ScottOrr/E+ via Getty Images
McEwen Mining (NYSE:MUX) Chairman and founder Rob McEwen said Tuesday he is in talks to raise about $100 million for the proposed Los Azules copper project in Argentina, hoping to start the mine towards the end of the decade.
McEwen is speaking to existing shareholders, including carmaker Stellantis and Rio Tinto (RIO) venture – as well as potential new investors, looking to secure new funding within six months for feasibility and engineering work, he told Bloomberg in an interview.
Miners are betting that deregulation by the new government led by President Milei will help unlock vast copper deposits in Argentina’s San Juan province, where McEwen wants to build the $2.5 billion Los Azules project.
If the libertarian Milei can win over opposition in Congress, such changes would reduce risks for investors, who remain optimistic but cautious, McEwen said, adding that the government must move quickly because metals markets are cyclical and trading windows financing can close quickly.
Los Azules already has 21 rigs on site and is working on a deal to supply renewable energy from YPF Luz and a leaching method that would help it be carbon neutral; McEwen said he hopes to have an environmental permit this year, a feasibility study ready in early 2025 and to begin pre-construction work starting in 2026.