Chile’s central bank said it was speaking to its U.S. and Chinese counterparts to increase flexibility in foreign exchange operations as COVID-19 ravages the nation’s once-stable economy. The bank said it had asked the New York Federal Reserve to register for overnight repo operations to facilitate credit swaps, which was announced in March. The bank said it was also speaking to China’s central bank to expand an existing currency swap agreement worth 22 billion yuan ($3 billion).
The Board of the Central Bank of Chile reports that it has decided to start a process of gradually reducing its selling position in the NDF market, starting next week. The current exchange intervention program, which began in November 2019, in the midst of the effects of the social crisis, aimed to reduce the excessive degree of exchange rate volatility, which made the decision of costs difficult.
Spanish renewable energy group Acciona SA is developing a 43.2-MW wind farm project in the Chilean region of La Araucania. The El Alba wind farm will consist of nine 4.8-MW turbines built in the commune of Renaico, according to the environmental impact statement (EIS) submitted to the Chilean authorities. If the EIS receives the green light, the company’s local unit, Acciona Energia Chile SpA, will start construction work in June 2021.
Chile’s Sociedad Química y Minera (SQM) and Canada’s Teck Resources have walked away from Revelo Resources’ copper projects in northern Chile, prompting the company to focus on its gold projects instead. SQM, the world’s second-largest lithium miner, terminated an exploration option agreement signed in April 2019. The deal could have seen SQM acquire up to 80% of the Calvario and Mirador copper projects.
Lithium Chile Inc. is pleased to announce it has closed on $755,000 of its previously announced $1,500,000 private placement of units (the Offering). The Offering is fully subscribed and closing of the second tranche is anticipated in the next 10 days. Pursuant to the first tranche of the Offering, Lithium Chile paid cash commissions to qualified non-related parties of $41,800 and issued 418,000 broker warrants.