Chile to Double Lithium Production in 10 Years

Chile has a strong focus on lithium mining, and according to projects launched by Gabriel Boric’s government, the goal is to double mining capacity within 10 years. The Public Administration, realizing the importance of this metal, has defined the National Strategy for Lithium, which aims to “increase the country’s prosperity, developing a key industry as a fundamental step to link Chile’s economic development with the transition to a global green economy. Strong global demand, high prices, and large lithium reserves in our country allow us to be optimistic and at the same time encourage us to act with urgency,” the Chilean government’s website says, explaining how the lithium industry will be led by the state, as it needs to “combine capital, technology, sustainability, and added value in harmony with communities.”

Private participation is clearly envisioned, also because Chile wants to create an entire supply chain, from exploration to high value-added production and refining. The latest concrete steps were the announcement of opening the tenders in April 2024 for the concession of 26 new salt mines in the north of the country to be awarded to private parties, but the largest lithium deposits in the country, Atacama and Maricumba, will be declared of strategic interest and will be exploited by CODELCO, a state-owned mining company that is mainly involved in copper mining.

According to development plans explained by Finance Minister Mario Marcel, Chile’s lithium production could increase 70% by 2030 and double in the next 10 years. Chile is now already the second largest lithium producer in the world after Australia. It is also the country with the largest reserves (central bank data provided by Italy’s ANSA news agency) at 41%, followed by Australia (25.4%), Argentina (9.8%), and China (6.7%).