Santiago—Sociedad Química y Minera de Chile SA (SQM) confirmed April 21 that in minutes of a December board meeting it was indicated that the company was evaluating a lithium production project in Argentina and studying potassium production in the Republic of the Congo. SQM said it is continuously analyzing different alternatives related to the production and sales of its main products, including potential projects in different markets and regions. SQM had no further information to reveal on the Congo project last week. According to Minería Chilena, citing internal company documents, SQM is progressing with negotiations for a potash project in the Republic of Congo. The company is reported to be working with consulting firm McKinsey on the development of its strategic plan, which, according to Minería Chilena sources, includes “making acquisitions or entering into joint ventures in jurisdictions where the company does not currently operate and are related to current or new business areas in which the company believes it can have sustainable and competitive advantages.” In March SQM did sign onto a 50:50 joint venture with Lithium Americas Corp. to develop the Caucharí-Olaroz lithium project in Argentina. There are currently four potash projects under development in the Republic of Congo: Elemental Minerals’ Sintoukola project; Africa Potash’s Lac Dinga project; MagIndustries’ Mengo project; and Holle Potash Corp.’s Tchitondi/Manenga projects. The BFS for Kola was started in August 2015, while African Potash’s Lac Dingo project is at an early stage of development, with the company looking for financing. MagIndustries’ Mengo project has been stalled following a bribery probe in mid-2015. The company had received prior funding from China. The Holle Potash Corp. project is also thought to have stalled after Boost Capital terminated its transaction with the company in February 2014.
Transparency Across the Fertilizer Value-Chain