The Chilean government launched an initiative today, encouraging both domestic and international investors to develop lithium mining projects.
This effort aims to capitalize on Chile’s extensive natural resources, particularly its substantial lithium reserves.
These reserves, primarily located in the Salar de Atacama, account for 36% of the world’s total lithium.
The “Expression of Interest and Request for Information” (RFI) process introduced by the Ministry of Mining is pivotal.
Results are due by July 9; this process will select mining contract recipients, starting a major expansion in Chile’s lithium sector.
Investors have a 60-day window from this Monday to express interest in 26 salars, which make up 18% of Chile’s saline area.
At Cesco Week 2024, Mining Minister Aurora Williams highlighted the role of this initiative in identifying viable project locations and forming operational strategies.
The forthcoming contracts, expected by early 2025, will detail technology usage, duration, production estimates, and state benefits.
Chile’s National Lithium Strategy ensures the state holds a majority stake in strategic salars to optimize their output and safeguard the environment.
Private entities are encouraged to join as partners or lead their projects.
Chile’s New Global Lithium Initiative
Economy Minister Nicolás Grau noted the strong global interest, with InvestChile engaging 97 companies from 12 countries.
This partnership expects to launch three to five new lithium projects in two years, potentially doubling Chile’s lithium output in a decade.
Grau’s broader goal is to elevate the sector’s sophistication, enhancing economic growth and sparking new industries and jobs.
Supported by Cochilco’s forecast of a 15.5% annual increase in global lithium demand, Chile is positioning itself as a key player in the energy transition.
Currently, only SQM and Albemarle hold licenses for lithium extraction in Chile.
The new RFI process seeks to expand this list, enhancing Chile’s impact on global lithium production.