Chile’s financial market regulator has approved the lithium partnership between state-owned miner Codelco and private lithium producer SQM, just hours after announcing an audit related to the transaction. The swift approval marks a significant step forward for one of Chile’s most important strategic resource agreements.
The deal is central to Chile’s plan to increase state participation in its lithium sector, a key component of the country’s critical minerals strategy amid rising global demand for electric vehicle batteries and energy storage technologies. Under the agreement, Codelco is set to play a leading role in lithium operations alongside SQM, leveraging its state backing and long-term resource access.
The regulator’s decision, which came shortly after it revealed plans to conduct an audit linked to the transaction, drew attention due to the close timing of the two developments. Authorities clarified that the approval process and the audit serve different purposes, with the latter focused on regulatory oversight and transparency rather than blocking the deal.
Market observers see the approval as providing greater certainty to investors and reinforcing Chile’s position as a stable and reliable lithium supplier, even as the government seeks a more active role in managing its natural resources.