Tibet Summit Resources will invest $2.2 billion in lithium exploration projects in Argentina.
The Argentine foreign ministry has confirmed that Chinese mining company Tibet Summit Resources will invest $2.2 billion in two lithium exploration projects in the South American country.
The Shanghai-based company is expected to create around 10,000 jobs in Argentina, according to the statement released on Friday.
The ministry noted that the plans were shared by Jianrong Huang, the president of Tibet Summit Resources, with Argentine ambassador Sabino Vaca Narvaja at the China International Import Expo in Shanghai.
Under the plan, the Chinese firm will invest around $700 million into the Salar de Diablillos project in Salta province, which is expected to produce 50,000 tons of battery-grade lithium carbonate starting next year.
Meanwhile, another $1.5 billion will be used for construction of a plant at the Arizaro salt flat, also located in Salta, which is expected to produce between 50,000 and 100,000 tons of lithium carbonate by 2024.
Argentina, along with Bolivia and Chile, is part of the Lithium Triangle, a region of the Andes that accounts for around 54% of the world’s white metal reserves. Globally, the South American nation is ranked the fourth biggest lithium producer, after Australia, Chile and China, according to a report from the Argentine Chamber of Mining Entrepreneurs (CAEM).