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POSCO secures $700 million for Argentina lithium expansion
POSCO Holdings has secured a $700 million credit facility from IDB Invest to expand its lithium extraction operations at the Sal de Oro project in Argentina’s Salta and Catamarca provinces. The financing, which includes an initial $250 million from IDB Invest and up to $450 million from international private financial institutions, is intended to provide working capital for the company’s lithium hydroxide and lithium carbonate plants.
The expansion aims to reach a combined annual production capacity of approximately 48,000 tons of lithium products. This development is supported by Argentina’s Large Investment Incentive Regime (RIGI), which offers POSCO 30 years of regulatory stability and tax exemptions. The project is also expected to create roughly 620 permanent jobs in the region.
Separately, POSCO Argentina is facing a legal dispute with local contractors regarding unpaid construction costs for infrastructure at the Hombre Muerto salt flat. While the company stated that only about $350,000 has been frozen, contractors claim judicial records show approximately $2 million is subject to seizure, representing a portion of total claims that could include additional operational and financial damages.
Entities
Argentina · Hombre Muerto · IDB Invest · Inter-American Development Bank Group · POSCO Argentina · POSCO Holdings · Salta
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] POSCO Argentina secured a $700 million short-term credit limit from IDB Invest. www.techholic.co.kr · biz.heraldcorp.com · zdnet.co.kr
- [● 3 SOURCES] The IDB Group is supporting critical mineral supply chains in Latin America through regional resource development projects. www.techholic.co.kr · biz.heraldcorp.com · zdnet.co.kr
- [● 2 SOURCES] The Argentine government's Large-Scale Investment Incentive Regime (RIGI) provides tax and customs benefits for major projects. biz.heraldcorp.com · zdnet.co.kr
- [● 3 SOURCES] POSCO Argentina achieved its first quarterly profit in the second quarter of this year. www.techholic.co.kr · biz.heraldcorp.com · zdnet.co.kr
- [● 3 SOURCES] The credit limit approval provides tax benefits on interest and financial transaction taxes under IDB establishment agreements. www.techholic.co.kr · biz.heraldcorp.com · zdnet.co.kr
- [● 3 SOURCES] The credit limit will be used as working capital for the first and second brine lithium plants in Argentina. www.techholic.co.kr · biz.heraldcorp.com · zdnet.co.kr