India Enters Agreement for Lithium Exploration & Mining Project in Argentina
Context:
An agreement has been formalized between Khanij Bidesh India Limited (KABIL) and the state-owned enterprise of Catamarca province in Argentina.
Relevance:
GS-02 (International Relations)
Project Details:
- Under this accord, KABIL is set to commence exploration and development activities across five lithium brine blocks spanning an area of approximately 15,703 hectares within the Catamarca province of Argentina.
- Additionally, KABIL is in the process of establishing a branch office in Catamarca to oversee project operations. The total investment for the project is estimated to be around 200 crores.
Significance of the Project:
- This groundbreaking initiative marks the inaugural lithium exploration and mining venture undertaken by a Government Company of India.
- The primary objectives encompass not only securing a sustainable lithium supply for India but also acquiring valuable technical and operational expertise in brine-type lithium exploration, exploitation, and extraction.
Argentina’s Role:
- Argentina plays a pivotal role in the global lithium landscape as part of the “Lithium Triangle” alongside Chile and Bolivia.
- Home to over half of the world’s lithium resources, Argentina boasts the second-largest lithium resources, third-largest lithium reserves, and ranks fourth globally in lithium production.
- The collaboration is poised to reinforce India’s strategic positioning in the lithium market.
Argentina:
Geography:
- Argentina, situated in South America, is the eighth-largest country globally.
- Borders Chile, Bolivia, Paraguay, Brazil, Uruguay, and the South Atlantic Ocean to the east.
Capital and Major Cities:
- Buenos Aires is the capital, known for its cultural richness.
- Major cities include Cordoba, Rosario, Mendoza, and La Plata.
Population:
- Second most populous in South America, with over 45 million people.
- Diverse population, including European, indigenous, and mestizo communities.
Language:
- Spanish is the official language.
Government:
- Federal republic with a stable presidential system.
- Multi-party political system.
Economy:
- One of South America’s largest economies.
- Relies on natural resources, agriculture, and manufacturing.
- Known for agricultural exports, including soybeans, wheat, and beef.
Culture:
- Rich cultural heritage influenced by European, indigenous, and African traditions.
- Contributions to literature by writers like Jorge Luis Borges.
- Birthplace of tango music and dance.
- Football is a national obsession, producing global stars.
- Tourist attractions include Andes Mountains, Patagonia, Iguazu Falls, and wine regions.
