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Global lithium mining firm Arcadium Lithium said on Friday that its operations in the northern Argentina region of Catamarca would not be impacted by a ruling by a provincial court blocking the issuance of new permits.

The ruling, which came after a petition by local indigenous communities, temporarily halts the issuance of new permits and authorizations in a lithium rich basin in Catamarca, where Arcadium operates, until the local government carries out environmental impact studies.

“The court ruling does not impact Arcadium Lithium’s existing mining operations and expansion activities at its Fenix and Sal de Vida projects,” the firm said in a statement.

“All of the company’s existing permits and Environmental Impact Assessments (EIAs) remain valid.”

Arcadium already produces lithium from brine at the Salar del Hombre Muerto and the firm has expansion plans underway.

The case underscores wider tensions between companies and local communities over water use and the environmental impact of extracting ultra-light battery metal lithium, which is key for the electric vehicle revolution.

Argentina, inside South America’s so-called “lithium triangle”, is one of the world’s top producers of the metal with a strong pipeline of regional projects under development.