Uruguayan authorities informed Argentina that they are analyzing alternative locations that would better leverage logistical and technical advantages while addressing Argentine concerns about impacts on pre-existing riverside economic activities, particularly tourism operations in Colón. The Uruguayan government has signed a memorandum of understanding with HIF Uruguay and is developing terms of reference for an environmental impact assessment that must be submitted by the company and evaluated by Uruguay’s Environment Ministry. Quirno expressed satisfaction that Colón was incorporated into the project’s area of influence for environmental study purposes.
Frigerio emphasized that provincial authorities acted with unprecedented speed compared to the Botnia case, when negotiations began in 2005 after construction had already commenced. The governor personally met with Uruguayan President Yamandú Orsi shortly after learning of the project in 2025, receiving what he described as a respectful and understanding reception. Frigerio held subsequent meetings with Uruguay’s foreign, industry, and environment ministers to formalize objections. In April 2026, he convened a summit in Colón with mayors, legislators, environmental organizations, and representatives from the Uruguay River Administrative Commission (CARU), warning that Argentina would pursue international legal channels if necessary to protect Colón’s tourism-dependent economy.
Lubetkin confirmed that once a definitive location is established and environmental assessment completed, Uruguay will submit formal communication to CARU, activating the prior information and consultation mechanism outlined in Articles 7 through 13 of the Uruguay River Statute. Both governments emphasized commitment to transparent dialogue that balances productive development with environmental protection in the sensitive shared border region. Argentine legislators have already filed legal challenges in Argentine courts against the project, though Quirno characterized this judicialización as premature and politically motivated, stressing Argentina’s pro-investment stance toward Uruguay.
This article was curated and published as part of our South American energy market coverage.
