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Eramine Sudamerica signs up with Argentine lithium race with Salta plant

Eramine Sudamerica is set to inaugurate its first lithium carbonate plant in the northern Argentine province of Salta this July, setting it on track to become the South American country's 4th manufacturer of the key battery metal.

The group, owned by French miner Eramet and Chinese steelmaker Tsingshan, anticipates to produce some 3,000 heaps this year and ramp up to some 24,000 lots by 2025, the business's. sustainability director Constanza Cintioni told in an. interview.

Lithium, which is utilized for batteries in cellphones and. electric vehicles (EV), saw its price skyrocket over current. years, before plunging in 2023 mainly due to slowing EV sales. in China. Over half the world's recognized lithium resources remain in. South America.

Argentina, located on the so-called lithium triangle. spanning Bolivia and Chile, is the world's fourth-largest. manufacturer and has actually been drawing financial investment from foreign companies as. far as Canada and China.

This comes as libertarian President Javier Milei looks for to. fortify diminished foreign reserves with dollars from mining,. energy and grains exports, to battle the country's sky-high. inflation and its worst recession in years.

The Eramine Sudamerica plant lies on the Centenario. Ratones salt flat, some 1,400 kilometers northwest of Buenos. Aires and 4,000 meters above water level.

Cintioni stated its output will be 100% exported and it has an. anticipated helpful lifespan of 40 years. She estimated a total. investment of some $800 million and said the firm prepares to set. up a similar plant in the same basin at a later date.

The plant marks the first lithium carbonate plant in Salta. and signs up with three others in Argentina, where market sources. estimate lithium exports leapt 20% in 2015.

There are 2 more jobs in Jujuy province, a task by. Sales de Jujuy and Allkem located on the Olaroz salt flat, and. in Olaroz Cauchari a job by Exar, a company owned by China's. Ganfeng and Canada's Lithium Americas.

The 3rd task is on the Hombre Muerto salt flat in. Catamarca province, run by U.S. giant Arcadium Lithium.

Unlike other tasks which extract lithium by means of salt water. evaporation from swimming pools, the Eramine Sudamerica plant will use a. direct extraction technique.

This is a lot more efficient procedure, Cintioni said,. indicating less requirement for salt water pumping. The level of lithium. healing from the brine that is extracted is 90%..

(source: Reuters)