Extractive Projects and the Affected Communities

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Case Study of Extractives and Communities
1. What was/is the nature and history of the (proposed or existing) extractive project? Who is extracting or seeking to extract what, and what makes this a (potentially) viable project?Salar de Olaroz project
The Minera Exar project located in Olaroz-Caucharí in Jujuy Province was stated in 2018 and in 2019 the feasibility study on the project highlighted the possibility of producing 40,000 tonnes per annum (tpa) of the battery-grade lithium carbonate (Lithium Americas). In the Caucharí-Olaroz lithium brine project Minera Exar is in joint venture between Lithium Americas and Chinese firm Ganfeng Lithium (Lithium Americas). The company expected to begin the construction from 2019 and being operations by the end of 2020 or 2021. Canadian mining company Lithium Americas commercially previously reported that there is proven conventional brine processing technology (Lithium Americas). The first lithium extraction project in Argentina was in 1997, but since then the projects were few at a time when the demand for lithium was high and local companies were financially constrained. However, in the past few years, there has been growing demand for lithium and companies have partnered to explore process and sell lithium. There has been commitment from the shareholders to go on with the project and produce lithium carbonate where there has been focus on increasing the productive capacity. There has been growing demand for lithium, which is used for rechargeable batteries for mobile phones as well as electric vehicles.
2. What concerns or objections have been raised? By whom? Briefly describe the (potential) impacts of the extractive project.
The environmental groups raise concerns about the impact of the mining activities on the environment. Various companies have received lithium exploration concession in Jujuv, but the concessioned areas overlap in part with the communal lands of the different aboriginal indigenous communities. The indigenous communities have raised concerns about the exploitation of the lithium project with the first conflict being extraction of the minerals as well as water usage in an area that is water scarce.
The indigenous Atacama communities remain poor with no safe drinking water and poor infrastructure in areas where such projects have taken place. This is further compacted by poor negotiations between the mining companies and the communities. Besides the indigenous people the non-governmental organizations and the local groups have also raised concerns about the development project highlighting that there are likely negative long term impact on the area with the companies failing to improving the quality of life for the local people and ensuring environmental protection.
3. What activism or resistance has been organized against the extractive project? Who is involved? Is the local community working with social movements, international organizations, or other allies? If so, how?
While the region is sparsely populated the community leaders against the mining company have worked together with activist to defend the right of the community to influence decisions on mining activities in the area. The...