Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Nyse  >  Albemarle Corporation    ALB

ALBEMARLE CORPORATION

(ALB)
  Report  
Delayed Quote. Delayed Nyse - 06/17 04:01:51 pm
71.24 USD   +0.51%
06/13ALBEMARLE CORPORATION : Ex-dividend day for
FA
06/12Lithium industry at a crossroad
RE
06/11Albemarle declines to participate in LME lithium contract
RE
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsOfficial PublicationsSector newsMarketScreener StrategiesAnalyst Recommendations

Explainer - SQM and Chile reach lithium deal, but Atacama water woes continue

share with twitter share with LinkedIn share with facebook
share via e-mail
0
01/09/2019 | 09:15am EDT
FILE PHOTO: Managers meet on a hill at the SQM nitrates plant in Coya Sur next to Maria Elena town

SANTIAGO (Reuters) - Chile's environmental regulator this week approved a $25 million (£19.6 million) compliance plan by lithium miner SQM, ending a multi-year investigation by authorities that found the Chilean miner had overdrawn lithium-rich brine from the Atacama salt flat.

The case, now resolved, raised questions about how much brine and fresh water was left beneath the Atacama, and how long it would last.

Those concerns, and others, still linger. Here's why:

WHAT IS THE SALAR DE ATACAMA?

The Salar de Atacama is a high-altitude desert basin in northern Chile that, in 2017, supplied more than one-third of the world's lithium, a key ingredient in the batteries that power cell phones and electric vehicles.

Rain and snow melt have for millennia washed lithium and other metals downslope, percolating into a salty solution that gathers beneath the volcano-rimmed salt flat.

Miners pump that brine into shallow rectangular lagoons, where the sun's ultraviolet rays and the desert air evaporate the water, leaving behind the battery-grade lithium that has put Atacama at the heart of the electric vehicle revolution.

WHAT IS THE PROBLEM WITH WATER?

Soaring lithium demand has raised questions about whether the salt flat can support current and future levels of production.

The world's top lithium miners, SQM and Albemarle Co, share scarce water resources in the basin with BHP's Escondida copper mine, the world's largest, and Antofagasta smaller Zaldivar copper mine.

The government said last year that more of Atacama's water was being pumped by miners than was being replaced by rain and snowfall.

A spokesman for Chile's DGA water authority told Reuters that a benchmark assessment of the salt flat's brine and water supply, initially due by December 2018, had been delayed until the second half of 2019.

WHAT IS THE GOVERNMENT DOING?

Chile's water authority last year restricted new water rights in sectors of the salt flat that are currently overdrawn, citing excess pumping by the Zaldivar and Escondida copper mines.

Both miners have requested permits that would reduce the amount of water they draw from the flat, but regulators have put these reviews on hold while they assess the water supply, according to Chile Environmental Assessment Service (SEA) filings reviewed by Reuters.

The water authority has announced the creation of a drinking-water reserve for the Atacama's local communities. A spokesman said the project was underway but gave no timeline for completion.

WILL NEW CURBS IMPACT LITHIUM PRODUCTION?

Regulators have yet to significantly curtail water extraction by lithium miners. Both Albemarle and SQM say approved expansions will use no more water than already permitted.

SQM, however, agreed on Monday to reduce pumping of lithium-rich brine by about 10 percent through May 2020 to remedy several years of overpumping from the salt flat.

SQM told Reuters its production plans had already incorporated the commitments made to regulators, and that the reductions in brine extraction would not impact lithium output.

(Reporting by Dave Sherwood, additional reporting by Fabian Cambero; Editing by Ernest Scheyder and Bernadette Baum)

By Dave Sherwood

Stocks mentioned in the article
ChangeLast1st jan.
ALBEMARLE CORPORATION 0.51% 71.24 Delayed Quote.-7.56%
ANTOFAGASTA 0.12% 860 Delayed Quote.9.81%
BHP GROUP LTD -0.35% 40.16 End-of-day quote.17.32%
SOCIEDAD QUIMICA Y MINERA (A SHARE) End-of-day quote.
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on ALBEMARLE CORPORATION
06/13ALBEMARLE CORPORATION : Ex-dividend day for
FA
06/12Lithium industry at a crossroad
RE
06/11Albemarle declines to participate in LME lithium contract
RE
06/10Tianqi says happy 'for now' with stake in SQM - president
RE
06/09How much does lithium cost? The industry can't seem to agree
RE
05/30Chile, once the world's lithium leader, loses ground to rivals
RE
05/14U.S. Senate moves forward on plan to develop electric vehicle supply chain
RE
05/10ALBEMARLE CORP : Submission of Matters to a Vote of Security Holders (form 8-K)
AQ
05/08ALBEMARLE : 1Q Earnings Snapshot
AQ
05/08ALBEMARLE CORP : Results of Operations and Financial Condition, Financial Statem..
AQ
More news
Financials ($)
Sales 2019 3 673 M
EBIT 2019 863 M
Net income 2019 675 M
Debt 2019 1 999 M
Yield 2019 2,02%
P/E ratio 2019 11,08
P/E ratio 2020 10,29
EV / Sales 2019 2,54x
EV / Sales 2020 2,36x
Capitalization 7 319 M
Chart ALBEMARLE CORPORATION
Duration : Period :
Albemarle Corporation Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends ALBEMARLE CORPORATION
Short TermMid-TermLong Term
TrendsNeutralBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 23
Average target price 98,0 $
Spread / Average Target 42%
EPS Revisions
Managers
NameTitle
Luke C. Kissam Chairman, President & Chief Executive Officer
Scott A. Tozier Chief Financial Officer & Executive Vice President
Glen Merfeld Chief Technology Officer
Harriett Tee Taggart Independent Director
William H. Hernandez Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
ALBEMARLE CORPORATION-7.56%6 892
SAUDI BASIC INDUSTRIES CORPORATION SJSC--.--%89 445
AIR LIQUIDE9.13%54 549
SHIN-ETSU CHEMICAL CO LTD11.91%35 565
LYONDELLBASELL INDUSTRIES3.07%28 771
NAN YA PLASTICS CORP--.--%19 745