Mining 2025

ARGENTINA Law and Practice Contributed by: Sebastián P. Vedoya, Sergio Arbeleche and Dolores Cattaneo, Bruchou & Funes de Rioja

Mortgages A mortgage is a right in rem constituted as secu - rity over immovable assets that continue in the control and possession of the debtor. Although mortgages are also created over other types of assets (eg, vessels and aeroplanes), they are typically created over immovable assets, includ - ing real estate, mining concessions and fixtures thereto. A mortgage provides an interest to the extent of the secured debt obligation over the real property and the fixtures thereto in respect of which the mortgage is granted. In insolvency proceedings, the mortgagee has a special pref - erence in respect of the real property over which the mortgage is granted. Pledges Pledges may be divided into two categories: possessory pledges and registered pledges. Both possessory and registered pledges pro - vide an interest to the extent of the secured debt obligation over the property in respect of which the pledge is granted. In insolvency proceed - ings, the pledgee has a special preference in the property over which the pledge is granted. A possessory pledge requires that there be a dis - placement – actual or symbolic – of the assets over which the pledge is granted such that, when actual, the assets are removed from the posses - sion of the debtor and placed in the control of the creditor or its agent. The displacement must take place as required by the rules regulating the transfer of ownership of a given asset. Tangible moveable property and intangible property can be pledged by means of possessory pledges. Since a displacement is required for a posses - sory pledge, a possessory pledge cannot be cre - ated over after-acquired property. In contrast to a possessory pledge, a registered pledge does not require the pledged assets to

land, France, Germany, Israel, Italy, Malaysia, Mexico, the Netherlands, New Zealand, Peru, Russia, Spain, Sweden, Switzerland, the United Kingdom and the USA. Argentina also has an integration and facilitation mining treaty executed with Chile for binational mining projects that require facilitation on both sides of the Argentine-Chilean border. 5.4 Sources of Finance for Exploration, Development and Mining The main sources of finance for exploration, development and mining are of foreign origin: primarily, financing and equity provided by for - eign entities and investors. In the last few years, some local businesses have started to invest equity in small mining projects, but there are no other local sources of financing. 5.5 Role of Domestic and International Securities Markets in the Financing of Exploration, Development and Mining Domestic securities’ markets have no role in the financing of exploration, development and min - ing in Argentina. There are no mining companies listed in local securities’ markets. Foreign securi - ties’ markets have an important role in the devel - opment of mining activities in Argentina, since almost all of the mining investment is made by foreign investors, many of which are listed in for - eign securities’ markets. 5.6 Security over Mining Tenements and Related Assets The most suitable securities available over min - ing tenements and related assets in the context of exploration, development and mining finance in Argentina are detailed as follows.

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