Sign up
Log in
UPDATE 1-Argentine court in key lithium region halts new permits over environmental concerns
Share
Listen to the news
UPDATE 1-Argentine court in key lithium region halts permits over environmental concerns

Adds details from the ruling, sources, context

By Lucila Sigal

- An Argentine court in the province of Catamarca has suspended the issuance of mining permits, demanding fresh environmental impact studies be carried out looking at local lithium projects, a judgment seen by Reuters showed.

The ruling involves the Los Patos River-Salar del Hombre Muerto area, where global lithium giant Arcadium Lithium Plc ALTM.N, formerly Livent, has a project. It comes after tensions over water use with local communities in the region.

Argentina, inside South America's so-called "lithium triangle", is one of the world's top producers of the metal that is key for the batteries to power electric vehicles.

A local company spokesperson declined to comment.

The ruling, shared with Reuters on Thursday, comes after a case presented in 2021 by a chief of the Atacameños Native Community, which alleged the province authorized mining projects in the Salar del Hombre Muerto basin without informing the population or carrying out an environmental impact assessment.

The case said that local mining operations impacted water supply due to the use of "huge quantities of fresh and salt water", which they alleged had caused a local river to dry up.

A source from Catamarca's mining ministry, told Reuters that the province was evaluating the ruling to determine steps.

The court ordered the local government to "refrain from granting permits/authorizations" in relation to operations in the Los Patos River - Salar del Hombre Muerto area "until the environmental impact study is complete".

Four sources in the industry Reuters spoke to said the sector would have to work on the impact studies to define how they would be able to develop the projects, although in principle the decision would impact current production.




(Reporting by Lucila Sigal; Editing by Adam Jourdan)

((adam.jourdan@thomsonreuters.com; +54 1155446882; Reuters Messaging: adam.jourdan.thomsonreuters.com@reuters.))

Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.
What's Trending
No content on the Webull website shall be considered a recommendation or solicitation for the purchase or sale of securities, options or other investment products. All information and data on the website is for reference only and no historical data shall be considered as the basis for judging future trends.