REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 |
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
the form of American Depositary Shares each representing one Series B share |
U.S. GAAP ¨ | by the International Accounting Standards Board x | Other ¨ |
ii |
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Page |
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83
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108
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iii |
iv |
v |
* |
The definition of a Controller Group that has been provided is the one that applied to the Company. Chilean law provides for a broader definition of a “controller group”, as such term is defined in Title XV of Chilean Law No. 18,045. |
** |
The definitions we use for resources and reserves are as defined in subpart 1300 of Regulation SK. |
vi |
· |
trends affecting the prices and volumes of the products we sell and the effects on our results; |
· |
level of reserves, quality of the ore and brines, and production levels and yields; |
· |
our capital investment program and financing sources |
· |
our Sustainable Development Plan; |
· |
development of new products, anticipated cost synergies and product and service line growth; |
· |
our business outlook, future economic performance, anticipated profitability, revenues, expenses, or other financial items; |
· |
the future impact of competition; and |
· |
regulatory changes. |
· |
volatility of global prices for our products; |
· |
political, economic and demographic developments in certain emerging market countries, where we conduct a large portion of our business; |
· |
the impact of the global novel coronavirus (COVID-19) pandemic, including any new strain and any associated economic downturn on our future operating and financial performance; |
· |
changes in production capacities; |
· |
the nature and extent of future competition in our principal markets; |
· |
our ability to implement our capital expenditures program, including our ability to obtain financing when required; |
· |
changes in raw material and energy prices; |
· |
currency and interest rate fluctuations; |
· |
risks relating to the estimation of our reserves; |
· |
changes in quality standards or technology applications; |
· |
adverse legal, regulatory or labor disputes or proceedings; |
· |
changes in governmental regulations; |
· |
a potential change of control of our company; and |
· |
additional risk factors discussed below under Item 3. “Key Information—Risk Factors." |
vii |
· |
Our inability to extend or renew the mineral exploitation rights relating to the Salar de Atacama concession beyond their current expiration date in December 2030 could have a material adverse effect on our business, financial condition and results of operations. |
· |
Volatility of world lithium, fertilizer and other chemical prices and high raw materials and energy prices that increase cost of sales, production costs and potentially result in energy unavailability, as well as changes in production capacities, including new production of iodine, potassium nitrate or lithium from current or new competitors in the markets in which we operate or variations of our inventory levels for economic or operational reasons could affect our prices, business, financial condition and results of operations. |
· |
Our sales could be impacted by global shipping constraints. |
· |
Our sales to emerging markets and expansion strategy expose us to risks related to economic conditions and trends in those countries as well as subject us to differing regulatory, tax and other regimes. |
· |
We have a capital expenditure program that is subject to significant risks and uncertainties. |
· |
Our reserve estimates are internally prepared and not subject to review by external geologists or an external auditing firm and could be subject to significant changes, which may have a material adverse effect on our business, financial condition and results of operations. |
· |
Chemical and physical properties of our products could adversely affect their commercialization. |
· |
Changes in technology or other developments could result in preferences for substitute products. |
· |
We are exposed to labor strikes and labor liabilities that could impact our production levels and costs. |
· |
We are and might be subject to new and upcoming labor laws and regulations in Chile and may be exposed to liabilities and potential costs for non-compliance. |
· |
Lawsuits and arbitrations could adversely impact us. |
· |
Environmental laws and regulations could expose us to higher costs, liabilities, claims and failure to meet current and future production targets and changes in regulations regarding, or any revocation or suspension of mining, port or other concessions or changes in water rights laws and other regulations could affect our business, financial condition and results of operations. |
· |
A significant percentage of our shares are held by two principal shareholder groups who may have interests that are different from that of other shareholders and of each other. Any change in such principal shareholder groups may result in a change of control of the Company or of its Board of Directors or its management, which may have a material adverse effect on our business, financial condition and results of operations. |
· |
Tianqi is a significant shareholder and a competitor of the Company, which could result in risks to free competition. |
· |
Our information technology systems may be vulnerable to disruption which could place our systems at risk from data loss, operational failure, or compromise of confidential information. |
· |
Recent international trade tensions could have a negative effect on our financial performance. |
· |
Outbreaks of communicable infections or diseases, or other public health pandemics, such as the outbreak of the novel coronavirus (COVID-19) currently being experienced around the world, have impacted and may further impact the markets in which we, our customers and our suppliers operate or market and sell products and could have a material adverse effect on our operations business, financial condition and results of operations. |
· |
If our stakeholders and other constituencies believe we fail to appropriately address sustainability and other environmental, social and governance (ESG) concerns it may adversely affect our business. |
· |
Climate change can create physical risks and other risks that could adversely affect our business and operations and adverse weather conditions or significant changes in weather patterns could have a material adverse impact on our results of operations. |
viii |
· |
Currency fluctuations and risks associated with the discontinuation, reform or replacement of benchmark indices may have a negative effect on our financial performance. |
· |
We may be subject to risks associated with the discontinuation, reform or replacement of benchmark indices. |
· |
As we are a company based in Chile, we are exposed to political risks and civil unrest in Chile. |
· |
Changes to the Chilean Constitution could impact a wide range of rights, including mining rights, water rights and property rights generally . |
· |
Changes in regulations regarding, or any revocation or suspension of mining, port or other concessions could affect our business, financial condition and results of operations. |
· |
The Chilean government could separately levy additional taxes on mining companies operating in Chile or declare lithium mining to be in the national interest, which could enable the expropriation of our lithium assets. |
· |
New legislation affecting mining licenses could materially adversely affect our mining licenses and mining concessions . |
· |
Legislation and growing case law regarding indigenous and tribal peoples might affect our development plans. |
· |
Chile has different corporate disclosure and accounting standards than those you may be familiar with in the United States. |
· |
Chile is located in a seismically active region. |
· |
The price of our ADSs and the U.S. dollar value of any dividends will be affected by fluctuations in the U.S. dollar/Chilean peso exchange rate. |
· |
Developments in other emerging markets could materially affect the value of our ADSs and our shares. |
· |
The volatility and low liquidity of the Chilean securities markets could affect the ability of our shareholders to sell our ADSs. |
· |
Our share or ADS price may react negatively to future acquisitions, capital increases and investments. |
· |
ADS holders may be unable to enforce rights under U.S. securities laws. |
· |
As preemptive rights may be unavailable for our ADS holders, they have the risk of their holdings being diluted if we issue new stock. |
· |
If we were classified as a Passive Foreign Investment Company by the U.S. Internal Revenue Service, there could be adverse consequences for U.S. investors. |
· |
Changes in Chilean tax regulations could have adverse tax consequences for U.S. investors. |
|
|
· |
We are subject to risks related to the ongoing military conflict between Ukraine and Russia. |
ix |
IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS |
OFFER STATISTICS AND EXPECTED TIMETABLE |
KEY INFORMATION |
3.A. |
[Reserved] |
3.B. |
Capitalization and Indebtedness |
3.C. |
Reasons for the Offer and Use of Proceeds |
3.D. |
