News Summary
On December 11, 2025, Lundin Mining announced that its 50%-owned joint venture, Vicuña Corp., has submitted an application for the inclusion of the Vicuña Project (comprising the Josemaria and Filo del Sol deposits) into Argentina’s Incentive Regime for Large Investments (RIGI). This application is under the Long-Term Strategic Export Projects (PEELP) designation, making it the first mining project to apply for this specific regime.
The RIGI PEELP framework offers significant long-term benefits crucial for a large-scale, capital-intensive project, including a 40-year period of fiscal stability, lower taxes, the removal of export duties, and accelerated revenue repatriation. An integrated technical report for the Vicuña project is expected in Q1 2026.
Material Impact
The application for RIGI status is a non-financial, but strategically material and positive event. While the application itself does not generate revenue, its potential approval is a critical de-risking milestone for Lundin’s flagship growth asset, the Vicuña Project. The primary risk for this multi-billion dollar, multi-decade project has always been the political and fiscal instability inherent in Argentina. Securing a 40-year agreement that locks in fiscal terms would fundamentally improve the project’s risk profile and attractiveness for financing.
This news directly follows through on management’s commentary from the Q3 2025 earnings call in early November, where they stated the RIGI application was in its final stages. Delivering on this timeline enhances management’s credibility. Furthermore, being the first mining project to apply under this new regime suggests strong alignment and collaboration with the Argentinian government, a positive signal for future permitting and development.
This development should be viewed in the context of the company’s recent history. After a transformative 2024-2025 period involving the creation of the Vicuña JV with global major BHP and the sale of its European assets to strengthen its balance sheet, Lundin is now methodically executing its growth strategy. While a recent negative headline regarding a 2017 class action lawsuit proceeding to trial (Nov 28, 2025) introduces legal uncertainty, this positive strategic step demonstrates that the company’s core long-term value driver is advancing as planned. The ultimate catalyst will be the approval of the RIGI application, but this submission is a necessary and material step forward.
Catalysts
– RIGI Application Status: Any news from the Argentinian government regarding the acceptance or timeline for review of the Vicuña project’s RIGI PEELP application will be a significant catalyst.
– Saúva Pre-Feasibility Study (PFS): The company has guided for the completion of the PFS for this brownfield expansion at its Chapada mine by the end of 2025. This is an immediate catalyst that could add near-term production growth.
– Integrated Vicuña Technical Report: This is the most significant upcoming catalyst, expected in Q1 2026. It will provide the first consolidated view of the development plan, scope, and economics for the combined Josemaria and Filo del Sol deposits.
– 2026 Production and Cost Guidance: Typically released in January, this will provide the first look at the company’s operational expectations for the upcoming year.
– Financing Update: The company is in the process of increasing its revolving credit facility to prepare for future growth. An announcement on the closing and size of this facility is expected by early 2026.
Materiality Conclusion
The application for RIGI status is a material positive event. It is a critical step in mitigating the single largest risk—jurisdictional instability—facing the company’s most important growth project. While approval is not guaranteed, the submission itself is a significant milestone that progresses the Vicuña project toward an eventual construction decision and demonstrates management is executing on its stated plans.
