Question · Q3 2025
Mazahir Mammadli asked if the standalone profitability of the Kwinana conversion plant is expected to be positive in 2026, assuming current lithium hydroxide and spodumene prices. He also sought clarification on the Codelco deal, specifically whether the payment for the 33.5 kilotons attributable to Codelco is based on revenue, gross profit, or another metric.
Answer
Mark Fones, Vice President of Strategies and M&A Lithium, SQM, affirmed that SQM continues to see long-term profitability for Kwinana and the Mount Holland project as positive, reiterating commitment and plans for a final investment decision on the mine and concentrator expansion next year. Gerardo Andrés Illanes González, Vice President of Strategies and M&A Lithium and CFO, SQM, explained that the payment to Codelco is a dividend based on the profitability derived from a certain tonnage (33.5 kilotons) per year, with the exact calculation detailed in publicly available contracts.
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