Risk Factors |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
9 |
10 |
11 |
12 |
13 |
14 |
15 |
16 |
17 |
18 |
19 |
20 |
21 |
22 |
(in millions of US$) |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Capital expenditures |
|
|
471.5 |
|
|
|
322.2 |
|
|
|
321.3 |
|
· |
Capacity expansion projects related to the completion of our increase of our lithium carbonate production in Chile from 70,000 metric tons per year to 120,000 metric tons per year and investment in our lithium carbonate production from 120,000 to 180,000 metric tons per year; |
· |
Completion of capacity expansion of lithium hydroxide production in Chile from 13,500 metric tons per year to 21,500 metric tons per year and commencement of a further capacity expansion of lithium hydroxide production in Chile from 21,500 metric tons per year to 30,000 metric tons per year; |
· |
Investment in our new 50,000 metric ton lithium hydroxide facility in Western Australia; |
· |
Optimization projects related to iodine production plants in Nueva Victoria; and |
· |
General maintenance of all production units in order to ensure the fulfillment of production and sales targets. |
· |
Capacity expansion projects related to the increase of our lithium carbonate production in Chile from 70,000 metric tons per year to 120,000 metric tons per year; |
· |
Capacity expansion of lithium hydroxide production in Chile from 13,500 metric tons per year to 21,500 metric tons per year; |
· |
Optimization projects related to potassium nitrate production plants in Coya Sur; and |
· |
General maintenance of all production units in order to ensure the fulfillment of production and sales targets. |
· |
Capacity expansion projects related to the completion of the increase of our lithium carbonate production in Chile to 70,000 metric tons per year and the commencement of our lithium carbonate expansion project in Chile to reach 120,000 metric tons per year. |
· |
Capacity expansion of lithium hydroxide production in Chile from 13,500 metric tons per year to 21,500 metric tons per year; |
· |
Investments to increase iodine capacity to 14,800 metric tons per year in the Nueva Victoria mine; and |
· |
Capacity expansion and optimization projects related to potassium nitrate production plants II, III and IV in Coya Sur. |
23 |
4.B. |
Business Overview |
24 |
25 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Specialty Plant Nutrition |
|
|
32 |
% |
|
|
39 |
% |
|
|
37 |
% |
Iodine and Derivatives |
|
|
15 |
% |
|
|
18 |
% |
|
|
19 |
% |
Lithium and Derivatives |
|
|
33 |
% |
|
|
21 |
% |
|
|
26 |
% |
Potassium |
|
|
15 |
% |
|
|
12 |
% |
|
|
11 |
% |
Industrial Chemicals |
|
|
5 |
% |
|
|
9 |
% |
|
|
5 |
% |
Other |
|
|
1 |
% |
|
|
2 |
% |
|
|
2 |
% |
Total |
|
|
100 |
% |
|
|
100 |
% |
|
|
100 |
% |
· |
Ensuring access to the best assets related to our current business lines by expanding our global presence; |
· |
Actively searching for attractive minerals allowing us diversification opportunities to replicate and expand our existing mining capacities; |
· |
Strengthening our operational, logistical and commercial excellence process from beginning to end, while looking to be a cost leader; and |
· |
Maintaining a conservative financial policy which allows us to successfully endure economic cycles that could impact the markets in which we sell. |
26 |
27 |
· |
are fully water soluble, allowing their more efficient use in hydroponics, fertigation, foliar applications and other advanced agricultural techniques thus reducing the water use associated with cultivating the crops; |
· |
are chloride-free, which prevents toxicity in certain crops associated with high levels of chlorine in plant nutrients; |
28 |
· |
provide nitrogen in nitric form, thereby allowing crops to absorb nutrients faster than they absorb urea- or ammonium-based fertilizers; |
· |
do not release hydrogen after application, thereby avoiding increased soil acidity; |
· |
possess trace elements, which promote disease resistance in plants; and |
· |
are more attractive to customers who prefer products of natural origin. |
29 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Sales volumes (Th. MT) |
|
|
|
|
|
|
|
|
|
|
|
|
Sodium nitrate |
|
|
32.1 |
|
|
|
25.6 |
|
|
|
30.2 |
|
Potassium nitrate and sodium potassium nitrate |
|
|
643.6 |
|
|
|
575.2 |
|
|
|
617.4 |
|
Specialty blends (1) |
|
|
304.0 |
|
|
|
271.3 |
|
|
|
238.9 |
|
Other specialty plant nutrients (2) |
|
|
174.9 |
|
|
|
164.4 |
|
|
|
155.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues (in US$ millions) |
|
|
908.8 |
|
|
|
701.7 |
|
|
|
723.9 |
|
(1) |
Includes Yara’s products sold pursuant to our commercial agreement. |
(2) |
Includes trading of other specialty fertilizers. |
· |
when soil chemistry limits nutrient solubility and availability (pH, organic matter, type and percentage of clay); |
· |
when nutrient absorption through the roots is limited as a result of conditions that hamper root growth (temperature, moisture, oxygen and loss of soil structure); |
· |
when the plant’s internal demand may surpass real internal nutrient redistribution capacity, leaving the demand unsatisfied; |
· |
when nutrient mobility is limited, such as when plants flower before the leaf growth phase, imposing limiting factors on xylem nutrient transport; and |
· |
to achieve rapid recovery from leaf stress caused by climatic conditions, soil conditions and irrigation management. |
30 |
Revenues breakdown |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
North America |
|
|
35 |
% |
|
|
35 |
% |
|
|
34 |
% |
Europe |
|
|
20 |
% |
|
|
21 |
% |
|
|
21 |
% |
Chile |
|
|
15 |
% |
|
|
14 |
% |
|
|
15 |
% |
Central and South America (excluding Chile) |
|
|
10 |
% |
|
|
10 |
% |
|
|
11 |
% |
Asia and Others |
|
|
21 |
% |
|
|
20 |
% |
|
|
20 |
% |
31 |
32 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Sales volumes (Th. MT) |
|
|
|
|
|
|
|
|
|
|
|
|
Iodine and derivatives |
|
|
12.3 |
|
|
|
9.7 |
|
|
|
12.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues (in US$ millions) |
|
|
437.9 |
|
|
|
334.7 |
|
|
|
371.0 |
|
33 |
Revenues breakdown |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
North America |
|
|
23 |
% |
|
|
27 |
% |
|
|
24 |
% |
Europe |
|
|
40 |
% |
|
|
42 |
% |
|
|
33 |
% |
Chile |
|
|
0 |
% |
|
|
0 |
% |
|
|
0 |
% |
Central and South America (excluding Chile) |
|
|
2 |
% |
|
|
3 |
% |
|
|
2 |
% |
Asia and Others |
|
|
34 |
% |
|
|
27 |
% |
|
|
40 |
% |
34 |
· |
is the lightest solid metal and element at room temperature; |
· |
is low density; |
· |
has a low coefficient of thermal expansion; |
· |
has high electrochemical potential; and |
· |
has a high specific heat capacity. |
35 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Sales volumes (Th. MT) |
|
|
|
|
|
|
|
|
|
|
|
|
Lithium and derivatives |
|
|
101.1 |
|
|
|
64.6 |
|
|
|
45.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues (in US$ millions) |
|
|
936.1 |
|
|
|
383.4 |
|
|
|
505.7 |
|
36 |
Revenues breakdown |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
North America |
|
|
5 |
% |
|
|
7 |
% |
|
|
9 |
% |
Europe |
|
|
8 |
% |
|
|
13 |
% |
|
|
15 |
% |
Chile |
|
|
0 |
% |
|
|
0 |
% |
|
|
0 |
% |
Central and South America (excluding Chile) |
|
|
1 |
% |
|
|
0 |
% |
|
|
1 |
% |
Asia and Others |
|
|
86 |
% |
|
|
80 |
% |
|
|
75 |
% |
37 |
· |
increased yield and quality; |
· |
increased production of proteins; |
· |
increased photosynthesis; |
· |
intensified transport and storage of assimilates; |
· |
prolonged and more intense assimilation period; |
· |
improved water efficiency; |
· |
regulated opening and closure of stomata; and |
· |
synthesis of lycopene. |
38 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Sales volumes (Th. MT) |
|
|
|
|
|
|
|
|
|
|
|
|
Potassium chloride and potassium sulfate |
|
|
893.2 |
|
|
|
726.7 |
|
|
|
597.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues (in US$ millions) |
|
|
416.6 |
|
|
|
209.3 |
|
|
|
212.2 |
|
Revenues breakdown |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
North America |
|
|
14 |
% |
|
|
19 |
% |
|
|
20 |
% |
Europe |
|
|
8 |
% |
|
|
14 |
% |
|
|
13 |
% |
Chile |
|
|
12 |
% |
|
|
11 |
% |
|
|
13 |
% |
Central and South America (excluding Chile) |
|
|
51 |
% |
|
|
35 |
% |
|
|
31 |
% |
Asia and Others |
|
|
14 |
% |
|
|
21 |
% |
|
|
23 |
% |
39 |
40 |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Sales volumes (Th. MT) |
|
|
|
|
|
|
|
|
|
|
|
|
Industrial chemicals |
|
|
174.5 |
|
|
|
225.1 |
|
|
|
123.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues (in US$ millions) |
|
|
132.0 |
|
|
|
160.6 |
|
|
|
94.9 |
|
Revenues breakdown |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
North America |
|
|
23 |
% |
|
|
15 |
% |
|
|
29 |
% |
Europe |
|
|
14 |
% |
|
|
7 |
% |
|
|
16 |
% |
Chile |
|
|
3 |
% |
|
|
3 |
% |
|
|
42 |
% |
Central and South America (excluding Chile) |
|
|
6 |
% |
|
|
3 |
% |
|
|
7 |
% |
Asia and Others |
|
|
55 |
% |
|
|
72 |
% |
|
|
6 |
% |
41 |
· |
caliche ore deposits, which contain nitrates, iodine and potassium; and |
· |
brines from the Salar de Atacama, which contain potassium, lithium, sulfate, boron and magnesium. |
42 |
43 |
44 |
45 |
46 |
47 |
48 |
49 |
50 |
51 |
52 |
4.C. |
Organizational Structure |
Principal subsidiaries |
|
Activity |
|
Country of Incorporation |
|
SQM Beneficial Ownership Interest (Direct/Indirect) |
SQM Nitrates S.A. |
|
