Chile Expands Lithium Exploration with Six New Priority Sites

Chile Lithium

Chile has designated six additional sites for lithium exploration, expanding its priority areas to 12 as the country looks to capitalize on its position as a global lithium powerhouse.

New Lithium Exploration Areas Announced

On December 5, Chile’s mining ministry revealed six new sites for lithium exploration in the Tarapacá and Antofagasta regions. These areas include:

• Hilaricos and Quillagua Norte in the Tarapacá region.
• Quillagua Este, Quillagua Sur, Maria Elena Este, and Cerro Pabellon in the Antofagasta region.

Unlike traditional lithium production from brine in salt flats, these new sites present opportunities for polymetallic mining and lithium extraction from clays or geothermal sources.

Exploration and Tendering Process

Chile plans to issue special lithium operating contracts (CEOLs) for each of the 12 priority sites. The tendering process for the first five areas will begin in early 2025, with interested companies required to:

• Hold at least 80% of the mining concessions for a given deposit.
• Submit background information by the end of January 2025 for a simplified process.

For Cerro Pabellon, where geothermal energy companies Chilean Enap and Italian Enel operate, a separate tendering process will be announced.

Indigenous Consultation and Sustainability

The Chilean government emphasized that indigenous consultations will be conducted before tendering any sites, ensuring compliance with sustainability and community engagement standards. This approach aligns with Chile’s broader efforts to develop its critical minerals sector responsibly.

Chile's Global Lithium Standing

Chile is a key player in the global lithium market, holding 36-40% of global reserves as part of the "lithium triangle" with Bolivia and Argentina. The country is the second-largest producer of lithium globally, and these new initiatives aim to further cement its leadership in the market amid soaring global demand driven by electric vehicles and renewable energy.