Bolivian president sees US$4.4bn in potential lithium projects

Bolivia is on track to raise US$4.4bn in lithium investments as more countries get involved in the Andean country's mining industry, according to President Evo Morales.

The projects to be built by German and Chinese companies could total 14 lithium plants, 20 plants for raw materials and seven plants to produce by-products, Morales said, without providing details.

"Between Bolivia, China and Germany, US$4.4bn is guaranteed for the 14 plants," Morales told state television. "With just the 14 plants completed, we calculate income at US$5bn. Bolivia has a great future by taking advantage of its natural resources."

The government last year awarded contracts for potassium chloride and lithium carbonate plants at the Salar de Uyuni saltflats and signed a draft contract with Germany's ACI Systems for a lithium battery plant

The US$1.2bn Salar de Uyuni project, an area where 70% of the world's lithium reserves are thought to lie, is designed to produce 50,000t/y of lithium, in addition to potassium chloride and magnesium chloride.

The government last month also signed an MOU with China's Xinjiang Tbea Group to develop the Coipasa and Pastos Grandes lithium properties in Uyuni.

The projects are part of a government drive to invest US$2bn in the mining and metallurgical industries by 2020. Private investment has plummeted in Bolivia since Morales seized mining assets from companies including Glencore, South American Silver, Quiborax and Jindal Steel after first taking power in 2006.