Extracts and sells caliche ore to subsidiaries and affiliates of SQM |
|
Chile |
|
100% |
SQM Industrial S.A. |
|
Produces and markets SQM’s products directly and through other subsidiaries and affiliates of SQM |
|
Chile |
|
100% |
SQM Salar S.A. |
|
Exploits the Salar de Atacama to produce and market SQM’s products directly and through other subsidiaries and affiliates of SQM |
|
Chile |
|
100% |
SQM Potasios S.A. |
|
Produces and markets SQM’s products directly and through other subsidiaries and affiliates of SQM |
|
Chile |
|
100% |
Servicios Integrates de Transitos y Transferencias S.A. (SIT) |
|
Owns and operates a rail transport system and also owns and operates the Tocopilla port facilities |
|
Chile |
|
100% |
Orcoma Estudios SPA |
|
Holds permits and studies of the Orcoma Project |
|
Chile |
|
100% |
Orcoma SPA |
|
Holds environmental permits and mining tenement of the Orcoma Project |
|
Chile |
|
100% |
Sociedad Contractual Minera Bufalo |
|
Mining exploration |
|
Chile |
|
100% |
RS Agro Chemical Trading Corporation A.V.V. |
|
A finance vehicle |
|
Aruba |
|
100% |
Soquimich Comercial S.A. |
|
Markets SQM’s specialty plant nutrition products domestically and imports fertilizers for resale in Chile |
|
Chile |
|
61% |
Ajay-SQM Chile S.A. |
|
Produces and markets SQM’s iodine and iodine derivatives |
|
Chile |
|
51% |
Sales and distribution subsidiaries in the United States, Argentina, Belgium, Brazil, China, Colombia, Ecuador, Mexico, Peru, South Africa, Spain, and other locations. |
|
Market SQM’s products throughout the world |
|
Various |
|
|
53 |
4.D. |
Property, Plant and Equipment |
· |
Mineral resource. A concentration or occurrence of material of economic interest in or on the earth's crust in such form, grade or quality, and quantity that there are reasonable prospects for economic extraction. A mineral resource is a reasonable estimate of mineralization, taking into account relevant factors such as cut-off grade, likely mining dimensions, location or continuity, that, with the assumed and justifiable technical and economic conditions, is likely to, in whole or in part, become economically extractable. It is not merely an inventory of all mineralization drilled or sampled. |
· |
Mineral reserve. An estimate of tonnage and grade or quality of indicated and measured mineral resources that, in the opinion of a QP, can be the basis of an economically viable project. More specifically, it is the economically mineable part of a measured or indicated mineral resource, which includes diluting materials and allowances for losses that may occur when the material is mined or extracted. |
· |
Measured resource. That part of a mineral resource with the highest level of geological confidence; quantity and grade or quality are estimated on the basis of conclusive geological evidence and sampling. The level of geological certainty associated with a measured mineral resource is sufficient to allow a QP to apply modifying factors in sufficient detail to support detailed mine planning and final evaluation of the economic viability of the deposit. |
54 |
· |
Indicated resource. That part of a mineral resource with a level of geological confidence between that of measured and inferred resources; quantity and grade or quality are estimated on the basis of adequate geological evidence and sampling. The level of geological certainty associated with an indicated mineral resource is sufficient to allow a QP to apply modifying factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. |
· |
Inferred resource. That part of a mineral resource with the lowest level of geological confidence; quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. The level of geological uncertainty associated with an inferred mineral resource is too high to apply relevant technical and economic factors likely to influence the prospects of economic extraction in a manner useful for evaluation of economic viability. |
55 |
56 |
57 |
|
|
Exploitation Concessions |
|
|
Exploration Concessions |
|
|
Total |
|
|||||||||||||||
Region of Chile |
|
Total Number |
|
|
Hectares |
|
|
Total Number |
|
|
Hectares |
|
|
Total Number |
|
|
Hectares |
|
||||||
Region I |
|
|
2,870 |
|
|
|
539,840 |
|
|
|
6 |
|
|
|
1,900 |
|
|
|
2,876 |
|
|
|
541,740 |
|
Region II |
|
|
8,938 |
|
|
|
2,343,701 |
|
|
|
57 |
|
|
|
22,500 |
|
|
|
8,995 |
|
|
|
2,366,201 |
|
Region III and others |
|
|
469 |
|
|
|
107,480 |
|
|
|
2 |
|
|
|
400 |
|
|
|
471 |
|
|
|
107,880 |
|
Total |
|
|
12,277 |
|
|
|
2,991,021 |
|
|
|
65 |
|
|
|
24,800 |
|
|
|
12,342 |
|
|
|
3,015,821 |
|
58 |
|
|
2021 |
|
2020 |
|
2019 |
||||||||||||
|
|
Gross Margin |
|
|
Price |
|
Gross Margin |
|
|
Price |
|
Gross Margin |
|
|
Price |
|||
Iodine and Derivatives |
|
|
45 |
% |
|
US$36/kg |
|
|
50 |
% |
|
US$35/kg |
|
|
38 |
% |
|
US$29/kg |
Specialty Plant Nutrition |
|
|
29 |
% |
|
US$787/ton |
|
|
23 |
% |
|
US$677/ton |
|
|
21 |
% |
|
US$695/ton |
Industrial Chemicals |
|
|
17 |
% |
|
US$757/ton |
|
|
26 |
% |
|
US$713/ton |
|
|
33 |
% |
|
US$768/ton |
|
|
2021 |
|
2020 |
|
2019 |
||||||||||||
|
|
Gross Margin |
|
|
Price |
|
Gross Margin |
|
|
Price |
|
Gross Margin |
|
|
Price |
|||
Potassium Chloride and Potassium Sulfate |
|
|
39 |
% |
|
US$466/ton |
|
|
11 |
% |
|
US$288/ton |
|
|
17 |
% |
|
US$355/ton |
Lithium and Derivatives |
|
|
47 |
% |
|
US$9300/ton |
|
|
23 |
% |
|
US$5,931/ton |
|
|
39 |
% |
|
US$11,212/ton |
59 |
|
|
Proven Mineral Reserves |
|
|
Probable Mineral Reserves |
|
|
Total Mineral Reserves |
|
|||||||||||||||
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight) |
|
||||||
Lithium—Brines: (2), (3), (4), (5) |
|
|
183 |
|
|
|
0.20 |
|
|
|
107 |
|
|
|
0.20 |
|
|
|
290 |
|
|
|
0.20 |
|
Salar de Atacama, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
||||||
Lithium—Hard Rock: (6) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mt. Holland, Australia |
|
|
10.8 |
|
|
|
1.48 |
|
|
|
31.2 |
|
|
|
1.6 |
|
|
|
42.0 |
|
|
|
1.57 |
|
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight]) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
||||||
Potassium: (2), (3), (4), (5) |
|
|
183 |
|
|
|
2.29 |
|
|
|
107 |
|
|
|
2.13 |
|
|
|
290 |
|
|
|
2.22 |
|
Salar de Atacama, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount (MT) |
|
|
Grade (% NO 3 by weight) |
|
|
Amount (MT) |
|
|
Grade (% NO 3 by weight) |
|
|
Amount (MT) |
|
|
Grade (% NO 3 by weight) |
|
||||||
Nitrate: (7), (8), (9) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
El Norte Grande Caliche, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pedro de Valdivia |
|
|
99 |
|
|
|
9.1 |
|
|
|
112 |
|
|
|
5.8 |
|
|
|
211 |
|
|
|
7.3 |
|
Maria Elena |
|
|
94 |
|
|
|
8.1 |
|
|
|
10 |
|
|
|
6.9 |
|
|
|
104 |
|
|
|
8.0 |
|
Pampa Blanca |
|
|
35 |
|
|
|
6.3 |
|
|
|
515 |
|
|
|
5.1 |
|
|
|
550 |
|
|
|
5.2 |
|
Nueva Victoria |
|
|
268 |
|
|
|
5.2 |
|
|
|
649 |
|
|
|
4.8 |
|
|
|
917 |
|
|
|
4.9 |
|
Pampa Orcoma |
|
|
0 |
|
|
|
— |
|
|
|
309 |
|
|
|
6.9 |
|
|
|
309 |
|
|
|
6.9 |
|
Total |
|
|
496 |
|
|
|
6.6 |
|
|
|
1,595 |
|
|
|
5.4 |
|
|
|
2,091 |
|
|
|
5.7 |
|
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
||||||
Iodine: (7), (8), (9) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
El Norte Grande Caliche, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pedro del Valdivia |
|
|
99 |
|
|
|
522 |
|
|
|
112 |
|
|
|
366 |
|
|
|
211 |
|
|
|
439 |
|
Maria Elena |
|
|
94 |
|
|
|
491 |
|
|
|
10 |
|
|
|
374 |
|
|
|
104 |
|
|
|
480 |
|
Pampa Blanca |
|
|
35 |
|
|
|
552 |
|
|
|
515 |
|
|
|
516 |
|
|
|
550 |
|
|
|
518 |
|
Nueva Victoria |
|
|
268 |
|
|
|
436 |
|
|
|
649 |
|
|
|
414 |
|
|
|
917 |
|
|
|
420 |
|
Pampa Orcoma |
|
|
0 |
|
|
|
— |
|
|
|
309 |
|
|
|
413 |
|
|
|
309 |
|
|
|
413 |
|
Total |
|
|
496 |
|
|
|
472 |
|
|
|
1,595 |
|
|
|
443 |
|
|
|
2,091 |
|
|
|
450 |
|
60 |
(1) |
Comparisons of values may not add due to rounding of numbers and the differences caused by averaging |
(2) |
Salar de Atacama, Chile. The process efficiency is based on the type of extracted brine at each well over the course of the simulation, the average process efficiency over the entire life of mine (LoM) is approximately 51% for lithium and approximately 74% for potassium. |
(3) |
Salar de Atacama, Chile. The average lithium and potassium concentration is weighted by the simulated extraction rates in each well. |
(4) |
Salar de Atacama, Chile. The mineral resource and reserve estimate considers a 0.05% w/w cut-off grade for lithium based on the cost of generating lithium product, lithium carbonate sales, and the respective cost margin. Based on historical lithium prices from 2010 and the forecast to 2040, a projected lithium carbonate price of US$11,000 per metric ton with the corresponding cost and profit margin is considered with a small increase to accommodate the evaporation area and use of additives. A similar analysis was undertaken for potassium where the cut-off grade of 1% w/w has been set by SQM based on respective costs, sales, and margin. |
(5) |
Salar de Atacama, Chile. This reserve estimate differs from the in-situ base reserve previously reported (SQM, 2020) and considers the modifying factors of converting mineral resources to mineral reserves, including the production wellfield design and efficiency, as well as environmental and process recovery factors. The reserve estimate also considers the expiry of the Lease Agreement in 2030 (end of LoM). The Qualified Persons for the Mineral Reserves are Álvaro Henríquez, Rodrigo Riquelme and Gino Slanzi. |
