SANTIAGO, March 26 (Reuters) - Chile's government on
Tuesday opened up more than two dozen lithium salt flats to
private investment, while reserving the prolific Atacama and
Maricunga deposits for state majority control in lithium
extraction.
The long-anticipated announcement sheds light on how
President Gabriel Boric's government plans to carry out a policy
announced last year to boost state control over the South
American country's lithium industry, the world's second-largest
after Australia.
The opening to fresh projects could more than double Chile's
production of lithium, a key material for electric vehicle
batteries, in a decade, said Finance Minister Mario Marcel.
"What we announced a year ago is starting to become a
reality," he told a press conference.
Officials said they would open a tender process in 26 salt
flats in April, set to conclude in July, although not all would
necessarily attract interest, officials said.
In another five salt flats, state-run companies are already
beginning projects and seeking partners.
Only two companies currently extract lithium in Chile -
Chile's SQM and U.S.-based Albemarle - both in
the Atacama salt flat.
The Atacama salt flat has the world's highest concentration
of lithium in brine, and the Maricunga salt flat also has some
of the highest levels in Chile.
The government appointed state-run copper giant Codelco to
negotiate joint ventures with each company. So far, the miner
has inked a preliminary deal with SQM set to run through 2060.
Codelco this month also completed the $244 million
acquisition of Australia's Lithium Power International,
which owns the Salar Blanco project alongside Codelco's own
holdings in Maricunga.
Officials on Tuesday said the government is also interested
in participating in lithium projects outside Atacama and
Maricunga, without a majority stake.
Some projects led by private companies will require approval
by local indigenous communities, depending on the potential
impact in each region, officials said.
Mining Minister Aurora Williams noted that officials are
still evaluating the creation of a national lithium company,
part of the plan outlined last year, without a deadline for next
steps.
Environmental protection will be granted to 30% of the salt
flats, in areas that have yet to be determined, officials said.