The historic British publication, a global reference for the mining industry since 1835, underscored the approval of new legislation, the adoption of a progressive royalty scheme, the ratification of strategic projects such as San Jorge, and the strengthening of the environmental framework, consolidating Mendoza as a jurisdiction offering greater predictability and legal certainty for mining investment.
The prestigious international outlet Mining Journal, a long-standing global authority on mining since 1835 and headquartered in London, has highlighted the institutional and regulatory advances made by the Province of Mendoza as it moves to consolidate its position as a metals-producing jurisdiction.
In its analysis, Mining Journal examined the package of four bills approved by Mendoza’s Senate and Chamber of Deputies and reported key statements by the Minister of Energy and Environment, Jimena Latorre, regarding the province’s new mining regulatory framework.
According to the publication, one of the cornerstone measures establishes a new progressive royalty scheme aligned with the national sliding scale ranging from 3% to 5%. Latorre explained that this system is inspired by the model applied in the hydrocarbons sector and is designed to adjust to international price movements and the varying cost structures of individual projects, thereby providing greater predictability for private investors.
“Mendoza now has a progressive system, similar to that used in the oil and gas sector, which can move in line with market price changes and different project cost structures. This provides greater clarity for private investors,” the minister stated, as quoted by Mining Journal.
The article also underscored the legislative approval of environmental impact declarations for strategic projects, including the San Jorge Project, a copper development located in Uspallata that envisages an estimated investment of US$559 million. The publication noted that the project, developed by Zonda Metals and Grupo Alberdi, is expected to produce around 40,000 tonnes of copper per year over a 16-year mine life, with a potential start of operations from 2028.
For Latorre, the parliamentary ratification of these projects represents a major institutional milestone, as it not only validates the technical work carried out by her ministry and other provincial agencies, but also provides political and social legitimacy to the decisions taken. “This was not solely a technical assessment, but the ratification of decisions by a democratically elected political body. This generates legal certainty for investment and clearly signals the direction of the province’s political economy,” she said.
Legal predictability
Another key advance highlighted by Mining Journal was the creation of a regulatory framework for an environmental compensation fund, as provided for under the General Environment Law. The aim is to ensure the remediation of any potential environmental damage and to finance infrastructure that improves environmental conditions. The minister clarified that the fund is not limited exclusively to mining projects and that its proper regulation will allow Mendoza to effectively access these resources.
The international publication also emphasised the ratification of 27 environmental impact declarations for exploration projects in the Malargüe Western Mining District. This strategy, focused on completing social and environmental studies in advance, is intended to facilitate subsequent investor engagement and the development of partnerships with foreign companies. In this context, new drilling campaigns are expected to commence during the next exploration season.
Finally, the article addressed one of the most sensitive issues in Mendoza’s public debate: water use and control. Mining Journal reported Latorre’s explanations regarding monitoring and enforcement mechanisms, including citizen participation in overseeing water resources. According to the minister, this approach seeks to overcome longstanding resistance to mining through proactive controls and transparency in water management.
Through this analysis, Mining Journal positions Mendoza as a province making tangible progress towards a modern, predictable institutional framework aligned with international standards, strengthening its profile within the global mining and financial community.
