Ganfeng to invest US$180 million and merge three lithium projects in Salta

Ganfeng Lithium and Lithium Argentina agreed to consolidate three adjoining lithium projects in Salta through a new joint venture called PPG JV. The platform will bring together Pozuelos-Pastos Grandes, Pastos Grandes and Sal de la Puna under an integrated development scheme.

The project aims to reach a production capacity of 150,000 tonnes per year of lithium carbonate equivalent (LCE), spread across three stages. Operations will be run by Ganfeng's team in Salta, while key decisions on development, financing and budget will require approval from both companies.

Equity participation will be 67% for Ganfeng and 33% for Lithium Argentina. Once the transaction closes, expected in September 2026, the assets will be grouped under Millennial Lithium B.V., a holding company based in the Netherlands that will indirectly control all Argentine entities linked to the projects.

As part of the agreement, Ganfeng will make a strategic investment of US$180 million in Lithium Argentina. In addition, the companies have a combined historical investment of US$1,800 million in the assets that will make up the new platform, including property acquisitions and development work.

Initial funding for PPG will be provided by the partners in proportion to their stakes. In parallel, both companies are evaluating a project-level financing structure that could combine debt with the entry of a minority strategic investor. Marketing rights for the production will be allocated according to each company's ownership stake.

Another pending step is the inclusion of the development in the Incentive Regime for Large Investments (RIGI). The application was filed during the first quarter of 2026 and includes the comprehensive capacity plan, with the companies expecting a decision before year-end.

With information from Panorama Minero.