Wednesday, 10 June 2015

TNR Gold And Los Azules Copper: Argentina's Presidential Election Holds Keys To $5-billion In Mine Projects.


  I will add here Los Azules Copper of McEwen Mining and Pascua Lama of Barrick Gold and we can easily change headline to 10 billion … The great country has the great hope for the change now and smart money are already picking up the best projects in Lithium, Copper, Gold and Silver in Argentina.

International Lithium Corp. Updates on Drilling Programs in Argentina and Ireland.

There is very little coverage on Los Azules copper project despite of being "One of the largest undeveloped copper deposits in the world" - according to McEwen Mining. I am very pleased to find out this publication about McEwen Mining, Argentina and magnitude of Los Azules copper project.
  Please read carefully my legal disclosure. All this material is provided for information only, I was not able to verify any technical information in this article, it should not be relied upon in any investment decisions.
  TNR Gold holds now 0.4% NSR on the whole Los Azules copper deposit, 1% bonus on the sale of Los Azules and McEwen Mining shares. You can find all our financial information in the official reporting on SEDAR.

  "Copper and Lithium become the strategic metals for the ongoing green revolution. Solar and Wind Energy and Electric Cars will drive the new demand for these metals. Solar Energy is growing very fast all over the world now. Energy Storage will be the next step to ignite this growth. This is the new focus of Elon Musk and his Gigafactory. He will introduce the home storage system based on the lithium batteries in the next few months. Copper will have its special place in this mass scale roll out of distributed energy generation systems with Wind and Solar Power. Integral part of this system - Energy Storage is getting popular now with Elon Musk Gigafactory and Warren Buffet with BYD making the headlines. These Trillion Dollar industries: Electric Cars and Energy Storage will drive the demand for Copper and Lithium in the future. Read more."


The future of $5 billion in mining projects rides on Argentina’s presidential election this October, as the results will likely influence some of the world’s largest mining companies.
According to Bloomberg, Glencore Plc, Yamana Gold Inc. and Goldcorp Inc. are among producers signaling new investments in the country if the next government is more receptive to the industry.
Glencore is said to be considering a $3 billion investment to double copper production in Argentina over three years; Yamana Gold said it will invest $398 million in Cerro Moro, a gold and silver mine in Santa Cruz province; and Goldcorp, the largest gold miner by market value, is building the Cerro Negro gold mine, which began commercial output in January and is targeting production of 425,000 to 475,000 ounces this year.
Martin Dedeu, president of the Argentine Mining Chamber believes the next president will reduce mining taxes as well as steadily lowering currency controls, including a ban on dividends going offshore.
“The three leading candidates are convinced about the importance of the industry,” said Dedeu. “Daniel Scioli has said mining should be an engine for the economy, Mauricio Macri has been consistent in his support and Sergio Massa has said the sector deserves attention.”
Obstacles in the way
Since her re-election in 2011, President Cristina Fernandez de Kirchner has restricted imports and repatriated export revenue, creating controls that hurt international mining companies. In fact, Brazil’s Vale SA canceled a $5.9 billion potash project in the country due to Kirchner’s restrictions.
Three provincial mining officials, according to Bloomberg, said federal regulatory changes are expected by the 10 provinces that own resources as their income has declined since October 2011, when Fernandez ordered mining companies to expel all export revenue and cut company investments.
Yamana’s Cerro Moro, Argentina’s second-largest mining project is expected to commence construction later this year; however, construction won’t start unless federal regulations are changed including currency controls.
Marcelo Agulles, a Yamana spokesman in Argentina, told Bloomberg the company’s plans are firm under current Argentine regulations, but may be halted if gold or silver prices slump.
For Goldcorp, the upcoming election is critical as the Canadian miner booked a $2.3 billion writedown on Cerro Negro last year, citing “challenging fiscal conditions.” In an interview in March, CEO Chuck Jeannes said he had high hopes for the Argentine mine as elections would bring beneficial changes.
Goldcorp said it will accelerate spending and boost output if the incoming government does ease capital restrictions. 
“All these projects will be executed if, and only if, the new federal administration changes regulations,” said Mariano Lamothe, chief economist at “The companies are announcing projects as an invitation to presidential candidates to set the table for the arrival of dollars. I’m sure these changes will happen.”