The government announced the deadlines for submitting proposals to develop one or more projects. The results of this process will be announced in July.
The Chilean Government described how investment companies can participate in its National Lithium Strategy. It clarified that an open, public and transparent procedure will be used to agree special lithium contracts for lithium exploration and extraction projects.
Starting in April, domestic and foreign investors will be invited to express their interest in developing one or more projects to explore or extract lithium deposits in Chile, with a 60 day deadline. The authorities report that the results of this process will be announced in July.
Mario Marcel, the Finance Minister, explained the details and scope of public and private participation in lithium mining. He mentioned that this policy has room for everyone. He said, «The private sector can propose a minority interest in the Atacama and Maricunga salt flats, and it can propose majority or minority interests in the Pedernales and Altoandina salt flats. It can propose leadership and may associate with the public sector for any of the 26 salt flats within this invitation to express an interest, but a State interest will not be a requirement.»
The 26 salt flats in this invitation represent 18% of the area covered by Chile's salt flats, as 49% will be led by the State and 33% will be analyzed to create a network of protected salt flats that will include part of the Salar de Atacama. A Ministerial Committee meeting prior to the announcement discussed protecting an additional 85,000 hectares in the Salar de Atacama alone.
Chile has one of the largest lithium reserves worldwide, which represents between 36% and 40% of estimated global reserves. These reserves are found in its salt flats as brine, along with other valuable minerals such as potassium, sodium, magnesium, boron, sulfates and chlorides.
The Salar de Atacama holds the largest lithium reserve in Chile and represents over 90% of Chile’s reserves. It hosts the best extraction conditions in the world, due its high lithium concentrations, its low lithium/magnesium ratio, its abundant solar radiation produces high evaporation rates and its low rainfall. As a result, the Salar de Atacama is a low-cost extraction site that is very globally competitive.