Sociedad Química y Minera de Chile (SQM) is a global mining company specializing in lithium, specialty plant nutrition, iodine, potassium, and industrial chemicals. Founded over 55 years ago, SQM has established itself as a significant producer of lithium, which is essential for electric vehicle batteries and energy storage systems. The company operates extensive mining operations in Chile’s Atacama Desert, home to one of the world’s largest lithium deposits. With a strong focus on sustainable practices, SQM aims to produce carbon-neutral lithium by 2030 while maintaining its position as a leading supplier to the growing electric vehicle industry.
Battery Technology
SQM’s contribution to battery technology centers on its lithium production and processing capabilities. The company produces two main forms of battery-grade lithium: lithium carbonate and lithium hydroxide, both crucial components in lithium-ion battery cathodes. These materials are manufactured through a specialized extraction process from brine deposits, followed by purification to meet strict quality requirements for battery applications.
The company has developed advanced Direct Lithium Extraction (DLE) technologies to improve efficiency and reduce environmental impact. This method allows for faster extraction times compared to traditional evaporation processes while minimizing water usage. SQM’s lithium products achieve high purity levels exceeding 99.5%, meeting the demanding specifications of electric vehicle manufacturers and battery producers.
Through its venture arm, SQM Lithium Ventures, the company invests in battery recycling technologies and sustainable production methods. This includes partnerships with companies developing innovative cathode materials and battery recycling processes, supporting a circular economy approach to battery manufacturing.
Recent Projects
In early 2024, SQM announced plans to increase its lithium production capacity to 230,000 metric tons by 2025. The company has begun commissioning a new 50,000-metric-ton-per-year refinery at its Mount Holland joint venture in Australia, with initial production scheduled for mid-2025. Additionally, SQM has partnered with LiTHOS Group to validate the AcQUATM technology for high-purity lithium recovery, demonstrating its commitment to sustainable production methods.
Investors
SQM’s ownership structure includes several major stakeholders. The Pampa Group holds 25.76% of shares, while Tianqi Lithium controls 22.16% through Inversiones TLC SPA. The Bank of New York Mellon manages 22.60% through ADRs, and Chilean Pension Funds own 10.58%. Banks for foreign accounts hold 11.51%, with the remaining shares distributed among stock brokers and other investors.
Business Details
Location: Santiago, Chile
Website: https://sqm.com
LinkedIn: https://www.linkedin.com/company/16894
