Mining and Energy as Drivers of Regional Integration and Development

Mining projects in Latin America face development processes that can extend for more than a decade. What explains these timelines, and what conditions should change to accelerate the commissioning of new projects?

Large mining projects require investments of several billion dollars and pass through multiple study stages designed to ensure that risks are controlled. By their very complexity, these are processes that take several years.

This complexity is compounded by challenges that have deepened in Latin America, particularly in environmental permitting and relationships with communities and Indigenous peoples.

However, there are positive signs. Across the region, there is growing awareness that minerals represent an exceptional economic opportunity. The energy transition, technological change, artificial intelligence and transformations in the structure of the global economy are reshaping demand and placing minerals at the center of the geopolitical agenda.

This context can open a new phase of investment, provided that countries improve the regulatory, environmental and social conditions that determine development timelines.

There has not been an opportunity like this in more than a century, with mineral resources becoming a central component of global economic development.

There is no energy transition without mining, but there is also no mining without energy. How do you assess the importance of energy planning for the development of new mining projects, and what opportunities exist to advance shared solutions?

Energy is a central component of the mining production process. Extracting and processing rock requires movement, crushing and other highly energy-intensive processes. In addition, growing mineral demand will require the exploitation of lower-grade resources, increasing processing needs and therefore energy demand.

This makes it essential to anticipate where the main energy requirements will be located and what opportunities exist to develop shared infrastructure or mining-energy corridors. This requires information on the location, intensity and evolution of demand.

At the same time, the mining industry is beginning to explore new business models. As costs rise and projects become more complex to develop, companies are looking to transfer part of infrastructure development to specialized actors, reserving their capital for the mining business.

This process can support greater diversification and sophistication of the mining-energy ecosystem, creating new opportunities for energy companies, technology providers and shared infrastructure.

Can this transformation become an opportunity for regional development? Where do you see Latin America’s main competitive advantages and the potential to move toward greater integration?

Regional integration can be a tool to accelerate development processes. As projects become increasingly complex and the need to reduce timelines grows, cooperation among countries can make it possible to share infrastructure, capabilities and knowledge.

The case of Argentina and Chile is illustrative. A significant portion of Argentina’s mining project pipeline is located near the Chilean border, opening a debate about alternatives for connecting with international markets: through the Atlantic or through greater integration with the Pacific and Chilean infrastructure.

The question is not only where to produce, but how to build the most efficient infrastructure and value chains to develop those resources.

This integration can also expand opportunities beyond extraction. The technological, financial and commercial sophistication of mining activity creates value chains that can drive new industries and services.

Latin America also has mineral potential far broader than copper and lithium. Gold, silver, zinc, iron and other minerals have a significant regional presence, while rare earths could open a new frontier linked to magnet-based technologies.

Taking advantage of this opportunity requires moving away from a fragmented vision and toward greater coordination among public, private and international actors. The scale of the challenges requires combining capabilities and building collective solutions.