Latin America is perfectly placed to take advantage of the growing demand for battery metals
Photo by: Reuters
Generalist and specialist investors are returning to the Latin American mining sector in large numbers, as they see the opportunity for returns re-emerging, content developer and presentation coordinator Mining Indaba director of content Harry Chapman tells Mining Weekly.
The cusp of macroeconomic reform in countries like Argentina, a stable business environment in Chile, and improved support for foreign direct investment have been highlighted by the the event organiser as the reasons behind the improved outlook for the Latin American region. "On top of this, cautious optimism about improved returns from mined commodities, in particular, lithium and gold, is making Latin American mining more appealing to investors."
With recent changes in governments in Peru, Brazil and Argentina, Mining Indaba says, much of Latin America is essentially under new management with policies changing to favour the mining sector. "...look at the recent slashing of export taxes for mined commodities in Argentina. This all provides an improved outlook for investors, miners and the region’s economy."
Therefore, leveraging the success and channelling the expertise gleaned from hosting the yearly Investing in African Mining Indaba, in Cape Town, South Africa, Mining Indaba is hosting its inaugural Investing in LatAm Mining Cumbre from July 11 to 12 in Santiago, Chile.
“Running an event like this is important to provide an opportunity for investors to take advantage of the upturn and give mining companies in the region the chance to secure funding,” highlights Chapman.
Mining Indaba says Latin America is perfectly placed to take advantage of the growing demand for battery metals, thanks to significant investments being made in electric vehicle battery development and the continuing growth in consumer electronics. Coupling this market sentiment with Latin America’s vast lithium triangle, the company says there are significant opportunities for the region’s mining companies, governments and international investors.
However, Chapman notes, the Latin American mining region lacks a mining event that drives investments and attracts international investors.
Therefore, by pioneering the Investing in LatAm Mining Cumbre, Mining Indaba hopes to fill this void, supporting the industry though the provision of an international forum in partnership with mineral exploration and development community association Prospectors and Developers Association of Canada.
For the full version of this article, see the Mining in South America feature in the July 7 edition of Mining Weekly.