In a global context where critical minerals and rare earth elements have become key components for defense, technology and the energy transition, Argentina’s La Rioja province took a strategic step by signing a tripartite agreement that positions the region as a high-value mining exploration destination.
Gov. Ricardo Quintela led the ceremony at the Official Residence, where the agreement was signed by the provincial government, state-owned company Energía y Minerales Sociedad del Estado (EMSE), and New York-based American Minerals.
The agreement’s main objective is to carry out prospecting and exploration for rare earths and critical minerals in areas under EMSE’s control. The initiative has the technical backing of the Argentine Geological and Mining Service (SEGEMAR), a federal agency that will provide inputs, data and materials for field campaigns.
Following the signing, La Rioja Mining Secretary Ivanna Guardia said: “This is a very important tripartite agreement for the province. American Minerals has a prior agreement with SEGEMAR, which ensures we will have the necessary technical support to prospect EMSE’s properties and advance geological knowledge of the territory.”
American Minerals’ strategic goal
Sergio Rotondo, founder and CEO of American Minerals, highlighted the company’s strategic focus: “We are a U.S. company dedicated to the prospecting and exploration of critical minerals and rare earths for the defense sector. Argentina is talking a lot about this, but there is still little detailed information. Together with SEGEMAR, we will analyze the potential of La Rioja, a province with a mining tradition, and once opportunities are identified, develop concrete projects.”
Although the exact investment amount was not publicly disclosed, industry sources say it represents an initial foreign direct investment focused on the exploration stage, with potential to scale into development phases if viable deposits are confirmed.
Benefits for the province
The initiative could generate several benefits for La Rioja:
- Foreign investment and technology transfer.
- Creation of skilled jobs during prospecting and any eventual production phase.
- Improved geological knowledge, historically limited in critical minerals compared with other Argentine mining jurisdictions.
- Attraction of new investment in a strategic segment aligned with rising global demand for these elements, which are used in permanent magnets, batteries, defense electronics and wind turbines, among other applications.
The agreement comes at a key moment: the United States is intensifying its search for alternative sources outside China, which dominates roughly 80%–90% of global processed rare earth production, while Argentina is working to position itself as a reliable supplier of critical minerals in the Southern Hemisphere.
With this agreement, La Rioja aims to capture part of the “new rush” for strategic minerals, joining a regional trend already reflected in lithium, copper and other projects across northwestern Argentina (NOA) and the Cuyo region.
Provincial officials emphasized that the project complies with current environmental and community consultation regulations, and that any move toward production will require comprehensive environmental impact studies.