Santiago, Chile, December 29, 2025 – Today, the first board meeting of Nova Andino Litio SpA, the joint venture between Codelco and SQM that will develop lithium production in the Atacama Salt Flat, was held. The board of directors of the new company is composed of Máximo Pacheco M., Josefina Montenegro A., and Alfredo Moreno Ch. representing Codelco, and Ricardo Ramos R., Hernán Uribe G., and Manuel Ovalle E. representing SQM. At the meeting, Máximo Pacheco was elected chairman, and Ricardo Ramos was elected vice chairman. Carlos Díaz, the current general manager of SQM Litio, was appointed general manager of NovaAndino Litio, and Eduardo Foix was appointed finance manager.

The establishment of the joint venture culminates a process that began in May 2023, when negotiations between the two companies formally commenced within the framework of the National Lithium Strategy, which mandated the direct participation of the State in lithium production operations in the Atacama Salt Flat. These discussions resulted in a Memorandum of Understanding announced in December of that year. Subsequently, intensive technical, legal, and regulatory work commenced, including the active participation of the Indigenous communities inhabiting the territory. This process was consolidated with the signing of the Partnership Agreement on May 31, 2024, which established a clear roadmap with demanding preconditions aimed at ensuring legal certainty, obtaining regulatory and sustainability approvals, and creating value for the State of Chile.

The agreement —whose background and main documents have been permanently available to the public on the website www.acuerdocodelcosqm.cl— was subject to an exhaustive and unprecedented review process, both in Chile and in eight other countries, involving more than 20 public and regulatory authorities and bodies.

At the national level, various aspects of the transaction were reviewed by the National Economic Prosecutor's Office (FNE), the Financial Market Commission (CMF), the Chilean Nuclear Energy Commission (CChEN), and the Comptroller General of the Republic. This was complemented by extensive judicial scrutiny, with diverse actions including writs of protection, economic protection appeals, claims of illegality, and lawsuits seeking annulment. All the actions and appeals filed that have concluded were rejected by the Courts of Appeals or the Supreme Court. There was also extensive analysis in the legislative arena, after the Chamber of Deputies and the Senate were informed of the details of the agreement; in addition, a Special Investigative Commission was formed, whose report raised no objections to its legality.

Internationally, the partnership was reviewed and approved by competition and foreign investment authorities in eight countries in addition to Chile, with favorable rulings from the ten regulatory bodies that analyzed the transaction, mostly without conditions, confirming that the agreement complies with the applicable regulations in the jurisdictions where the joint venture and its subsidiaries operate and will operate. Simultaneously, an Indigenous consultation led by Corfo was conducted, the favorable outcome of which served as the basis for agreements with the communities.

“This project followed a demanding path, subject to all the requirements that Chilean institutions and international regulatory frameworks provide for initiatives of this magnitude. Having successfully completed this process allows us to affirm that this company is born with solid institutional backing, full legitimacy, and a clear vision for the future,” stated Máximo Pacheco, Chairman of the Board of Codelco and NovaAndino Litio.

“Today we are formalizing a long-term decision, designed for Chile and for future generations. The new company is born with the mission of transforming a strategic resource belonging to all Chileans, such as lithium, into opportunities and development for the country and a world that needs it for its energy and digital transition. We can assure you that NovaAndino Litio will act with the utmost environmental responsibility, respect for the land and the communities that inhabit it, and a commitment to the sustainable development of our country and the planet,” the executive added.

For his part, Ricardo Ramos, general manager of SQM and vice president of NovaAndino Lithium, stated that “this partnership brings together knowledge and operational experience, top-level technical and professional teams, scale and commercial networks in several countries, presence in the territory and commitment to sustainability, as well as a shared long-term vision, which will allow us to contribute from Chile to the global energy transition.”

Pacheco also highlighted the Corporation's leading role in this milestone. “As we have done on other occasions throughout our history, the men and women who make up Codelco are honored to be a vehicle for the State to play a strategic role in an industry that is key to the well-being of Chile and the world. For me, it is an honor to have been elected Chairman of the Board of Nova Andino Litio because of the importance of this company for Chile and because it marks Codelco's entry into the lithium business. From today, Codelco is a company that produces copper and lithium, and with this, we are positioning Chile as a key player in the energy transition and the decarbonization of the economy,” he stated.

