NOVEMBER 03, 2020

Resolution No. 96/2020 of the Ministry of Productive Development – Mining Secretariat: “Guidelines for the Development of Programs to Strengthen Mining Suppliers”.

CIRCULARS

CIRCULAR

Mining Law Department Report | Resolution No. 96/2020 of the Ministry of Productive Development – Mining Secretariat: “Guidelines for the Development of Programs to Strengthen Mining Suppliers”

Dear Sir or Madam,

Resolution No. 96/2020 (the “Resolution”) establishes the “Guidelines for the Development of Programs to Strengthen Mining Suppliers” (the “Guidelines”). The Guidelines were developed as part of the activities of the Secretariat of Mining’s Program for Strengthening the Mining Value Chain (pursuant to Resolution No. 47/2020). The Program fulfills the Third Strategic Objective, which aims to transform the development of mining activity into opportunities for the communities’ integral development.

The Guidelines are a tool for mining projects and provincial mining authorities who want to carry out the implementation of activities and policies that strengthen and promote the development of goods and services with high added value at the local, provincial, and federal levels.

The Guidelines aim to support and increase the participation of Argentine companies in the provision of goods and services, within a framework of competitiveness and sustainability, diversifying the economic impact that the mining activity has on the economic development of the country in general and of strategic sectors and mining regions in particular.

The development of greater involvement of Argentine suppliers will generate a significant territorial impact, influencing the various productive rings at the three levels: local – in the communities and municipalities surrounding the mining project-, provincial, and federal, incorporating quality jobs and enhancing skills and knowledge in each region. At the same time, the development of mining suppliers will enable the replacement of imports and increase exports to other countries in the region of goods and services sought by the mining industry.

Thus, the Resolution invites provincial mining authorities, mining companies, and other stakeholders to enter into collaboration and technical assistance agreements for the design and implementation of Mining Supplier Strengthening Programs, with the understanding that as a basis for such agreements, development opportunities for local suppliers will be identified through the assessment of existing supply and the technical feasibility of local supply of these goods and/or services with the assistance of technical and financial tools to promote the improvement of local, regional and federal suppliers.

Pursuant to Section 2, the provincial mining authorities are invited to adhere to the measure established under the Resolution and to adopt the Guidelines, in their public policies applicable to the mining sector.

Under Section 3, the Resolution requests the provincial mining authorities to execute individually or jointly with mining companies and other involved parties, mutual and technical assistance agreements, with the Mining Secretariat of the Ministry of Productive Development with the purpose of designing programs to strengthen mining suppliers in their respective territories.

Should you require any further information on this matter, please do not hesitate to contact us.

Sincerely,

Marcos Moreno Hueyo
Dolores Reyes