Nationalization plan hammers lithium miners
Chile, with twice the known lithium reserves of any other country, will nationalize its lithium industry. Lithium is increasingly following the state-led historical arc of oil, which led to the formation of OPEC.
Steve Levine said Chile is following a well-trodden path: Lithium miners are dropping on news that Chile plans to nationalize its lithium sector.
Chile’s president said it would nationalize lithium industry, the world’s second largest producer of the metal essential in electric vehicle batteries, to boost its economy and protect its environment.
Lithium giant Sociedad Quimica y Minera de Chile (SQM) dropped 18% to $63.44 a share.
Albemarle slid 10% to $173.75. The lithium space had already been hit by falling lithium prices, which Benchmark Mineral Intelligence says is down by half since the start of the year.
