South32 (ASX: S32) announced it has broken ground on Centro, a remote operations center in Nogales, Arizona, that will support the Hermosa project.
The Hermosa project is currently the only advanced US mining project capable of producing two federally designated critical minerals: zinc and manganese, and received board approval for $2.16 billion in funding to develop the zinc-lead-silver deposit in February.
This represents the largest private investment in southern Arizona鈥檚 history, and the largest investment in the local Santa Cruz county economy to date by nearly nine times, the Australian miner said.
Last year, the Hermosa project became the first to be added to the United States鈥� FAST-41 permitting process. The company said it has the potential to become one of the world鈥檚 largest zinc producers.
Centro will use advanced automation to enhance safety and productivity 鈥� key pillars of sustainable operations, the company said, adding that the groundbreaking is the result of nearly three years of design and planning to align with its聽long-term economic and employment goals in Santa Cruz county.
Supporting an 鈥楢ll in Community鈥� workforce development ecosystem, the groundbreaking also marks the launch of the South32 Hermosa Workforce Development Executive Committee 鈥� an expanded initiative aimed at supporting long-term workforce development across Santa Cruz.
The committee brings together local education leaders and South32 representatives to focus on post secondary education, facilities development, resources and training needs of the local businesses, the company said.
鈥淐entro represents more than just a facility 鈥� it is a commitment to create economic opportunity and shared value in Santa Cruz county,鈥� South32 Hermosa president Pat Risner said in a news release.
鈥淏y establishing Centro in Nogales, we are ensuring that the economic benefits of Hermosa stay local, providing high-skilled, good-paying jobs and supporting the development of a skilled workforce for generations, while also providing opportunities for both populations historically excluded from the industry and underrepresented community groups.鈥�
Attendees at the ceremony included Arizona Governor Katie Hobbs, local and state officials, municipal leaders, and representatives from organizations such as the Port Authority, The Nature Conservancy and the University of Arizona.
鈥淐entro, as the project鈥檚 state-of-the-art operations center, will create good-paying jobs and strengthen our economy,鈥� said Congressman Juan Ciscomani.
鈥淪outh32 Hermosa鈥檚 Centro is a major step forward for regional development and the production of critical minerals in southern Arizona,鈥� Ciscomani added. 鈥淏y anchoring high quality jobs, workforce training, and critical infrastructure in our communities, this project strengthens the local economy and positions our region to continue to serve as a hub for responsible innovation and growth.鈥