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McEwen Mining (NYSE:MUX) Chairman and Founder Rob McEwen said Tuesday he is in talks to raise ~$100M for the proposed Los Azules copper project in Argentina, hoping to start up the mine toward the end of the decade.
McEwen is speaking with existing shareholders – which include automaker Stellantis and a Rio Tinto (RIO) venture – as well as prospective new investors, seeking to secure fresh funds 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 $2.5B Los Azules project.
If the libertarian Milei can win over congressional opposition, such changes would reduce risks for investors, who remain optimistic yet cautious, McEwen said, adding the government must move quickly because metal markets are cyclical and financing windows can shut quickly.
Los Azules already has 21 drill rigs on site, and is working on a renewable energy supply deal from YPF Luz and a leaching method that would help it to be carbon neutral; McEwen said he hopes to obtain an environmental permit this year, a feasibility study ready in early 2025, and start pre-construction work from 2026.