Chile and Sociedad Quimica y Minera de Chile (SQM) – the world’s largest producer of lithium – is currently in arbitration proceedings, and the outcome could have a serious implications on lithium supplies and prices.
The Chilean investment agency Corfo is trying to revoke the company’s land concessions in the Salar de Atacama— a Chilean salt flat rich in lithium— amid accusations of being ‘unsuitable’, reports the Wall Street Daily.
Not great news for Elon Musk et al as electric vehicle production continues to rise, never mind all the handheld applications, as forecasters predict lithium demand is wet to double by 2025.
Corfo claims that Sociedad Quimica y Minera de Chile underpaid contracts and sold its product at below-market prices.
SQM denies all allegations.