Benefits of the partnership for Chile, the communities and sustainable development

The Partnership Agreement between Codelco and SQM was designed to maximize the public value of lithium, strengthen the role of the State, and raise industry standards. Economically, the model stipulates that the Chilean State will capture a majority share of the profits, with an estimated 70% of the operating margin associated with new production between 2025 and 2030. From 2031 onward, this return is projected to reach up to 85% through payments to Corfo, taxes to the Treasury, and profits for Codelco.

From an environmental perspective, the joint venture will drive a structural change in how lithium is produced in the Atacama Salt Flat. The plan includes the incorporation of new technologies and process improvements aimed at increasing efficiency, reducing net brine extraction, and moving toward a water balance. This approach seeks to lessen the pressure on the salt flat's ecosystems and address long-term environmental challenges.

In territorial and social matters, the agreement incorporates commitments to permanent engagement with surrounding communities, primarily with indigenous peoples, as well as monitoring mechanisms and contractual requirements that reinforce respect for the territory and the creation of shared value.

With the formation of the joint venture and the start of its corporate governance, Codelco and SQM are moving into the implementation phase, aimed at fulfilling the economic, environmental and social commitments that underpin the agreement and consolidating Chile as a reliable supplier of lithium, key to the energy transition and sustainable development globally.

Background of NovaAndino Lithium Board Members

Máximo Pacheco M. (president)

He is a business engineer from the University of Chile. He was the first executive vice president of Operations at Codelco after the return to democracy, between 1990 and 1994; Minister of Energy between 2014 and 2016; and a member of the board of directors of Televisión Nacional de Chile (TVN) between 2018 and 2019.

In the private sector, he was a director of various private companies in Chile, Europe, Russia, and New Zealand, and a member of several international industrial associations.

He was appointed by President Gabriel Boric as chairman of the board of Codelco, a position he assumed on March 30, 2022 and which ends in May 2026.

Ricardo Ramos R. (vice president)

He is an industrial civil engineer from the Pontifical Catholic University of Chile and has over 30 years of experience with the company, where he has held various senior management positions, primarily in the financial, strategic, and corporate services areas, including Chief Financial Officer (CFO) and Vice President of Corporate Services. Since January 2019, he has served as CEO of Sociedad Química y Minera de Chile (SQM).

Josefina Montenegro A. (Codelco director)

She is a lawyer from the Catholic University of Chile, with a Master's degree in Law and a certificate in Business from New York University.

She has had a distinguished professional career in both the public and private sectors. Currently, she serves on several boards of directors, including that of Codelco. She is also an advisor to the Capital Markets Advisory Council of the Ministry of Finance and to the Strategic Development Council of the Law School at the Catholic University.

Alfredo Moreno Ch. (Codelco director)

He is a civil, industrial, and commercial engineer from the Pontifical Catholic University of Chile and holds an MBA from the University of Chicago. He served as Minister of Foreign Affairs from 2010 to 2014, Minister of Social Development from 2018 to 2019, and Minister of Public Works from 2019 to 2022.

In the private sector, he served as president of Icare and Teletón. He joined the board of directors of Codelco in May 2025, filling one of the positions in the Senior Management System.

Manuel Ovalle E. (SQM director)

He is a civil engineer from the Pontifical Catholic University of Chile and has served as an independent director of Mallplaza since 2025. He has extensive experience as a business executive, with leadership positions in multinational and matrix organizations, particularly in the sports and athletic apparel industry in Latin America. He also holds positions as a director of Customercoops, a director of BISA SA in Argentina, a director of the Fair Play Group in Bolivia, and a director of Sallustro y Cia in Paraguay, contributing his expertise in management, regional expansion, and corporate governance across various Latin American markets.

Hernán Uribe G. (director SQM)

He holds a degree in Industrial Civil Engineering from the Pontifical Catholic University of Chile and an MBA from the University of California, Los Angeles (UCLA). He has a solid track record in the financial, corporate, and retail sectors. From 2004 to 2010, he served as Chief Financial Officer (CFO) of Ripley Corp. Previously, he was CFO of Ultramar (2001–2004), General Manager of Dresdner Kleinwort Benson (1996–2001), CFO of Cristalerías Chile (1992–1996), and Operations Manager of Adidas Chile (1989–1990). He is Chairman of the Board of Ripley Corp and has been a member of its Board since 2010. He is also a director of Banco Ripley Chile and Banco Ripley Perú, as well as Mall Aventura and Inmobiliaria Imagina.

NovaAndino Lithium