Ann: 90 PER CENT INCREASE IN RESOURCES AT MARICUNGA, page-185

The requirements and benefits of the call that seeks to promote lithium production in Chile and attract new operatorsThe process seeks to award special operating contracts to explore and produce 400,000 tons of marketable metallic lithium, divided into five quotas of 80,000 tons each.Wednesday, the Ministry of Mining announced a national and international public call for the signing of special operating contracts that develop the exploration and production of lithium deposits in the country.In Chile in 1979, lithium was declared of national interest and became non-concessional. Since then, only the State of Chile can manage lithium production, for which there are four mechanisms: doing it on its own; through a Special Lithium Operation Contract (CEOL); through its state companies, or through Administrative Concessions.This tender maintains the status of lithium as a strategic mineral.The national and international call announced by the Government seeks, through a public, competitive and transparent process, to tender and award Special Operation Contracts (CEOL) by quotas to produce a total of 400,000 tons of marketable metallic lithium, divided into five quotas of 80,000 tons each, without a specific geographic location.The awards will be for a period of 7 years - extendable for another two - to carry out the geological exploration, studies and development of the project, to which another 20 years of production will be added. The fees will be associated with a marketing authorization from the Chilean Nuclear Energy Commission (CCCHEN).With this, the State seeks to facilitate the entry of national and / or foreign companies, promoting production and supporting the development of new technologies that enable the energy transition and the fight against global warming, generating benefits for the State. .Production increaseThis initiative complements the Special Operation Contract (CEOL) already granted to Codelco in the Salar de Maricunga, and the current production of private companies in the Salar de Atacama through the lease of concessions from Corfo.This initiative is aligned with the objectives set out in the National Mining Policy 2050, presented last August. Indeed, one of the goals of this document is to increase production to 450,000 tons of lithium carbonate per year by 2030.The granting of the CEOL is only a first step, since the companies will have to look for the place to develop their projects, define the technologies, comply with all the applicable regulatory and environmental requirements demanded by the environmental institutions, and generate the favorable environment through the relationship with the communities.The companies must make an economic offer to obtain the quota, in addition to paying a variable amount during the production phase.