The province of San Juan is moving forward with an ambitious plan to raise up to USD 500 million in international markets with the aim of financing strategic infrastructure projects that support the growth of the mining sector. This initiative comes in the context of a strong expansion of investments driven by the Incentive Regime for Large Investments (RIGI), which has already approved the Vicuña megaproject, one of the largest copper ventures in the region.
Governor Marcelo Orrego has begun a roadshow for investors in London that will continue in New York, where he will present the investment opportunities offered by the province. JP Morgan and Banco Santander, two of the main international financial institutions, have been selected for the bond placement.
The financing will be allocated to road, water, and housing infrastructure projects deemed essential to support the development of Vicuña, the binational copper, gold, and silver venture promoted by Vicuña Corp, a company formed by BHP and Lundin Mining. The project received RIGI approval in June and foresees an initial investment of USD 9.7 billion.
The law authorizing the issuance was approved by the San Juan Legislature on June 4. The scheme includes a grace period of at least two years for capital amortization and will allow for repayment to be guaranteed with resources from Federal Revenue Sharing, without compromising mining royalties.