(6) |
Mt. Holland, Australia . Mineral reserve tonnage and grade have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. Metallurgical processes are designed for nominal 2Mpta ore feed. Process recovery to concentrate is estimated at 75% for lithium oxide for predominantly Spodumene Mineralization and 0% for other mineralization types. Refinery process recovery is estimated at 85%. Tantalum recovery is estimated at 0%. A total operating cost of US$4,979 per metric ton for LiOH production was considered in the reserve evaluation. The price, cost, and mass yield parameters, along with the internal constraints of the current operations, result in a mineral reserves cut-off grade of 0.5% Li 2 O based on a selling Lithium Hydroxide price of US$11,000 per ton FOB. The Qualified Person for the Mineral Reserves is David Billington with an effective date: December 15, 2021 |
(7) |
El Norte Grande Caliche, Chile. The cutoff grades of the Proven and Probable Reserves vary according to the required targets at the different mines. The values assigned correspond to the averages of the different sectors. In the case of Pedro de Valdivia, the cut-off grade is for nitrate content, while in all other sites it is only for iodine. |
(8) |
El Norte Grande Caliche, Chile. The average overall metallurgical recovery of the nitrate and iodine processes contained in the recovered material varies between 50% and 70%. |
(9) |
The mineral resource and reserve estimate considers a cut-off grade of 300ppm for Iodine (I2) based on the production costs of Iodine and derivate products. Based on historical Iodine prices from 2010 and the forecast to 2040, a projected Iodine price of US$35,000 per metric ton is determined, taking in account the corresponding operational, financial and planned investment costs, depreciation, profit margin and taxes. A similar analysis was undertaken for nitrates where the cut-off grade of 5.0% sodium nitrate has been set by SQM based on respective costs for Potassium-Sodium Nitrates (fertilizers) production. A projected price of US$690 per metric ton for sodium-potassium nitrates is considered by SQM in the economic analysis executed from 2010 and the forecast to 2040. In addition, a projected Solar Salts price of US$680 per metric ton has been considered by SQM. Modifying factors of historical operational use in various of SQM’s mining facilities, are applied to iodine and nitrate grades reported as probable resource estimates. The factors applied to iodine and nitrate grades are 0.9 and 0.85 respectively. Reserve estimates are shown for the area with current environmental permits for mining operations, as well as the surrounding area for which a future environmental permit will be considered. The Qualified Person for the Nueva Victoria and Pampa Orcoma Mineral Reserves is Donald Hulse, while the Qualified Persons for the Pedro de Valdivia and Pampa Blanca Mineral Reserves are Marco Lema and Marta Aguilera. |
|
|
Measured Mineral Resources |
|
|
Indicated Mineral Resources |
|
|
Measured & Indicated Mineral Resources |
|
|
Inferred Mineral Resources |
|
||||||||||||||||||||
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Concentration (% Li by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% Li by weight ) |
|
||||||||
Lithium—Brines: (3), (4) |
|
|
2,254 |
|
|
|
0.20 |
|
|
|
1,435 |
|
|
|
0.160 |
|
|
|
3,689 |
|
|
|
0.180 |
|
|
|
1,614 |
|
|
|
0.133 |
|
Salar de Atacama, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
|
Amount (MT) |
|
|
Grade (Li 2 O%) |
|
||||||||
Lithium—Hard Rock: (5) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mt. Holland, Australia |
|
|
13.5 |
|
|
|
1.58 |
|
|
|
30.5 |
|
|
|
1.45 |
|
|
|
44.0 |
|
|
|
1.49 |
|
|
|
3.5 |
|
|
|
1.38 |
|
|
|
Amount (Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
|
Amount ( Vol Mm 3 ) |
|
|
Grade (% K by weight) |
|
||||||||
Potassium: (3),(4) |
|
|
2,254 |
|
|
|
1.80 |
|
|
|
1,435 |
|
|
|
1.70 |
|
|
|
3,689 |
|
|
|
1.77 |
|
|
|
1,614 |
|
|
|
1.77 |
|
Salar de Atacama, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
61 |
|
|
Amount (MT) |
|
|
Grade (% NO 3 by weight) |
|
|
Amount (MT) |
|
|
Grade NO(% 3 by weight) |
|
|
Amount (MT) |
|
|
Grade NO(% 3 by weight) |
|
|
Amount (MT) |
|
|
Grade NO(% 3 by weight) |
|
||||||||
Nitrate: (6), (7) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
El Norte Grande Caliche, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pedro de Valdivia |
|
|
—
|
|
|
|
—
|
|
|
|
138
|
|
|
|
7.6
|
|
|
|
138
|
|
|
|
7.6
|
|
|
|
52 |
|
|
|
6.1 |
|
Maria Elena |
|
|
21
|
|
|
|
11.1
|
|
|
|
119 |
|
|
|
10
|
|
|
|
140
|
|
|
|
10.2
|
|
|
|
117
|
|
|
|
7.2
|
|
Pampa Blanca |
|
|
17
|
|
|
|
5.3
|
|
|
|
48
|
|
|
|
8.9
|
|
|
|
65
|
|
|
|
8.0
|
|
|
|
357
|
|
|
|
5.4
|
|
Nueva Victoria |
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
33
|
|
|
|
5.4
|
|
Pampa Orcoma |
|
|
— |
|
|
|
— |
|
|
|
18
|
|
|
|
7.4
|
|
|
|
18
|
|
|
|
7.4
|
|
|
|
— |
|
|
|
— |
|
Total |
|
|
38
|
|
|
|
8.5
|
|
|
|
323
|
|
|
|
8.7
|
|
|
|
361
|
|
|
|
8.6
|
|
|
|
559
|
|
|
|
5.8
|
|
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
|
Amount (MT) |
|
|
Grade ( I 2 parts per million) |
|
||||||||
Iodine: (6), (7) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
El Norte Grande Caliche, Chile |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pedro de Valdivia |
|
|
—
|
|
|
|
—
|
|
|
|
138 |
|
|
|
564 |
|
|
|
138
|
|
|
|
564
|
|
|
|
52
|
|
|
|
409
|
|
Maria Elena |
|
|
21
|
|
|
|
489 |
|
|
|
119
|
|
|
|
465 |
|
|
|
140
|
|
|
|
469 |
|
|
|
117 |
|
|
|
362 |
|
Pampa Blanca |
|
|
17
|
|
|
|
563 |
|
|
|
48
|
|
|
|
383
|
|
|
|
65
|
|
|
|
430
|
|
|
|
357 |
|
|
|
463 |
|
Nueva Victoria |
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
33 |
|
|
|
431 |
|
Pampa Orcoma |
|
|
— |
|
|
|
— |
|
|
|
18
|
|
|
|
457
|
|
|
|
18
|
|
|
|
457
|
|
|
|
— |
|
|
|
— |
|
Total |
|
|
38
|
|
|
|
522
|
|
|
|
323
|
|
|
|
495
|
|
|
|
361
|
|
|
|
498
|
|
|
|
559
|
|
|
|
435
|
|
(1) |
Comparison of values may not add due to the rounding of numbers and differences caused by averaging. |
(2) |
Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the mineral resource will be converted into mineral reserves upon the application of modifying factors. |
(3) |
Salar de Atacama, Chile. Mineral resources are reported as in-situ and exclusive of Mineral Reserves, where the estimated Mineral Reserve without processing losses during the reported LOM and real declared extraction from 2021 were subtracted from the Mineral Resource inclusive of Mineral Reserves. A direct correlation between Proven Reserves and Measured Resources, as well as Probable Reserves and Indicated Resources was assumed.The Qualified Persons for the Mineral Resources are Álvaro Henríquez, Rodrigo Riquelme and Gino Slanzi. |
(4) |
Salar de Atacama, Chile. The mineral resource and reserve estimate consider a 0.05% w/w cut-off grade for lithium based on the cost of generating lithium product, lithium carbonate sales, and the respective cost margin. Based on historical lithium prices from 2010 and the forecast to 2040, a projected lithium carbonate price of US$11,000 per/ metric ton with the corresponding cost and profit margin is considered with a small increase to accommodate the evaporation area and use of additives. A similar analysis was undertaken for potassium where the cut-off grade of 1% w/w has been set by SQM based on respective costs, sales, and margin. |
(5) |
Mt. Holland, Australia. Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. Mineral resources are reported as exclusive of mineral reserves. Resource disclosed corresponds to the resources attributable to SQM. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Resources have been reported as in situ (hard rock within optimized pit shell). Pit optimization and economics for derivation of cut off grade include mine gate pricing of US$800 FOB per ton of 6% Li2O concentrate., AUS$19 per bcm mining cost (LoM average cost-variable by depth), AU$65 processing cost per ton. Mining dilution set at 5% and recovery at 95%. Royalty fees 5%. The optimization considered for the concentrator is 75%. Costs estimated in Australian Dollars were converted to US Dollars based on an exchange rate of AU$0.75:US$1.00. These economics define a cut-off grade of 0.50% Li 2 O. Kerry Griffin is the 65 QP responsible for the mineral resource estimate with an effective date: October 6, 2021. No material changes since the last update. |
(6) |
El Norte Grande, Caliche, Chile. To calculate Measured Resources, SQM uses the RGM100T and RGM50 data results combined in a 3D block model built using krikeage and applying some criteria: caliche thickness ≥ 2.0 m; overload thickness ≤3.0 m; waste / Mineral Ratio ≤ 1.5; and cut-off grades of NaNO3 (5%) and Iodine (300 ppm). To calculate Indicated Resources, SQM uses the RGM100 and RGM200 data results combined using a geometric model. To evaluate Probable Reserves a reduction on grades mut be consider as consequence of the deposit geological variability which determines a contrasting decrease in grades by going from 200x200m research grids to lower 100T (~70x70m) or 50x50m grids. The Mineral Resource estimates were prepared by Donald Hulse (who is the independent Qualified Person for these Mineral Resource estimates), reported using the S-K 1300 Definition Standards adopted December 2018.. The Qualified Persons for the Pedro de Valdivia, María Elena and Pampa Blanca Mineral Resources are Marco Lema and Marta Aguilera. |
