San Juan province secures $250 million from Minera Vicuña for infrastructure

The government of Argentina’s San Juan province and Minera Vicuña Argentina, a joint venture of BHP and Lundin Mining, signed a historic agreement that provides an upfront, non‑refundable contribution of US$250 million. The funds will be placed in a dedicated infrastructure trust and used for roads, water and sanitation projects, as well as the construction of a 500 kV power line and the “Corredor Norte” road linking the Angualasto area to the Vicuña mine.

Governor Marcelo Orrego and Vicuña CEO Ron Hochstein announced the deal, which still requires ratification by the provincial legislature. The agreement also sets a 1.5 % contribution of the project’s gross sales after the sixth year and confirms a 3 % royalty on gross revenue for the life of the mine. It resolves a 2022 administrative dispute over the environmental impact declaration and aims to give investors legal certainty.

The Vicuña copper project, covering the Josemaría and Filo del Sol deposits, is expected to cost about US$9.7 billion, produce roughly 400 000 t of copper annually, and create thousands of jobs, positioning San Juan as a key copper hub in the region.