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Famatina is a town in the province of La Rioja, Argentina. It has 6,371 inhabitants as per the, and is the only municipality in the Famatina Department. Located in fertile valley between Sierra de Famatina and Sierra de Velasco Famatina's economy revolve around jojoba and olive agriculture and tourism.The town developed from a pre-Hispanic settlement in the Inca Empire, and whose indigenous inhabitants have been recognised as Diaguitas. The site of Famatina was first explored by Spaniards in 1592 when Juan Ramírez de Velazco arrived during his search for gold.Osisko Mining Corporation in FamatinaOsisko Mining Corporation, based in Montreal, Canada, signed an agreement in August 2011 with La Rioja’s state mining corporation “Energia y Minerales Sociedad del Estado” to develop the Famatina gold project. This project would cover an area of 40 km2 in the Famatina Mountain Range. Osisko agreed to pay US$ 500 000 to ESME within 15 days of the signing and invest $US 10 million within the first year of exploration. The terms also stated the division of profits from the project; 70% for Osisko, 30% for ESME.PoliticsProvincial Governor Luis Beder Herrera was elected in March 2007 on an anti-mining platform. In 2008 however, Provincial Governor Luis Beder Herrera supported the repealing of the Provincial Laws Nº 8137 & 8138, passed in 2007, which banned open-pit mineral mining and the use of cyanide, mercury and any other contaminant in mining activities in La Rioja. He is a supporter of Osisko’s project.
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