Andes Corridor Deepens US-Argentinian Minerals Cooperation
The Andes-Atlantic Corridor agreement between the US and Argentina will improve US investors access to investment opportunities in Argentina's mining sector, in the context of a joint initiative to modernise the South American country's rail and port logistics.
It will link Argentina's mineral-rich northwest, which contains a number of lithium and copper development projects, to Atlantic ports and Western markets.
Designated the first Partnership for Global Infrastructure and Investment corridor in the Western Hemisphere, it is designed to unlock large-scale investment.
It is also expected to expand opportunities for US companies and strengthen supply chains for energy, including oil and natural gas by attracting investment into pipeline and power infrastructure.
The deal was accompanied by the announcement of a US$7bn financing package by the US Export-Import Bank (EXIM) as part of a bilateral US-Argentina Build the Future Framework. The deal is intended to mobilise up to US$7bn through 2027 for priority sectors, including critical minerals development and processing.
EXIM is moving boldly into the industries of the future. To do this, we must secure our supply chains, support American jobs, and ensure American workers, products, and expertise reach all parts of the Western Hemisphere. We’re proud to enter into such an important partnership with Argentina and excited to see our two countries grow together.
Mineral projects at heart of the corridor
The Corridor is set to increase investment in logistics, which will support a further expansion of mining activity in Argentina. The offer of 50-year concessions to rehabilitate the Belgrano, San Martín and Urquiza lines will reduce transport costs for lithium and copper projects, improving the economics of exports from Argentina's interior. This is particularly important as some mining projects had been seeking to secure cross-border logistics access, permitting exports from Chile's Pacific facing ports.
In addition to Argentina's lithium deposits and mines, located in the Lithium Triangle in northwest Argentina, Argentina is home to a number of large scale copper mining projects. Analysts suggest that Argentina could rise in importance to become one of the ten largest copper producers in the world by the end of the current decade.
The US agreed a draft critical minerals deal with Argentina earlier in 2026, but the deal has not been ratified. However, this agreement is broader in scope and likely to incentivise investment in other critical areas for Argentina's economy, including the Vaca Muerta shale gas sector.
LNG projects a strategic focus
The Corridor's energy component centres on Vaca Muerta. Here, the Argentina liquefied natural gas (LNG) project led by state-controlled oil and gas company Yacimientos Petrolíferos Fiscales (YPF), in partnership with petroleum giant Eni and ADNOC's international energy investment company XRG, represents an integrated liquefaction development valued at US$51bn.
The US Export-Import Bank has issued a non-binding indicative term sheet of up to US$6bn to support procurement of US goods and services for the project, including a contract awarded to engineering, procurement, fabrication and construction provider, McDermott, for a gas liquids fractionation and treatment facility.
It also supports an engineering, procurement and construction (EPC) contract worth more than US$1bn awarded to major energy infrastructure and pipeline construction contractor Pumpco, a MasTec subsidiary.
Pumpco will work alongside construction and engineering-focused Bonatti and Contreras Hnos on the project's export pipeline system."This new step marks the formal inclusion of XRG into the project we have been developing together with Eni. These two world-class players allow us to position Argentina LNG as one of the leading LNG projects globally. We will now continue working very intensively to reach a final investment decision during the second half of 2026," says Horacio Marín, YPF President and CEO.
Elsewhere in the power sector, Argentina has launched an estimated US$800m high-voltage transmission concession for the Buenos Aires metropolitan area, backed by an Inter-American Development Bank (IDB) loan guarantee, serving a region that accounts for nearly 60% of national power demand.
Transport and digital links expand
Transportation and connectivity form a third pillar of the Corridor, aimed at reducing bottlenecks for minerals, energy and agricultural exports moving toward Atlantic markets.
Key projects include:
- Freight rail: 50-year concessions tendered to rehabilitate the Belgrano, San Martín and Urquiza lines, cutting transport costs for lithium and copper projects
- Hidrovía Waterway: a 25-year concession awarded to Belgian-Argentine consortium Vía Navegable Troncal, expected to bring US$10bn in investment
- ARSAT fibre-optic network: a modernisation concession supported by a US$49m IDB loan for its first phase
- Telecoms expansion: US-owned Metrotel's acquisition of six million telecommunications users in Argentina
- Future rail links planned from Vaca Muerta to Bahía Blanca and other Hidrovía ports
- The Corridor is the first Partnership for Global Infrastructure and Investment scheme in the Western Hemisphere
- It sits within the G7's wider Partnership for Global Infrastructure and Investment programme
- The Hidrovía Waterway concession alone is estimated to attract US$10bn in investment
- It joins other US strategic corridors, including Lobito, Luzon and India-Middle East-Europe
- EXIM financing under the Build the Future Framework runs through to 2027
Argentina's Incentive Regime for Large Investments further supports the pipeline, offering long-term tax, trade and foreign-exchange benefits for large-scale projects in priority sectors, giving international contractors and financiers a clearer regulatory footing.
Key partners of the Argentina LNG project:
EXIM
EXIM is the primary US financing agency underwriting energy and infrastructure procurement.
The DFC
The DFC provides complementary project finance alongside EXIM and private capital.
YPF
YPF is Argentina's state energy company leading the Argentina LNG development.
Eni
Eni is one of the international energy partners advancing that project alongside YPF.