(7) |
El Norte Grande, Caliche, Chile. The estimate was completed using a SG of 2.1 ton/m³. Cut-off grade for Iodine is 300 ppm. The cutoff grades of the mineral resources vary according to the required targets at the different mines. The values assigned correspond to the averages of the different sectors. In the case of Pedro de Valdivia, the cut-off grade is for nitrate content, while in all other sites it is only for iodine. The mineral reserve estimate considers a cut-off grade of 300ppm for Iodine (I2) based on the production costs of Iodine and derivate products. Based on historical Iodine prices from 2010 and the forecast to 2040, a projected Iodine price of 35,000 USD/t is determined, taking in account the corresponding operational, financial and planned investment costs, depreciation, profit margin and taxes. A similar analysis was undertaken for nitrates where the cut-off grade of 5.0% NaNO3 has been set by SQM based on respective costs for Potassium-Sodium Nitrates (fertilizers) production. A projected price of 690 USD/t for sodium-potassium nitrates is considered by SQM in the economic analysis executed from 2010 and the forecast to 2040. In addition, a projected Solar Salts price of 680 USD/t has been considered by SQM. |
62 |
63 |
64 |
Facility |
|
Type of Facility |
|
Approximate Size (hectares) (1) |
|
|
Nominal Production Capacity (thousands of metric tons/year) |
|
Weighted Average Age (years) (2) |
|
|
Gross Book Value (millions of US$) (2) |
|
|||
Coya Sur (3) (4) |
|
Nitrates production |
|
|
1,518 |
|
|
Potassium nitrate: 1,300 Crystallized nitrates: 1,200 Prilled nitrates: 360 |
|
|
10.7 |
|
|
|
724.8 |
|
Nueva Victoria (5) (7) |
|
Concentrated nitrate salts and iodine production |
|
|
47,492 |
|
|
Iodine: 13.0 |
|
|
7.3 |
|
|
|
595.1 |
|
Pampa Orcoma |
|
Concentrated nitrate salts and iodine production |
|
|
7,387 |
|
|
2.5 |
|
|
- |
|
|
|
- |
|
(1) |
Approximate size considers both the production facilities and the mine for Nueva VictoriaMining areas are those authorized for exploitation by the environmental authority and/or Sernageomin. |
(2) |
Weighted average age and gross book value correspond to production facilities, excluding the mine, for, Nueva Victoria. |
(3) |
Includes production facilities and solar evaporation ponds. |
(4) |
The potassium nitrate produced at Coya Sur is an intermediate product that is used as a raw material for the production of finished products (crystallized nitrates and prilled nitrates). Therefore, the production capacities listed above are not independent of one another and cannot be added together to obtain an overall total capacity. |
(5) |
Includes production facilities, solar evaporation ponds and leaching heaps. |
|
|
(6) |
The nominal production capacity for iodine considers the capacity of our plants. The effective capacity is 14,800 metric tons per year. |
65 |
(in thousands, unless otherwise stated) |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
Coya Sur (1) |
|
|
|
|
|
|
|
|
|
|
|
|
Metric tons of crystallized nitrate produced |
|
|
820 |
|
|
|
935 |
|
|
|
771 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nueva Victoria |
|
|
|
|
|
|
|
|
|
|
|
|
Metric tons of ore mined |
|
|
41,428 |
|
|
|
43,420 |
|
|
|
42,196 |
|
Iodine (ppm) |
|
|
441 |
|
|
|
452 |
|
|
|
465 |
|
Metric tons of iodine produced |
|
|
8.7 |
|
|
|
10.6 |
|
|
|
10.7 |
|
(1) |
Includes production at Coya Sur from treatment of nitrates solutions from María Elena and Pedro de Valdivia, nitrate salts from pile treatment at Nueva Victoria, and net production from NPT, or technical grade potassium nitrate, plants. |
66 |
1. |
Unit tonnage conversion criteria in both measured resources and indicated resources. |
2. |
Grade conversion criteria: unit factor in measured resources and lower than unit and variable according to the mine, in the Iodine and Nitrate grades, for the indicated resources, due to the variability of the deposit. |
3. |
Application of the factor associated with related environmental permit, not qualifying as reserves the resources defined in sectors without an environmental permit and qualifying as proven/probable reserves the measured/indicated resources associated with sectors with an effective environmental permit or Sectorial Authorization in force. |
|
|
Amount (Metric tons) |
|
|
Nitrate Grade (% by weight) |
|
|
Iodine Grade (Parts per million(ppm)) |
|
|
Cut-off grades 1 |
|
Metallurgical recovery 2 |
|||
Proven mineral reserves |
|
|
268 |
|
|
|
5.2 |
|
|
|
436 |
|
|
|
|
|
Probable mineral reserves |
|
|
649 |
|
|
|
4.8 |
|
|
|
414 |
|
|
Iodine 300 ppm |
|
50%-70% |
Total mineral reserves |
|
|
917 |
|
|
|
4.9 |
|
|
|
420 |
|
|
|
|
|
(1) |
Mineral Reserves are based on Measured and Indicated Mineral Resources at an operating cutoff of 300 ppm iodine. Operating constraints of caliche thickness ≥ 2.0 m; overburden thickness ≤3.0 m; and waste / caliche ratio ≤ 1.5 are applied. |
(2) |
Proven Mineral Reserves are based on Measured Mineral Resources at the criteria described in (1) above. The average overall metallurgical recovery of the nitrate and iodine processes contained in the recovered material varies between 50% and 70%. Based on SQM's operational experience and the laboratory and full-scale tests carried out, a progressive increase, over time, in heap leaching yield is expected, as irrigation application rates increase. |
(3) |
Probable Mineral Reserves are based on Indicated Mineral Resources at the criteria described in (1) above with a grade call factor of 0.9 for iodine and 0.85 for nitrates confirmed by operating experience. |
(4) |
Mineral Reserves are stated as in-situ ore (caliche) as the point of reference. |
(5) |
The units “Mt”, “kt”, “ppm” and % refer to million tonnes, kilotonnes, parts per million, and weight percent respectively. |
(6) |
Mineral Reserves are based on an Iodine price of USD35/kg and a Nitrate price of USD295/t. Mineral Reserves are also based on economic viability as demonstrated in an after-tax discounted cashflow. |
(7) |
Donald Hulse is the QP responsible for the Mineral Reserves. |
(8) |
The QP is not aware of any environmental, permitting, legal, title, taxation, socioeconomic, marketing, political or other relevant factors that could materially affect the Mineral Reserve estimate that are not discussed in this TRS. |
(9) |
Comparisons of values may not total due to rounding of numbers and the differences caused by use of averaging methods. |
67 |
|
|
Resources |
|
|
||||||||||||
|
|
Amount (Metric tons) |
|
|
Nitrate Grade (% by weight) |
|
|
Iodine Grade (Parts per million(ppm)) |
|
|
Cut-off grade 5 |
|
||||
Measured mineral resources |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
Iodine 300 ppm |
|
Indicated mineral resources |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
||
Measured + Indicated mineral resources |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
||
Inferred mineral resources |
|
|
33 |
|
|
|
5.4 |
|
|
|
431 |
|
|
|
(1) |
Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the Mineral Resource will be converted into Mineral Reserves upon the application of modifying factors. |
(2) |
Mineral Resources are reported as in-situ and exclusive of Mineral Reserves, where the estimated Mineral Reserve without processing losses during the reported LOM was subtracted from the Mineral Resource inclusive of Mineral Reserves. All Measured and Indicated Mineral Resources have been converted into Mineral Reserves; as a result, only Inferred Mineral Resources are reported in this TRS. |
(3) |
Comparisons of values may not add due to rounding of numbers and the differences caused by use of averaging methods |
(4) |
The units “Mt”, “ppm” and % refer to million tonnes, parts per million, and weight percent respectively. |
(5) |
The Mineral Resource estimate considers an iodine cut-off grade of 300 ppm, based on accumulated cut-off iodine grades and operational average grades, as well as caliche thickness ≥ 2.0 m and overburden thickness ≤ 3.0 m. The iodine cut-off grade considers the cost and medium- and long-term price forecasts of generating iodine as discussed in Sections 11, 16 and 19 of the TRS. |
(6) |
Donald Hulse is the QP responsible for the Mineral Resources. |
|
|
Amount (Metric tons) |
|
|
Nitrate Grade (% by weight) |
|
|
Iodine Grade (Parts per million(ppm)) |
|
|
Cut-off grades 1 |
|
|
Metallurgical recovery 2 |
|
|||||
Proven mineral reserves |
|
|
0 |
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
Probable mineral reserves |
|
|
309 |
|
|
|
6.9 |
|
|
|
413 |
|
|
|
Iodine 300 ppm |
|
|
|
50%-70% |
|
Total mineral reserves |
|
|
309 |
|
|
|
6.9 |
|
|
|
413 |
|
|
|
|
|
|
|
|
|
(1) |
Comparisons of values may not add due to rounding of numbers and the differences caused by use of averaging methods. |
(2) |
The units “Mt” and “ppm” refer to million tonnes and parts per million respectively. The average overall metallurgical recovery of the nitrate and iodine processes contained in the recovered material varies between 50% and 70%. Based on SQM's operational experience and the laboratory and full-scale tests carried out, a progressive increase, over time, in heap leaching yield is expected, as irrigation application rates increase. |
