Argentina says mining duties wont hurt investment

Argentina says mining duties wont hurt investment

Export duties being imposed on mining companies by Argentina’s government will not affect exploration or investment in the country, the country’s top mining official told reporters on Monday.

Mining Secretary Jorge Mayoral also said that legal actions against the tax by mining giants Rio Tinto, Xtrata and other companies were unlikely to proceed to international courts.

Mayoral made his comments following a presentation in Toronto touting mining opportunities in Argentina. Participating in his presentation at the international mining convention were officials from London-based Rio, and Brazil’s Vale.

At least five mining companies have begun legal proceedings in the mineral-rich South American country to fight an export duty that has affected 14 companies, and is said to threaten Argentina’s mining code.

The government recently decided to discard exemptions from export duties of 5 to 10 percent. Argentine mining law guarantees tax stability for miners for 30 years from the time they submit feasibility studies.


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