The future of Argentina’s economy is situated beneath the surface, at depths exceeding 3,000 metres (9,843 feet) in the Andes, as stated by President Javier Milei. In this strikingly beautiful landscape characterised by snowy peaks, glaciers, and mountains marked by oxidised minerals, excavators are systematically extracting substantial portions of the Andes in pursuit of copper and various other minerals. Aldana Ramírez attempts to find warmth beside a brasero, a local heating device, during a frigid night at the Los Azules copper project in San Juan Province, the focal point of Milei’s mining “revolution.” The 27-year-old technician oversees drilling operations during the night at a remote camp situated at an elevation of 3,500 metres above sea level, close to the Chilean border. Construction of the mammoth open-pit mine, slated to begin production in 2030, has drawn Ramírez away from her seven-year-old son, who resides down the mountain in her hometown of Villa Calingasta. Hours of unpaved roads, flanked by glaciers and streams populated by guanacos, create a distinct separation between the camp and the town. She expresses a sense of longing for her son, whom she visits biweekly, yet maintains that “it’s worth the sacrifice. I love this job; I fell in love with it the first time I came up here,” she declares above the din of excavators working round the clock.
Many of Calingasta’s 11,000 residents rely, either directly or indirectly, on mining as a source of income. Ramírez’s father and three brothers are employed in the mining sector, whereas numerous other local inhabitants depend on agriculture and express concerns regarding the potential effects of mining on the limited water resources in the Andean region. Since assuming office in 2023, Milei has aimed to enhance mining activities in Argentina, a nation renowned for its agricultural sector yet also possessing significant reserves of copper, gold, lithium, and uranium. In 2024, his government introduced the Major Investment Incentive Scheme, a comprehensive package of tax, customs, and currency incentives aimed at attracting substantial investments in the mining and energy sectors. Mining will take place across the Andes, generating hundreds of thousands of jobs,” Milei told Congress in March. Shortly afterward, lawmakers revised the nation’s glacier protection legislation to ease constraints on mining activities in permafrost regions and permit provinces to approve new initiatives. Environmental groups have contested the modifications in court, contending that they may jeopardise essential water resources and glacier ecosystems. Meanwhile, the ensuing legal ambiguity has raised concerns among investors. The debate has profoundly polarised local communities, torn between aspirations for employment and concerns regarding water security. People have to choose: either we protect water or we eat’, said Alejandro, a petrol station attendant in the mining town of Jáchal, two hours east of Calingasta. He stated that he was not against mining, but believed there were “too few controls” over significant projects. Memories linger in Jáchal regarding a significant incident in 2015 at a Barrick Gold mine, during which over one million litres of cyanide solution were released into local waterways.
Canadian company McEwen Mining, carmaker Stellantis, and mining giant Rio Tinto are committing billions of dollars to the development of the expansive Los Azules mine, projected to produce 148,000 tonnes of copper annually over a span of twenty years. Los Azules CEO Michael Meding stated that RIGI “had sent very important signals to international investors. To date, approximately 40 projects have been submitted to the scheme, with 16 receiving approval for an estimated investment of US$20 billion. In 2025, mining exports experienced a notable increase of 27 percent, reaching US$6 billion, primarily propelled by the contributions of gold and lithium. Argentina currently ranks as the fifth-largest producer of lithium globally. The government anticipates that mining exports will surpass US$20 billion each year by 2035, whereas Argentina’s Central Bank projects that exports from this sector could increase threefold by 2030. Economist Nicolás Gadano stated, “the export matrix is being transformed” by mining and hydrocarbons, as Argentina seeks to overcome its historic shortage of foreign currency. More than half of the anticipated mining exports are projected to derive from copper, a critical component for construction, the energy transition, and advancements in artificial intelligence technologies. South America’s second-largest economy has seen negligible copper production since 2018, yet it possesses substantial untapped reserves that could potentially position it among the top ten global suppliers. The boom has raised concerns among environmentalists who worry that the rush for critical minerals – along with the valuable dollars they contribute to Argentina’s economy – may jeopardise delicate water resources.
In the northwest of the country, where mining activity is concentrated, glacial reserves have diminished by 17 percent over the past decade, primarily as a result of climate change, as reported. The mining pit at Los Azules, upon completion, will encompass an area comparable to 840 football fields and will extend more than 300 metres deep, approximately the height of the Eiffel Tower. To create it, a portion of a high-altitude wetland referred to as a vega will be removed. The marshy ecosystem functions as a natural sponge, regulating water flows and offering habitat for local wildlife. Los Azules has committed to achieving carbon neutrality by 2038 and asserts that its extraction method reduces water consumption. In addition to environmental considerations and societal acceptance, Argentina’s mining expansion encounters significant obstacles related to infrastructure and energy supply. At the remote camp, where the sounds of cumbia music permeate the unyielding mountain breeze during meal intervals, drill operator Andrés Carrizo emphasises the necessity for workers to acclimatise to cohabitation under challenging circumstances. People are not always in the same mood,” the 27-year-old remarked. He continues to express optimism. I hope this will all persist so that we all have employment opportunities and can advance.