or the foreign exchange it generates for the country and the province. However, these do not necessarily reflect the level of local development and employment that mining fosters within communities. That is why, as a province, we prioritize employment and economic growth through local suppliers—factors that we consider the most economically significant, as they allow for a greater capture of foreign direct investment and drive broader economic development.
Through its policies requiring local employment, supplier development, and workforce training, Catamarca has significantly increased the participation of local stakeholders in the mining sector in recent years. Today, the province has nearly 3,000 direct mining jobs, and when including indirect and induced employment, the figure surpasses 10,000—representing almost 25% of total private-sector employment in Catamarca.
This makes mining one of the leading drivers of employment in the province. For our government, this is the primary indicator for measuring the sector’s real impact. For instance, Catamarca currently has active production at Farallón Negro (gold and silver) and Fénix (lithium), alongside extensive prospecting and exploration activities. These generate a direct impact on employment—an indicator that is far more tangible in terms of local economic benefits than production volumes, export figures, or foreign exchange earnings. Therefore, when evaluating the mining sector, our focus remains firmly on job creation and the development of local services.
Regarding logistics, what opportunities does the san francisco pass offer to boost mining and enhance the province’s competitiveness?
For years, Catamarca has recognized the strategic importance of the San Francisco Pass as a key logistical route to Asia via the Pacific. In recent years, this vision has been reinforced as other provinces in the Norte Grande region have also advocated for the creation of a bioceanic corridor through this international crossing.
This corridor represents a major logistical challenge but will significantly benefit mining in Catamarca. The province has made substantial efforts and continues working to ensure that similar commitments are made on the Chilean side, allowing this crucial trade route to become a reality. A direct connection to the Pacific is essential for enhancing the efficiency and competitiveness of the mining sector.
Catamarca is actively developing infrastructure to link all mining areas to the San Francisco Pass, positioning it as the main route for both the import of supplies and the export of production. This shift will also help decentralize Argentina’s trade flow, reducing dependency on the Buenos Aires port and transforming the economic development model of the Andean provinces.
PDAC is a key platform for attracting investment and strengthening relationships with global stakeholders. What role should the provincial government play in engaging with investors to ensure mining projects develop with predictability, a positive economic impact, and a long-term vision? what are your expectations regarding new partnerships or investment commitments?
PDAC is a global event that brings together key players across all stages of the mining process, alongside government representatives responsible for shaping public policies that drive the sector’s growth. In this context, the role of provincial and national authorities is crucial in providing investment security, ensuring political stability, fostering community engagement, maintaining high environmental sustainability standards, and guaranteeing transparency in legal and environmental processes. Public access to detailed information about mining projects is essential, as greater transparency leads to higher levels of public acceptance.
Furthermore, the government’s most fundamental responsibility is to maximize mining’s economic impact and development potential. The state plays a key role in creating the right conditions through public policies that support long-term growth.
At this year’s PDAC, Catamarca reaffirmed its commitment to mining development as a central pillar of its economic strategy. Our participation aims to showcase the province’s progressive and responsible approach across all aspects of the industry: environmental sustainability, community engagement, and adherence to international transparency standards. These elements are critical for potential investors evaluating opportunities in the province. Being present at PDAC allows us to highlight the progress we have achieved, our long-standing mining tradition, and the stability we offer to ensure this tradition continues for years to come.
Our goal is to provide investors with confidence that Catamarca’s progressive public policies will continue to improve, offering a secure and stable framework for mining investment, which inherently carries high levels of risk.
Additionally, the province seeks to engage with various private sector stakeholders, including companies already operating in Catamarca that are undergoing corporate transitions. PDAC offers a valuable opportunity to meet with top-level executives from companies currently active in the province, as well as with potential investors interested in capitalizing on projects based in Catamarca. It also facilitates exchanges with policymakers from other provinces, states, and national governments, allowing us to compare regulatory frameworks and identify best practices that can guide our continued progress.