(3) |
The Mineral Reserve estimate considers an iodine cut-off grade of 300 ppm, based on accumulated cut-off iodine grades and operational average grades, as well as the cost and medium- and long-term prices forecast of generating iodine. |
(4) |
Modifying factors of historical operational use in various of SQM’s mining facilities, are applied to iodine and nitrate grades, the factors applied to iodine and nitrate grades are 0.9 and 0.85, respectively. |
(5) |
Mineral Resources in the area without an environmental permit are estimated at 18 Mt. |
(6) |
Mineral Reserves are reported as in-situ ore. |
(7) |
Donald Hulse is the QP responsible for the Mineral Reserves. |
(8) |
The QP is not aware of any environmental, permitting, legal, title, taxation, socioeconomic, marketing, political or other relevant factors that could materially affect the Mineral Reserve estimate that are not discussed in this TRS. |
|
|
Resources |
|
|
|
|
|
|
|
|||||||
|
|
Amount (Metric tons) |
|
|
Nitrate Grade (% by weight) |
|
|
Iodine Grade (Parts per million(ppm)) |
|
|
Cut-off grades 1,2 |
|
||||
Measured mineral resources |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
Indicated mineral resources |
|
|
18 |
|
|
|
7.4 |
|
|
|
457 |
|
|
|
Iodine 300 ppm |
|
Measured + Indicated mineral resources |
|
|
18 |
|
|
|
7.4 |
|
|
|
457 |
|
|
|
|
|
Inferred mineral resources |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
(1) |
Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the Mineral Resource will be converted into Mineral Reserves upon the application of modifying factors. |
(2) |
Mineral Resources are reported as in-situ and exclusive of Mineral Reserves, where the estimated Mineral Reserve without processing losses during the reported LOM was subtracted from the Mineral Resource inclusive of Mineral Reserves. |
(3) |
Comparisons of values may not add due to rounding of numbers and the differences caused by use of averaging methods. |
(4) |
The units “Mt” and “ppm” refers to million tonnes and parts per million respectively. |
(5) |
The Mineral Resource estimate considers an iodine cut-off grade of 300 ppm, based on accumulated cut-off iodine grades and operational average grades, as well as the cost and medium and long term prices forecast for prilled iodine production. |
(6) |
Donald Hulse is the QP responsible for the Mineral Resources. |
68 |
69 |
(1) |
“Mining Exploitation Concessions”: entitle us to use the land in order to exploit the mineral resources contained therein on a perpetual basis, subject to annual payments to the Chilean government; and |
(2) |
“Mining Exploration Concessions”: entitle us to use the land in order to explore for and verify the existence of mineral resources for a period of two years, at the expiration of which the concession may be extended one time only for two additional years, if the area covered by the concession is reduced by half. We may alternatively request an exploitation concession in respect of the area covered by the original exploration concession, which must be made within the timeframe established by the original exploration concession. |
70 |
71 |
Facility |
|
Type of Facility |
|
Approximate Size (hectares) (1) |
|
|
Nominal Production Capacity (thousands of metric tons/year) |
|
Weighted Average Age (years) (2) |
|
|
Gross Book Value (millions of US$) (2) |
|
|||
Salar de Atacama (3) |
|
Potassium chloride, potassium sulfate, lithium chloride, and boric acid production |
|
|
35,911 |
|
|
Potassium chloride: 2,680 Potassium sulfate: 245 Boric acid: 15 |
|
|
13.2 |
|
|
|
1,592.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carmen Lithium facility, Antofagasta (3) |
|
Lithium carbonate and lithium hydroxide production |
|
|
126 |
|
|
Lithium carbonate: 120 Lithium hydroxide: 21.5 |
|
|
7.3 |
|
|
|
504.9 |
|
(1) |
Approximate size considers both the production facilities and the mine for the Salar de Atacama. Mining areas are those authorized for exploitation by the environmental authority and/or Sernageomin. |
(2) |
Weighted average age and gross book value correspond to production facilities, excluding the mine, for the Salar de Atacama. |
(3) |
Includes production facilities and solar evaporation ponds. During 2019, we began to work on the expansion of discard deposit area of the new lithium hydroxide plant and accumulation ponds. |
(in thousands, unless otherwise stated) |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Salar de Atacama (1) |
|
|
|
|
|
|
|
|
|
|
|
|
Metric tons of lithium carbonate produced |
|
|
108.4 |
|
|
|
72.2 |
|
|
|
62.3 |
|
Metric tons of potassium chloride and potassium sulfate and potassium salts produced |
|
|
1,407 |
|
|
|
1,476 |
|
|
|
1,049 |
|
(1) |
Lithium carbonate is extracted at the Salar de Atacama and processed at our facilities at the Carmen Lithium facility near Antofagasta. Potassium salts include synthetic sylvinite produced in the plant and other harvested potassium salts (natural sylvinite, carnallites and harvests from plant ponds) that are sent to Coya Sur for the production of crystallized nitrates. |
72 |
|
|
Brine Volume (Million cubic meters) |
|
|
Amount (Million metric tons) |
|
|
Grades/Qualities (wt.%) |
|
|
Cut-off grades (wt.%) |
|
|
Metallurgical recovery (%) |
|
|||||
Lithium |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proven mineral reserves (Years 1-5) |
|
|
183 |
|
|
|
0.22 |
|
|
|
0.20 |
|
|
|
0.05 |
|
|
|
51
|
|
Probable mineral reserves (Years 6-10) |
|
|
107 |
|
|
|
0.14 |
|
|
|
0.20 |
|
|
|
0.05 |
|
|
|
51
|
|
Total mineral reserves |
|
|
290 |
|
|
|
0.36 |
|
|
|
0.20 |
|
|
|
0.05 |
|
|
|
51 |
|
Potassium |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proven mineral reserves (Years 1-5) |
|
|
183 |
|
|
|
3.91 |
|
|
|
2.29 |
|
|
|
1.0 |
|
|
|
74 |
|
Probable mineral reserves (Years 6-10) |
|
|
107 |
|
|
|
2.12 |
|
|
|
2.13 |
|
|
|
1.0 |
|
|
|
74 |
|
Total mineral reserves |
|
|
290 |
|
|
|
6.03 |
|
|
|
2.22 |
|
|
|
1.0 |
|
|
|
74 |
|
(1) |
The process efficiency is based on the type of extracted brine at each well over the course of the simulation, the average process efficiency over the entire LoM is approximately 51% for lithium and approximately 74% for potassium. |
(2) |
The values in the “Amount” column correspond to contained metallic lithium (LME) and potassium. |
(3) |
The average lithium and potassium concentration is weighted by the simulated extraction rates in each well |
(4) |
Comparisons of values may not add due to rounding of numbers and the differences caused by averaging |
(5) |
The mineral resource and reserve estim ate considers a 0.05% w/w cut-off grade for lithium based on the cost of generating lithium product, lithium carbonate sales, and the respective cost margin. Based on historical lithium prices from 2010 and the forecast to 2040, a projected lithium carbona te price of US $1 1 ,000 per metric ton with the corresponding cost and profit margin is considered with a small increase to accommodate the evaporation area and use of additives. A similar analysis was undertaken for K where the cut-off grade of 1% w /w has been set by SQM based on respective costs, sales, and margin. |
(6) |
This reserve estimate differs from the in-situ base reserve previously reported by SQM in 2020 (SQM, 2020) and considers the modifying factors of convert ing mineral resources to mineral reserves, including the production wellfield design and efficiency, as well as environmental and process recovery factors. The reserve estimate also considers the expiry of the Lease Agreement in 2030 (end of LoM). The Qual ified Persons for the Mineral Reserves are Álvaro Henríquez, Rodrigo Riquelme and Gino Slanzi. |
73 |
· |
Proven Reserves were specified for the first 5 years of the simulation given that the model is adequately calibrated to the 2015-2020 period, and the initial portion of the projected simulation has higher confidence due to less expected short-term changes in pumping, conceptual hydraulic parameters, and the water balance, among other factors. |
· |
Probable Reserves were conservatively assigned for the last 5 years of the simulation considering that the numerical model will be continually improved and recalibrated in the future due to potential medium to long term changes in neighboring pumping, conceptual hydraulic parameters, and the water balance, among other factors. |
|
|
Brine Volume (Million metric cubes) |
|
|
Amount (Million metric tons) |
|
|
Grades/Qualities (wt.%) |
|
|
Cut-off grades (wt.%) |
|
||||
Lithium |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Measured mineral resources |
|
|
2,254 |
|
|
|
5.4 |
|
|
|
0.20 |
|
|
|
0.05 |
|
Indicated mineral resources |
|
|
1,435 |
|
|
|
2.8 |
|
|
|
0.16 |
|
|
|
0.05 |
|
Measured + Indicated mineral resources |
|
|
3,689 |
|
|
|
8.2 |
|
|
|
0.18 |
|
|
|
0.05 |
|
Inferred mineral resources |
|
|
1,614 |
|
|
|
2.6 |
|
|
|
0.13 |
|
|
|
0.05 |
|
Potassium |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Measured mineral resources |
|
|
2,254 |
|
|
|
49.8 |
|
|
|
1.80 |
|
|
|
1.0 |
|
Indicated mineral resources |
|
|
1,435 |
|
|
|
30.0 |
|
|
|
1.70 |
|
|
|
1.0 |
|
Measured + Indicated mineral resources |
|
|
3,689 |
|
|
|
79.8 |
|
|
|
1.77 |
|
|
|
1.0 |
|
Inferred mineral resources |
|
|
1,614 |
|
|
|
34.9 |
|
|
|
1.77 |
|
|
|
1.0 |
|
74 |
(1) |
Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the mineral resource will be converted into mineral reserves upon the application of modifying factors. |
(2) |
. Mineral Resources are reported as in-situ and exclusive of Mineral Reserves , where the estimated Mineral Reserve without processing losses during the reported LoM (Chapter 12) and real declared extraction from 2021 were subtracted from the Mineral Resource inclusive of Mineral Reserves. A direct correlation between Proven Reserves and Measured Resources, as well as Probable Reserves and Indicated Resources was assumed . |
(3) |
Effective porosity was utilized to estimate the drainable brine volume based on the measurement techniques of the SQM porosity laboratory (Gas Displacement Pycnometer). The QP considers that the high frequency sampling of effective porosity, its large dataset, and general lack of material where specific retention can be dominant permits effective porosity to be a reasonable parameter for the resource estimate. |
(4) |
The values in the “Amount” column correspond to contained metallic lithium (LME) and potassium. |
(5) |
Comparison of values may not add due to the rounding of numbers and differences caused by averaging. |
(6) |
The mineral resource and reserve estimate considers a 0.05% w/w cut-off grade for lithium based on the cost of generating lithium product, lithium carbonate sales, and the respective cost margin. Based on historical lithium prices from 2010 and the forecast to 2040, a projected lithium carbonate price of US$11 ,000 per metric ton with the corresponding cost and profit margin is considered with a small increase to accommodate the evaporation area and use of additives. A similar analysis was undertaken for potassium where the cut-off grade of 1% w/w has been set by SQM based on respective costs, sales, and margin. |
(7) |
Álvaro Henriquez is the QP responsible for the Mineral Resources. |
75 |
76 |
77 |
|
|
Amount |
|
|
Grades/Qualities |
|
|
Cut-off grades |
|
|
Metallurgical recovery |
|||||||
|
|
Total Mton |
|
|
SQM Attributable MTon |
|
|
Li 2 O% |
|
|
Li 2 O% |
|
|
% |
||||
Proven mineral reserves |
|
|
21.5 |
|
|
|
10.8 |
|
|
|
1.48 |
|
|
|
0.5 |
|
|
75% Concentrator: 85% Refinery |
Probable mineral reserves |
|
|
62.4 |
|
|
|
31.2 |
|
|
|
1.60 |
|
|
|
0.5 |
|
|
75% Concentrator: 85% Refinery |
Total mineral reserves |
|
|
83.9 |
|
|
|
42.0 |
|
|
|
1.57 |
|
|
|
0.5 |
|
|
75% Concentrator: 85% Refinery |
(1) |
Mineral reserve tonnage and grade have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. Metallurgical processes are designed for a nominal 2Mpta ore feed. Process recovery to concentrate is estimated at 75% for lithium oxide for predominantly spodumene mineralization and 0% for other mineralization types. Refinery process recovery is estimated at 85%. Tantalum recovery is estimated at 0%. A total operating cost of US$4,979 for LiOH production was considered in the reserve evaluation. The price, cost, and mass yield parameters, along with the internal constraints of the current operations, result in mineral reserves cut-off grade of 0.5% lithium oxide based on a selling lithium hydroxide price of US$ 11,000 per ton. David Billington is responsible for the mineral reserves with an effective date: December 15, 2021. No material changes since the last reserve update. |
78 |
|
|
|
|
|
|
|
|
Resources |
|
|
Cut-off |
|
|
Metallurgical |
|
|||||
|
|
Amount |
|
|
Grades/Qualities |
|
|
grades |
|
|
recovery |
|
||||||||
|
|
Total Mton |
|
|
SQM Attributable MTon |
|
|
Li 2 O % |
|
|
Li 2 O % |
|
|
% |
|
|||||
Measured Mineral Resources |
|
|
27.0 |
|
|
|
13.5 |
|
|
|
1.58 |
|
|
|
0.5 |
|
|
|
75 |
% |
Indicated Mineral Resources |
|
|
61.0 |
|
|
|
30.5 |
|
|
|
1.45 |
|
|
|
0.5 |
|
|
|
75 |
% |
Measured + Indicated Mineral Resources |
|
|
88.0 |
|
|
|
44.0 |
|
|
|
1.49 |
|
|
|
0.5 |
|
|
|
75 |
% |
Inferred Mineral Resources |
|
|
7.0 |
|
|
|
3.5 |
|
|
|
1.38 |
|
|
|
0.5 |
|
|
|
75 |
% |
(1) |
Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. Mineral resources are reported exclusive of mineral reserves. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Resources have been reported as in situ (hard rock within optimized pit shell). Pit optimization and economics for derivation of cut-off grade include mine gate pricing of US$ 800 per ton of 6% Li2O concentrate, AU$19 per bcm mining cost (LoM average cost-variable by depth), AU$65 processing cost per ton. Mining dilution set at 5% and recovery at 95%. Royalty fees 5%. The optimization considered for the concentrator is 75%. Costs estimated in Australian Dollars were converted to US Dollars based on an exchange rate of 0.75AU$:1.00US$. These economics define a cut-off grade of 0.50% lithium oxide. Kerry Griffin is the QP responsible for the mineral resource estimate with an effective date: October 6, 2021. No material changes since the last update. |
|
|
|
|
|
|
|
|
Resources |
|
|
Cut-off |
|
|
Metallurgical |
|
|||||
|
|
Amount |
|
|
Grades/Qualities |
|
|
grades |
|
|
recovery |
|
||||||||
|
|
Total Mton |
|
|
SQM Attributable MTon |
|
|
Li 2 O% |
|
|
Li 2 O% |
|
|
% |
|
|||||
Measured Mineral Resources |
|
|
71.0 |
|
|
|
35.5 |
|
|
|
1.57 |
|
|
|
0.5 |
|
|
|
75 |
% |
Indicated Mineral Resources |
|
|
107.0 |
|
|
|
53.5 |
|
|
|
1.51 |
|
|
|
0.5 |
|
|
|
75 |
% |
Measured + Indicated Mineral Resources |
|
|
178.0 |
|
|
|
89.0 |
|
|
|
1.54 |
|
|
|
0.5 |
|
|
|
75 |
% |
Inferred Mineral Resources |
|
|
8.0 |
|
|
|
4.0 |
|
|
|
1.44 |
|
|
|
0.5 |
|
|
|
75 |
% |
79 |
(1) |
Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding. Mineral resources are reported inclusive of mineral reserves. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Resources have been reported as in situ (hard rock within optimized pit shell). Pit optimization and economics for derivation of cut-off grade include mine gate pricing of US$ 800 per ton of 6% Li2O concentrate, AU$19 per bcm mining cost (LoM average cost-variable by depth), AU$65 processing cost per ton. Mining dilution set at 5% and recovery at 95%. Royalty fees 5%. The optimization considered for the concentrator is 75%. Costs estimated in Australian Dollars were converted to US Dollars based on an exchange rate of 0.75AU$:1.00US$. These economics define a cut-off grade of 0.50% Li 2 O. Kerry Griffin is the QP responsible for the mineral resource estimate with an effective date: October 6, 2021. No material changes since last update. |
80 |
81 |
82 |
UNRESOLVED STAFF COMMENTS |
OPERATING AND FINANCIAL REVIEW AND PROSPECTS |
5.A. |
Operating Results |
· |
the production and sale of specialty plant nutrients; |
· |
the production and sale of iodine and its derivatives; |
· |
the production and sale of lithium and its derivatives; |
· |
the production and sale of potassium, including potassium chloride and potassium sulfate; |
· |
the production and sale of industrial chemicals, principally industrial nitrates and solar salts; and |
· |
the purchase and sale of other commodity fertilizers for use primarily in Chile. |
· |
trends in demand for and supply of our products, including global economic conditions, which impact prices and sales volumes; |
· |
efficient operations of our facilities, particularly as some of them run at production capacity; |
83 |
· |
our ability to accomplish our capital expenditures program in a timely manner; |
· |
the levels of our inventories; |
· |
trends in the exchange rate between the U.S. dollar and Chilean peso, as a significant portion of the cost of sales is in Chilean pesos, and trends in the exchange rate between the U.S. dollar and the euro, as a significant portion of our sales is denominated in euros; and |
· |
energy, logistics, raw materials, labor and maintenance costs. |
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||||||||||||||
|
|
% |
|
|
US$ |
|
|
% |
|
|
US$ |
|
|
% |
|
|
US$ |
|
||||||
Specialty plant nutrition |
|
|
32 |
% |
|
|
908.8 |
|
|
|
39 |
% |
|
|
701.7 |
|
|
|
37 |
% |
|
|
723.9 |
|
Iodine and derivatives |
|
|
15 |
% |
|
|
437.9 |
|
|
|
18 |
% |
|
|
334.7 |
|
|
|
19 |
% |
|
|
371.0 |
|
Lithium and derivatives |
|
|
33 |
% |
|
|
936.1 |
|
|
|
21 |
% |
|
|
383.4 |
|
|
|
26 |
% |
|
|
505.7 |
|
Potassium |
|
|
15 |
% |
|
|
416.6 |
|
|
|
12 |
% |
|
|
209.3 |
|
|
|
11 |
% |
|
|
212.2 |
|
Industrial chemicals |
|
|
5 |
% |
|
|
132.0 |
|
|
|
9 |
% |
|
|
160.6 |
|
|
|
5 |
% |
|
|
94.9 |
|
Other products and services |
|
|
1 |
% |
|
|
30.8 |
|
|
|
2 |
% |
|
|
27.6 |
|
|
|
2 |
% |
|
|
36.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
100 |
|
|
|
2,862.3 |
|
|
|
100 |
|
|
|
1,817.2 |
|
|
|
100 |
|
|
|
1,1943.7 |
|
84 |
|
|
Year Ended December 31, |
|
|||||||||||||||||||||
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||||||||||||||
(in millions of US$) |
|
US$ |
|
|
% |
|
|
US$ |
|
|
% |
|
|
US$ |
|
|
% |
|
||||||
Revenues |
|
|
2,862.3 |
|
|
|
100.0 |
|
|
|
1,817.2 |
|
|
|
100.0 |
|
|
|
1,943.7 |
|
|
|
100.0 |
|
Cost of sales (1) |
|
|
(1,772.2 |
) |
|
|
61.9 |
|
|
|
(1,334.3 |
) |
|
|
73.4 |
|
|
|
(1,383.6 |
) |
|
|
71.2 |
|
Gross profit |
|
|
1,090.1 |
|
|
|
38.1 |
|
|
|
482.9 |
|
|
|
26.6 |
|
|
|
560.1 |
|
|
|
28.8 |
|
Other income |
|
|
19.6 |
|
|
|
0.7 |
|
|
|
26.9 |
|
|
|
1.5 |
|
|
|
18.2 |
|
|
|
0.9 |
|
Administrative expenses |
|
|
(118.9 |
) |
|
|
4.2 |
|
|
|
(107.0 |
) |
|
|
5.9 |
|
|
|
(117.2 |
) |
|
|
6.0 |
|
Other expenses (2) |
|
|
(60.6 |
) |
|
|
2.1 |
|
|
|
(99.6 |
) |
