The main producer of Lithium carbonate Argentina has taken the most important step in its history. Exar has officially submitted its application to access RIGI benefits and thereby finance the largest expansion of the national mining sector.
The company plans to expand its project in Cauchari-Olaroz with an additional capacity of 45,000 tons per year. This will increase your overall production 85,000 tons of lithium carbonate per yearand cemented it as a regional giant.
The estimated investment exceeds $1.2 billion. This is a bet that will practically double the company’s current production capacity.
Exar’s explosive growth in the lithium market
Exar is an Argentine company consisting of Ganfeng Lithium, Lithium Argentina and Jujuy Energía y Minería Sociedad del Estado (JEMSE). It operates in the Cauchari-Olaroz Salar and has already invested 1000 million US dollars in the country.
The factory entered the production phase on June 9, 2023 and has the potential to achieve production of 40,000 tons per year Battery grade lithium carbonate. The numbers have shown dizzying growth since the beginning.
The company produced in its first year of operation 6000 tons. By 2024, it became the main Argentine producer by surpassing the mark 25,000 tons produced. The jump represents 300% growth in just one year.
The forecasts for 2025 are equally ambitious. Exar plans to intervene 30,000 and 35,000 tonsis approaching the limit of its current installed capacity.
DLE technology: the key to productive efficiency
The project is checking implementation DLE technology (Direct Lithium Extraction).a system that allows for more efficient extraction of the resource. This innovation represents a qualitative leap in the production process.
The new technology will do it a significant reduction in water and energy consumption. This gives Exar a competitive advantage over other regional manufacturers that use more traditional methods.
In 2024 the company awarded the 91% of its spending is domesticand the majority in Jujuy Province. This strategy reinforces the positive impact of its operations on the local and national economy.
The RIGI as an instrument for global competitiveness
Simón Pérez Alsina, President of Exar, emphasized the strategic importance of the project. “This project marks a crucial step for Exar in terms of growth and competitiveness in the global market.”explained the executive.
The company currently generates more than 2000 direct and indirect jobs and works with more than 820 national suppliers. As a result of the expansion, these numbers will multiply in the coming years.
Pérez Alsina had already pointed out the importance of the incentive system. “With the RIGI we are on an equal footing with Chile and other competing countries. We don’t give anything away, we equalize the world’s conditions.”he explained some time ago in an interview with the newspaper El Cronista.
The CEO also emphasized the importance of Financial stability and access to foreign currencies The RIGI brings this in parallel. “No bank will finance a million-dollar project if they can’t recoup the loan. RIGI provides predictability.”Argument.
The long-term strategy in the lithium market
Its business vision reflects a commitment to long-term sustainability. “We prefer smaller margins but stability. You can’t live with stocks, multiple exchange rates and inflation of 20% per month.”Pérez assured Alsina.
The board emphasized this “Stability is what gives investors confidence”. This business philosophy aims to solidify Exar as a long-term player in the global lithium market.
With this mega investment Exar is able to double its production and consolidate itself as the main producer of lithium carbonate in Argentina. The project represents a milestone in national mining development and a commitment to the country’s energy future.
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