Name of the Project
Los Azules copper project.

Location
San Juan province, Argentina.

Project Owner/s
Gold and silver producer focused on McEwen Mining 46.4%, Stellantis 18.3%, Nuton 17.2%, Rob McEwen 12.7%, Victor Smorgon Group 3% and other shareholders 2%.

Project Description
The large, high-grade openpit copper project has significant growth potential.

According to the  updated preliminary economic assessment (PEA), completed in 2023, Los Azules is expected to produce an average of 322-million pounds of copper cathode a year over a 27-year life-of-mine. 

The project will be powered by 100% renewable electricity once in operation, progressing towards being carbon neutral by 2038.

The 2023 PEA financial model does not include potential future development phases focused on primary copper mineralisation found beneath the supergene copper.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at an estimated 8% discount rate, of $2.66-billion and an internal rate of return of 21.2%, with a payback of 3.2 years.

Capital Expenditure
About $2.7-billion.

Planned Start/End Date
Los Azules has the potential to start construction in early 2026.
 
Latest Developments
Argentina has approved McEwen Copper’s Los Azules project for inclusion in the Large Investment Incentive Regime (RIGI), endorsing a $2.7-billion investment to advance one of the country’s most significant mining developments.

“This approval reinforces McEwen Copper’s long-term commitment to Argentina and the province of San Juan, advancing a model of modern, responsible and sustainable mining. The integration of Los Azules into the RIGI under a single strategic investment plan enhances operational predictability and establishes a clear framework for engagement with the State and future partners,” McEwen Copper VP and GM of Los Azules Michael Meding has said.

Chairperson and chief owner Rob McEwen has said the RIGI sends a powerful message to international investors: "Argentina is open to supporting long-term projects in energy and critical metals”. 

The RIGI provides tax incentives, including a reduced corporate rate of 25%, a 50% cut in dividend withholding tax, accelerated depreciation, early value-added tax recovery and long-term stability. Customs and foreign exchange procedures are also streamlined under the regime.

Los Azules’ environmental-impact declaration for construction and operations was approved in December 2024. A feasibility study is due by the end of October 2025, after which construction could start, subject to detailed engineering and financing. Exploration around the deposit will continue in parallel to extend the resource.

Key Contracts, Suppliers and Consultants
Samuel Engineering Inc, with contributions from Knight Piésold Consulting, Stantec Consulting International, McLennan Design, Whittle Consulting and SRK Consulting UK (PEA).

Contact Details for Project Information
McEwen Mining +1 647 258 0395 or email info@mcewenmining.com.