Because they are native to Andean mountains of Argentina and Peru. Llamas live in grassy open spaces at very high altitudes of 7,400 – 12,800 feet, where the air is so thin there is only 40% oxygen. Llamas have unique blood that adapts well to the poor oxygen—they have more red blood cells per unit volume of blood than any other mammal. The hemoglobin, which is the oxygen carrying substance of the cell, reacts faster with oxygen.