Australian authorities approve agreement, finalizing sale of LPI to Codelco

"With this acquisition, we are fulfilling the lithium strategy development plan, which will make us one of the leading suppliers of critical minerals globally," stated Máximo Pacheco, Chairman of Chile's state-owned company.

The Commonwealth Foreign Investment Review Board confirmed Codelco's acquisition of Lithium Power International Limited (LPI) on March 3, affirming compliance with the Foreign Acquisitions and Takeovers Act of 1975. 

Additionally, the Federal Court of Australia approved the proposed scheme today, March 4, wherein Codelco's subsidiary, Salar de Maricunga, will acquire 100% of LPI's shares. 

The Australian company will file documents with the Australian Securities and Investments Commission (ASIC) on March 5, after which LPI's shares will cease trading on the Australian Securities Exchange (ASX). LPI will be delisted from the ASX on March 15. 

These announcements successfully conclude the sale agreement revealed in mid-October between the Chilean state-owned company and LPI, owner of the lithium project in the Maricunga Salt Flat in the Atacama region, also known as the Blanco Project, adjacent to Codelco's mining properties in the salt flat. 

"With this acquisition, we are fulfilling the lithium strategy development plan that will make us one of the leading suppliers of critical minerals globally. Responsible production of copper and lithium, which the planet needs to enable the energy transition, will be our main contribution to the global fight against climate change," stated the chairman of the state-owned company, Máximo Pacheco.

As explained throughout this five-month process, the acquisition of LPI will enable the Blanco Project to be viable through synergies with Codelco's assets and permits in the Maricunga Salt Flat.

 This will help develop a lithium project with exceptional environmental sustainability credentials and community relations. The expectation is that it will create value for both Codelco and Chile, particularly for neighboring communities in the Atacama region.