McEwen Copper seeks $4B to advance Los Azules
Cecilia Jamasmie | April 7, 2026 |
Los Azules has a projected 22-year mine life, with potential to extend to 33 years. (Image courtesy of McEwen Mining.)
McEwen Copper Inc. is in talks with global lenders to secure about $4 billion in financing to develop its Los Azules project in Argentina, advancing one of the country’s largest undeveloped copper deposits.
The company, a subsidiary of McEwen Mining (TSX, NYSE: MUX), is engaging export-credit agencies including the US Export-Import Bank to structure funding tied to equipment sourcing, managing director Michael Meding said in an interview this week.
Discussions also involve the US International Development Finance Corp. and financial groups in Europe and Japan following recent meetings in New York and a site visit by a Japanese delegation. The financing plan targets a mix of 30% to 40% equity, with export-credit agencies potentially covering up to 85% of equipment costs, particularly for US-made mining equipment such as haul trucks.
“There’s serious high-level interest,” Meding told Bloomberg News. “Some of our partners have spent several million dollars on due diligence.”
Chairman Rob McEwen said in an interview with MINING.COM last week that the Los Azules project is already supported by a feasibility study placing it in the second lowest quartile of the global cost curve.
He said this positions it as a large, financeable asset the company is advancing toward development. He added the project is targeting first production by 2030 and remains in the development and financing stage.
McEwen added that Los Azules is designed to produce copper cathode rather than concentrate, allowing it to bypass smelters and supply metal directly to end users.
‘Argentina has changed‘
The outreach reflects rising global interest in Argentina’s mining sector as policy conditions improve under new reforms and critical minerals agreements with the US.
“Since President [Javier] Milei was elected in December 2023, he has introduced policies and legislation that are designed to encourage investment into his country, to reduce inflation,” McEwen said, pointing to tax cuts and the removal of exchange controls that now allow capital to move more freely. “Argentina has changed.”
Argentina hasn’t produced copper since 2018, but projects like Los Azules may boost its role as a key future supplier. (Image courtesy of McEwen Mining.)
McEwen added that recent meetings with global financial leaders in New York reinforced that shift, citing growing optimism about the country’s resource potential and a stronger push from provincial governments to support mining development.
Backers including Stellantis NV and Nuton, a Rio Tinto (ASX: RIO) venture, already hold stakes, and additional equity could come from Rio Tinto or another major partner as McEwen Copper evaluates a $300 million IPO by year-end.
First mine in 8 years
Los Azules has a projected 22-year mine life, with potential to extend to 33 years, and is expected to produce 205,000 tonnes of copper annually in its first five years, averaging 148,000 tonnes thereafter.
Argentina has approved the project for tax incentives under its Large Investment Incentive Regime, part of President Javier Milei’s push to attract capital to the sector.
The country has not produced copper since 2018, but a pipeline of projects including Los Azules could position it as a significant future supplier amid rising global demand.