McEwen Copper, a subsidiary of McEwen Mining, is seeking to raise $2.5 billion from investors to advance the construction of its Los Azules copper mine in northern Argentina. The company’s vice president, Michael Meding, confirmed the plans in an interview, noting that the funds are needed to move forward with the project’s capital expenditures, after already investing over $400 million to date.
Los Azules, located in the San Juan province, is expected to produce approximately 175,000 metric tons of copper annually. The project is poised to receive a key environmental permit in the next four to six weeks, with construction planning set to begin by the end of 2025.
The mine is benefiting from Argentina’s newly introduced incentive program under President Javier Milei’s government, which aims to attract large-scale investments. Known as the Incentive Regime for Large Investments (RIGI), the scheme offers a range of benefits, including tax credits, lighter customs duties, and gradual easing of capital controls. McEwen Copper aims to qualify for the program within the next three months.
Los Azules has already attracted significant investment from major industry players. Carmaker Stellantis and Rio Tinto’s Nuton unit hold minority stakes in the project, with Nuton increasing its investment by $35 million in October. Additionally, Argentine state-owned YPF Luz has committed to providing 100% renewable energy, primarily sourced from solar power, to the mine.
Meding also revealed that European Union officials had visited the site, expressing interest in the project’s strong social and environmental standards, which could pave the way for potential European investments.
The Los Azules project is part of a broader trend of international miners looking to tap into Argentina’s rich copper reserves, despite the country’s challenging economic conditions and capital controls.
