Ulises Solís Llapa: “The nationalization of lithium in Chile is an opportunity for Peru”

Ulises Solís, general manager of Macusani Yellowcakeaffirmed that the nationalization of lithium in Chili It is a call for other producing countries in the region, such as Peru, to capture the trail of investments that it leaves behind. He further revealed that Falchani keeps in his bowels more than the 4.7 million tons that they had anticipated.

—How do you take Minem’s announcement to support lithium mining in Peru?

—I think it has been the product of the insistence we have had. This project is emblematic and we are all happy that the permits are coming out. We are about to receive the first of them, and more are coming.

—Have you seen your schedule of operations delayed after the social protests?

—Yes, the deadlines have been quite delayed. The protest has been against the government, not against the mining companies, but they did force us to stop. And that’s not all. We requested a first extension of the hydrogeological study and they gave it to us for December. It just coincides with the protests, and when we go to ask for another, the National Water Authority (ANA) tells us that it can only be done once. Does it seem normal for an authority to answer that? Puno is still in a state of emergency today.

—What are the new deadlines for the plant?

—Our plant will start up in 2027. By 2026, we must complete its construction, if the Environmental Impact Study (EIA) approves it. At this time, we are organizing a workshop for the Detailed Environmental Impact Study (EIAd), which aims to put resources into reserves. Once this is approved, in August or September [N. del A. la última previsión de enero estaba entre julio y agosto], we will start with the EIA. We know the reserves we have, and this study must be presented in August 2024 and evaluated for one year until August 2025. Once accepted, we go with the construction itself.

—Do you maintain your forecast of 4.7 million MT of lithium?

—I don’t want to get ahead of myself by giving a number, but it’s more. Our calculations show that it exceeds 4.7 million tons, and we are going to work with a quality of 3,000 parts per million (ppm). Chile has 1,000 or 900 ppm; Bolivia, 600ppm; Argentina, 800ppm. So, the value is higher, and we have the deposit in rock, not in salt flats.

—How do they take the announcement of nationalization in Chile?

—This announcement is a good opportunity for us, because investors are going to come to Peru quickly. Bolivia has never had more than a pilot plant, and in Chile SQM’s shares have plummeted with President Boric’s announcement. If we talk about Mexico, Bacanora is closed. We have a commitment: that the large number of workers be from Puno. All of our geologists are local, we don’t have people from Lima, Arequipa or Tacna, and the operators are from the communities.

—Minister Alex Contreras has a similar reading.

Yes, and we take it very well. It is the way to solve the lack of work. Now, MEF and Minem must promote this, the only lithium project in the portfolio. If both come together, it will be much easier to get investors for a battery industry, car assembly, etc.

—However, there is a social demand in Puno for Macusani not only to exploit lithium, but to industrialize it.

“We’re going to get to battery-grade lithium carbonate. Industrialization, no. I can’t commit myself, my goal is mining. If they want to make batteries, we think it’s great, but that depends on other types of permits. Produce is interested in that. And let’s not just talk about lithiumbut potassium for a fertilizer factory.

—But they are going for the uranium in another project in the region.

—The exploitation of uranium does not need regulations, much less that of lithium. What is missing is a regulation for its commercialization and transport. If I want to mine uranium, I can do it tomorrow. Today we have 124 million pounds of resources that would put us fifth in the world.

—I imagine that they will leverage one investment with another.

-Yeah. It is natural, with money we can do many things, and lithium will give it to us quickly. The energy of the future is nuclear, and all of Peru has to understand that. One gram of enriched uranium is equivalent to 30 tons of coal.