SQM Lithium Value Proposition

The lithium that SQM produces is different and unique in several aspects, which undoubtedly make it stand out from the rest of the lithiums produced in the world.

WHERE is very relevant. SQM's Lithium is produced in Chile. 

Where SQM's lithium is produced is an element that adds value to the product due to the stability of the country, its clear rules and level of development. Chile has been a member of the OECD since 1993, and highlighted by The Economist as one of the 21 most complete democracies in the world, according to its Democracy Index. To the above, it is added that Chile is the world leader in mining, considered the best country to invest in unconventional energy according to Bloomberg and that it has the best level of competitiveness compared to the rest of Latin America, as well as the highest human development index of Latin America, and a GDPR of the highest in the region.

Chile's country risk is very low for investors, as is its level of transparency, which places it in the first third worldwide.

These are some of the most relevant attributes that Chile has as a country positioning, and where it stands out in a relevant way over other lithium-producing countries.

HOW Lithium is produced is a crucial factor in terms of sustainability.

One of the relevant particularities of how SQM lithium is produced are the favorable conditions of the Salar de Atacama place, and that is where the extraction of brine is carried out, which is concentrated in evaporation ponds, taking advantage of the high levels of solar radiation, this allows SQM's production process to involve 97,4% solar energy, being a very efficient process at the energy level.

Likewise, the types of lithium production is an element that adds value to the product. Although there are several ways to extract lithium, it is possible to identify two ways that are the most relevant: through brine or through rock (spodumene). SQM's lithium is extracted from the first one, since the process via rock is considerably more intensive in consumption of water, energy and CO2 emissions, at this point if we analyze the SQM Lithium LCA, we can understand that its water, carbon and energy footprint is one of the lowest on the planet, and not only by obtaining it via brine, but also by the different processes of greater efficiency applied by SQM.

WHO produces the Lithium is another very relevant factor.

Another important differentiator of lithium is who produces it. With more than 5 decades of experience in the chemical industry, SQM Lithium has commercial offices and supply points practically all over the world, and has a robust production structure that allows it to deliver a continuous volume and supply.

SQM has designed an ambitious expansion plan to 2024 for US $ 1.300 million, which will allow it to supply the global demand generated by electromobility in a constant and safe way. And additionally, to diversify the supply points in the world, it is evaluating the Mt Holland project located in Australia

WHERE, HOW and WHO ARE THE CORNERSTONE IN THE DEFINITION OF A WORLD-CLASS LITHIUM, LIKE THE ONE PRODUCED BY SQM LITHIUM.

This way of operating allows SQM to be part of the Global Battery Alliance (part of the World Economic Forum) and the UN Global Compact, whose objective is to achieve the fulfillment of 17 essential objectives for human life.

https://www.un.org/sustainabledevelopment/es/sustainable-development-goals/

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