Lithium Argentina Agrees PPG Tie Up With Ganfeng
Lithium miner Lithium Argentina has agreed a deal with China-based developer Ganfeng Lithium to consolidate their neighbouring Pozuelos-Pastos Grandes projects (PPG) in Salta Province, Argentina.
Following the formation of the joint venture, the two companies will bring together three adjacent projects in Salta Province, Argentina: Ganfeng's Pozuelos-Pastos Grandes project, as well as Lithium Argentina's Pastos Grandes and Sal de la Puna projects.
Lithium Argentina will retain a 33% stake in the joint venture while Ganfeng will hold a 67% stake in the joint venture, Millennial Lithium. Ganfeng will act as the operator of the projects. Recent revisions to Argentina's mining legislation has eased mining projects in mining regions such as Salta province.
"At PPG, the consolidated joint venture brings together three complementary projects into a single large scale operation," said Sam Pigott, CEO of Lithium Argentina.
"The PPG JV and this Strategic Investment reflect the strength of a partnership built over nearly a decade and more than US$2bn of combined investment in Argentina’s lithium sector,” said Wang Xiaoshen, CEO of Ganfeng.
“Together, we are advancing a shared vision to grow to over 200,000 tonnes per annum of LCE capacity - bringing advanced processing technologies, jobs and investment to make Argentina the leading source of growth in low-cost, environmentally responsible lithium chemicals production."
The joint venture aims to produce up to 150,000 tonnes per annum (tpa) of lithium carbonate equivalent (LCE) across three phases. The three phases will require a cumulative investment of US$3bn.
While the project will initially use evaporation pond technology, the project will use the less water and energy intensive Direct Lithium Extraction (DLE) process in subsequent phases.
Concurrently, Ganfeng has agreed to invest US$180m in Lithium Argentina through a six-year convertible note.
The project is in a highly prospective area for lithium brines, sitting in close geographic proximity to Liontown’s Centenario project (jointly owned by Liontown and NEXT Lithium following Liontown’s 1 September farm-in announcement) and the Centenario-Ratones operation (owned by Eramet).
Meet the partners
Lithium Argentina currently operates the Cauchari-Olaroz project in Jujuy province, northwest Argentina, which began commercial production in 2024. Production of high-purity lithium carbonate reached 34,000t in 2025, and is expected to ramp up to 35,000t in H2 2026.
Cauchari-Olaroz is a joint venture with Chinese lithium miner, Ganfeng Lithium, while an investment vehicle owned by the provincial government of Jujuy holds a minority stake. In H1 2026, the expansion plan for the project's second phase was successfully selected for inclusion in Argentina’s RIGI program.
Ganfeng Lithium has operations spanning exploration, production, and distribution. One of China’s largest lithium producers, its main mining assets include the Jiangxi Lithium Mine in China. Ganfeng operates a wholly-owned lithium project in Argentina, Mariana located at Llullaillaco salt flat in the province of Salta. The first phase of the project has begun production, with output capacity gradually ramping up. The project has a capacity of 20,000mt of lithium chloride.
