Argentina RIGI lithium project approval: Galan’s HMW secures $217mn under incentives

Galan Lithium

Argentina RIGI lithium project approval moved forward as Galan Lithium won the green light for Hombre Muerto West. Phase one secures $217mn under the program’s incentives. The brine project sits in Catamarca, a core Argentine lithium basin. Argentina RIGI lithium project approval underscores policy support for battery materials growth.

What the approval covers

Galan plans 4,000 t/yr LCE, with potential to lift output to 5,400 t/yr. The final product will be lithium chloride concentrate for battery production. RIGI reduces the corporate tax rate to 25pc and waives trade duties. It also eases currency rules and guarantees 30 years of legal stability. Therefore, Argentina RIGI lithium project approval improves bankability for new brine investments.

Winners and exclusions under RIGI

Rio Tinto’s Rincon won approval in May, targeting 60,000 t/yr by decade’s end. Planned investments approach $2.7bn for that project. However, the ministry rejected Ganfeng’s Mariana application, as the mine was inaugurated last year. Beyond mining, RIGI has supported a solar project, an oil pipeline, FLNG and a steel mill.

Argentina produced 18,000t of lithium last year, ranking fourth globally. Reserves total 4mn t, and resources stand at 23mn t. As a result, Argentina RIGI lithium project approval complements a deep pipeline of salars. Investors should watch ramp timing, permitting steps, and downstream offtake execution.

The Metalnomist Commentary

RIGI’s incentives directly target project finance risks for brine developers. Galan’s phased plan is modest yet catalytic for Catamarca. Execution on product quality and logistics will determine commercial momentum.