Alejandro Garcia Alvarez, CEO IXE. (Foto: IXE)
Zurich – On December 19th 2014, IXE Group announced in La Paz Bolivia, that its subsidiaries IXE Ventures AG (Zurich) and RENABO Extraccion y Explotacion de Minerales SA (Bolivia) have completed a merge with the company QUIMBABOL SAM (Quimica Basica Boliviana Sociedad Mixta) . This authorized merge, results in an exclusive and solid framework for the exploration, exploitation, extraction, industrialization and commercialization of all mineral natural resources (ie: potassium, boron, magnesium, chloride, sodium and Lithium) in the Salar de Uyuni and other Salt Lakes in Bolivia.
Extraction of “white gold” set on sustainable ground
Under Supreme Decree, QUIMBABOL has been appointed as the executing entity for the activities of the Industrial Complex established in the Bolivian region for the utilization of the evaporate resources and all minerals, and specifically lithium. The new Industrial Consortium will be composed of strategic shareholders to ensure the proper development, of which will include: (i) COFADENA (National Development Company), (ii) the GOBERNACION de Potosi, (iii) COSSMIL (Social Pension Fund), (iv) CRECIS (Mining Cooperatives) and (v) RENABO (Recursos Naturales Bolivianos) who will lead the industrial complex and holds 48% stake in QUIMBABOL.
Close cooperation for long-term securitization of natural ressources
Alejandro Garcia Alvarez, CEO of IXE Group stated: «In the last decade we have witnessed a great interest from private corporations, government backed entities and institutional investors to secure access to natural resources, in essence, the production of energy. In this context, the merge with QUIMBABOL is a historical achievement for our community, our industry and stakeholders, who interact and participate closely to ensure that while the various laws and legislations are respected, corporate governance is guaranteed to maintain the framework that will preserve the access to the natural resources and flow of the domestic and international investment, and as well as the know-how. All this, will ultimately allow us to reach feasible industrial levels of productivity of Lithium Carbonate, potassium nitrate and many other important minerals that are consumed by the wide clientele active in the energy, agriculture, pharmaceutical and chemical sectors, amongst other sectors.»
The globally identified reserves of lithium in 2008 were estimated by the US Geological Survey at 13 million tons. Half of these reserves are located in Bolivia, where just, the Salar de Uyuni reserves contain in excess of 6 million tons. Moreover, besides lithium, the exploitation of potassium, borax, magnesium, sodium, cesium, rubidium among other minerals, can be extracted in significant quantities from the Bolivian salt lakes, giving sustainability to the operational Industrial complex with multiple industries from various sectors.
Investments in upgrading of existing infrastructure
Antonio Góngora, a representative of RENABO, stated: «IXE GROUP has secured its participation in QUIMBABOL through RENABO. The investment in the first phase of this project is estimated at around 1 billion dollars. Our first scope will be to reactivate the Salt Processing Plant and facilities. This industrialization project, has an important economic scope, in addition, it has social reach of great importance; this beginning ensures economic growth in the region, putting the Plurinational State of Bolivia in the international context «. The activities of the new merged company QUIMBABOL S.A.M. will reach horizons much further than just economic benefits; it will provide a large package of social benefits for the communities and provinces, as well as mining cooperatives, which are the base for the development of various other industries.
Mr Garcia further added: «We count with excellent members of the Board of Directors and Management team, as well as an outstanding technical and logistic teams, with experience of over 50 years in the industry. According to global consulting firm Frost & Sullivan: «the globe’s market of lithium-ion batteries in 2012 reached USD 11.7 billion dollars. This demand is expected to be double-fold by 2016″. In a market of more than 22 Billion per year; therefore, we consider that it is the right time for our consortium to emerge. We are currently in talks with various leading groups in this sector, from different regions of the globe. We are confident that joint operations will be reached swiftly». (IXE/mc/hfu)