Lithium Argentina, Ganfeng to Merge Lithium Projects in Salta

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Written by Amir Richani for Industrial Info Resources (Sugar Land, Texas)--Lithium Argentina (Zug, Switzerland) and Ganfeng (Shanghai, China) have agreed on a framework to merge their lithium projects in Argentina's northern province of Salta to create a joint venture that will combine the Pastos Grandes, Pozuelos-Pastos Grandes, and the Sal de Puna projects. Ganfeng will own 67% of the interests, with Lithium Argentina holding the remaining 33%.

In this new "PPG" project, the companies expect to produce 150,000 tons of lithium carbonate equivalent (LCE) per year, across three phases, each of 50,000 tons per year. They will achieve this target by combining direct lithium extraction technologies with solar evaporation.

Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can read detailed reports on the Pastos Grandes, Pozuelos-Pastos Grandes and the Sal de Puna projects.

"The new joint venture will provide access to advanced technologies, increased financial flexibility and meaningful operating synergies," said Sam Pigott, the chief executive officer of Lithium Argentina. "It represents an important milestone in our strategy to develop a diversified, scalable and sustainable global lithium supply chain, while strengthening our balance sheet and creating lasting value for our shareholders."

This is not the first time these companies have worked together. They have already collaborated in the development of the Cauchari-Olaroz Stage 1, which began production in 2024 and has a production capacity of 40,000 tons per year. Subscribers can learn more from a detailed plant profile.

The companies expect to publish their feasibility study for the project by the end of the year. They expect to apply for the Incentive Regime of Large Investments (RIGI) in the first half of next year.

The RIGI offers fiscal and legal benefits for mining projects with investments above US$200 million. So far, mining companies such as Rio Tinto (London, England) and Galan Lithium Limited (West Perth, Australia) have submitted RIGI applications for their developments.

Argentina continues to attract interest from lithium companies as it could become one of the largest suppliers of the white mineral in the next few years. The country falls within the lithium triangle, which contains the world's largest resources. According to the United States Geological Survey, Argentina holds the top two-largest lithium resources.

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