|
|
5.5 |
|
|
|
(26.0 |
) |
|
|
1.3 |
|
Net impairment gains or reversal (losses) of financial assets |
|
|
(0.2 |
) |
|
|
0.0 |
|
|
|
4.7 |
|
|
|
0.7 |
|
|
|
(1.1 |
) |
|
|
- |
|
Other gains (losses) |
|
|
(2.6 |
) |
|
|
00.1 |
|
|
|
0.5 |
|
|
|
0.3 |
|
|
|
0.4 |
|
|
|
0.5 |
|
Finance income |
|
|
4.7 |
|
|
|
0.2 |
|
|
|
13.7 |
|
|
|
0.8 |
|
|
|
26.3 |
|
|
|
1.4 |
|
Finance expenses |
|
|
(84.6 |
) |
|
|
3.0 |
|
|
|
(82.2 |
) |
|
|
4.5 |
|
|
|
(76.9 |
) |
|
|
4.0 |
|
Equity income of associates and joint ventures accounted for using the equity method |
|
|
11.1 |
|
|
|
0.4 |
|
|
|
8.9 |
|
|
|
0.5 |
|
|
|
9.8 |
|
|
|
0.5 |
|
Foreign currency exchange differences |
|
|
(17.2 |
) |
|
|
0.6 |
|
|
|
(4.4 |
) |
|
|
0.2 |
|
|
|
(2.2 |
) |
|
|
0.1 |
|
Income before income tax expense |
|
|
841.2 |
|
|
|
29.4 |
|
|
|
238.5 |
|
|
|
13.1 |
|
|
|
390.6 |
|
|
|
20.1 |
|
Income tax expense |
|
|
(249.0 |
) |
|
|
8.7 |
|
|
|
(70.2 |
) |
|
|
3.9 |
|
|
|
(110.0 |
) |
|
|
5.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit attributable to: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Controlling interests |
|
|
585.5 |
|
|
|
20.5 |
|
|
|
164.5 |
|
|
|
9.1 |
|
|
|
278.1 |
|
|
|
14.3 |
|
Non-controlling interests |
|
|
6.8 |
|
|
|
0.2 |
|
|
|
3.8 |
|
|
|
0.2 |
|
|
|
2.5 |
|
|
|
0.1 |
|
Profit for the year |
|
|
592.2 |
|
|
|
20.7 |
|
|
|
168.4 |
|
|
|
9.3 |
|
|
|
280.6 |
|
|
|
14.4 |
|
(1) |
Cost of sales includes the payment obligations under lease contract with Corfo, which includes quarterly lease payments based on product sales from leased mining properties and since 2018, annual contributions to research and development, to local communities, to the Antofagasta Regional Government and to the municipalities of San Pedro de Atacama, María Elena and Antofagasta. The expenses related to Corfo were US$247.6 million in 2021, US$74.4 million in 2020 and US$143.9 million in 2019. |
(2) |
Other expenses for 2020 includes a settlement fee related to a class action lawsuit against the Company in the United States which had a one-time, before-tax effect of US$62.5 million. |
(in Th. MT) |
|
2021 |
|
|
2020 |
|
|
% Change |
|
|||
Lithium and derivatives |
|
|
101.1 |
|
|
|
64.6 |
|
|
|
56 |
% |
85 |
(in Th. MT) |
|
2021 |
|
|
2020 |
|
|
% Change |
|
|||
Potassium nitrate and sodium potassium nitrate |
|
|
643.6 |
|
|
|
575.2 |
|
|
|
12 |
% |
Specialty blends |
|
|
304.0 |
|
|
|
271.3 |
|
|
|
12 |
% |
Other specialty plant nutrients (*) |
|
|
174.9 |
|
|
|
164.4 |
|
|
|
6 |
% |
Sodium nitrate |
|
|
32.1 |
|
|
|
25.6 |
|
|
|
25 |
% |
(in Th. MT) |
|
2021 |
|
|
2020 |
|
|
% Change |
|
|||
Iodine and derivatives |
|
|
12.3 |
|
|
|
9.7 |
|
|
|
27 |
% |
86 |
(in Th. MT) |
|
2021 |
|
|
2020 |
|
|
% Change |
|
|||
Potassium chloride and potassium sulfate |
|
|
893.2 |
|
|
|
726.7 |
|
|
|
23 |
% |
(in Th. MT) |
|
2021 |
|
|
2020 |
|
|
% Change |
|
|||
Industrial chemicals |
|
|
174.5 |
|
|
|
225.1 |
|
|
|
-22 |
% |
87 |
Price US$/MT Li2CO3 |
|
Lease payment rate |
$0 - $4,000 |
|
6.8% |
$4,000 - $5,000 |
|
8.0% |
$5,000 - $6,000 |
|
10.0% |
$6,000 - $7,000 |
|
17.0% |
$7,000 - $10,000 |
|
25.0% |
Over US$10,000 |
|
40.0% |
88 |
89 |
(in milli ons of US$) |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Net cash from operating activities |
|
|
822.5 |
|
|
|
182.2 |
|
|
|
427.0 |
|
Net cash used in financing activities |
|
|
1,206.5 |
|
|
|
(94.1 |
) |
|
|
105.9 |
|
Net cash from (used in) investing activities |
|
|
(1,006.9 |
) |
|
|
(167.1 |
) |
|
|
(485.5 |
) |
Effects of exchange rate fluctuations on cash and cash equivalents |
|
|
(16.1 |
) |
|
|
(0.4 |
) |
|
|
(14.9 |
) |
Net increase (decrease) in cash and cash equivalents |
|
|
(1,005.9 |
) |
|
|
(79.4 |
) |
|
|
(32.5 |
) |
90 |
91 |
Debt Instrument (1) |
|
Current Amount (ThUS$) |
|
|
Non- Current Amount (ThUS$) |
|
|
Interest Rate |
|
|
Issue Date |
|
Maturity Date |
|
Amortization |
|
|||
Bilateral loan — US$70 million |
|
|
309 |
|
|
|
69,554 |
|
|
|
1.36 |
% |
|
May 29, 2019 |
|
May 30, 2023 |
|
Bullet |
|
3.63% Notes due 2023 — US$300 million |
|
|
4,733 |
|
|
|
299,679 |
|
|
|
3.63 |
% |
|
Apr. 03, 2013 |
|
Apr. 03, 2023 |
|
Bullet |
|
4.38% Notes due 2025 — US$250 million |
|
|
1,451 |
|
|
|
248,989 |
|
|
|
4.38 |
% |
|
Oct. 23, 2014 |
|
Jan. 28, 2025 |
|
Bullet |
|
4.25% Notes due 2029—US$450 million |
|
|
6,918 |
|
|
|
445,488 |
|
|
|
4.25 |
% |
|
May 7, 2019 |
|
May 7, 2029 |
|
Bullet |
|
4.25% Notes due 2050—US$400 million |
|
|
2,974 |
|
|
|
393,594 |
|
|
|
4.25 |
% |
|
Jan. 22, 2020 |
|
Jan. 22, 2050 |
|
Bullet |
|
3.50% Notes due 2051—US$700 million Green Bond |
|
|
165 |
|
|
|
685,102 |
|
|
|
3.5 |
% |
|
Sep. 10, 2021 |
|
Sep. 10, 2051 |
|
Bullet |
|
Series H Bond — UF 4 million. |
|
|
14,613 |
|
|
|
99,822 |
|
|
|
4.90 |
% |
|
Jan. 13, 2009 |
|
Jan. 05, 2030 |
|
Semiannual, beginning in 2019 |
|
Series O Bond — UF 1.5 million |
|
|
261 |
|
|
|
54,746 |
|
|
|
3.80 |
% |
|
Apr. 04, 2012 |
|
Feb. 01, 2033 |
|
Bullet |
|
Series P Bond — UF 3 million |
|
|
735 |
|
|
|
111,109 |
|
|
|
3.25 |
% |
|
Mar. 31, 2018 |
|
Jan. 15, 2028 |
|
Bullet |
|
Series Q Bond — UF 3 million |
|
|
1,236 |
|
|
|
110,842 |
|
|
|
3.45 |
% |
|
Nov. 8, 2018 |
|
Jun. 1, 2038 |
|
Bullet |
|
(1) |
UF denominated bonds are fully hedged to U.S. dollars with cross-currency swaps. Nota 14.4 b y d |
Maturity (1) |
|
Amount |
2022 |
|
13.3 |
2023 |
|
383.3 |
2024 |
|
13.3 |
2025 |
|
263.3 |
2026 and thereafter |
|
1,885.2 |
Total |
|
2,558.6 |
(1) |
Only the principal amount has been included. For the UF-denominated local bonds, the amounts presented reflect the real U.S. dollar obligation as of December 31, 2021 not including the effects of the cross-currency swaps that hedge these bonds to the U.S. dollar and which had, as of December 31, 2021, a market value of US$81.9 million against SQM. |
92 |
93 |
For the years ended December 31, |
|
|||||||||||
2021 |
|
|
2020 |
|
|
2019 |
|
|||||
(ThUS$) |
|
|
(ThUS$) |
|
|
(ThUS$) |
|
|||||
Profit for the Year |
|
|
592.2 |
|
|
|
168.4 |
|
|
|
280.6 |
|
(+) Depreciation and amortization expenses |
|
|
214.2 |
|
|
|
203.9 |
|
|
|
201.2 |
|
(+) Finance costs |
|
|
84.6 |
|
|
|
82.2 |
|
|
|
77.9 |
|
(+) Income tax |
|
|
249.0 |
|
|
|
70.2 |
|
|
|
110.0 |
|
EBITDA |
|
|
1,140.1 |
|
|
|
524.6 |
|
|
|
668.9 |
|
(-) Other income |
|
|
19.6 |
|
|
|
26.9 |
|
|
|
18.2 |
|
(-) Other gains (losses) |
|
|
(2.6 |
) |
|
|
(5.3 |
) |
|
|
(0.4 |
) |
(-) Share of Profit of associates and joint ventures accounted for using the equity method |
|
|
11.1 |
|
|
|
8.9 |
|
|
|
9.8 |
|
(+) Other Expenses by Function |
|
|
(60.6 |
) |
|
|
(99.6 |
) |
|
|
26.0 |
|
(+) Net impairment gains on reversal (losses) of financial assets |
|
|
(0.2 |
) |
|
|
4.7 |
|
|
|
(1.1 |
) |
(-) Finance income |
|
|
4.7 |
|
|
|
13.7 |
|
|
|
26.3 |
|
(-) Currency differences |
|
|
(17.2 |
) |
|
|
(4.4 |
) |
|
|
(2.2 |
) |
Adjusted EBITDA |
|
|
1,185.5 |
|
|
|
579.8 |
|
|
|
644.2 |
|
5.C. |
Research and Development, Patents and Licenses, etc. |
94 |
95 |
5.E. |
Critical Accounting Estimates |
5.F. |
Safe Harbor |
96 |
DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES |
6.A. |
Directors and Senior Management |
Name |
|
Position and relevant experience |
|
Current position held since |
Alberto Salas M. |
|
Chairman of the Board and Director. Mr. Salas earned a degree in Mining Civil Engineering from the Universidad de Chile and holds a post-graduate degree in Corporate Finance from Adolfo Ibáñez University, Chile. He is a Board member of Cia. Minera Valle Central, ENAEX S. A. and Amerigo Resources Ltd. He is also president of the Mining Engineers-Foundation University of Chile, the Chilean Pacific Foundation, the Inter-American Mining Society and the Latin American Mining Organization. He is currently chairman of the National Institute of Professional Training (INACAP). |
|
April 2018 |
|
|
|
|
|
Patricio Contesse F. |
|
Vice Chairman of the Board and Director. Mr. Contesse is a lawyer with a degree from the Pontificia Universidad Católica de Chile. Previously, he was a Board member of SQM from 2013 until 2015. Since 2011, he has held senior executive positions in Pampa Group, where he is currently Vice Chairman of the Boards of Directors of the Pampa Group entities. Additionally, he is a member of the Board and Chairman of the Director’s Committee of Invercap S.A. |
|
April 2018 |
97 |
Name |
|
Position and relevant experience |
|
Current position held since |
Georges de Bourguignion A. |
|
Director. Mr. de Bourguignon earned a degree in economics from the Pontificia Universidad Católica de Chile, where he later was a professor. He holds an MBA from the Harvard Business School. He is currently Chairman of Asset Chile S.A. and of Asset General Fund Administrator S.A., two Chilean corporate finance and asset management firms which he founded in 1995. He also serves as a Board member of Embotelladora Andina, a Latin American Coca-Cola bottler, and of Grupo Tanica, a Chilean real estate developer. In the last 12 years, he has been a Board member of several public and private Chilean companies with extensive international operations. He has served as: an independent board member of LATAM Airlines where he oversaw the merger of LAN and TAM Airlines; Vice Chairman of La Polar, heading its exit from bankruptcy proceedings; and a director of the Chilean salt producer Sal Lobos following its acquisition by the German Group K + S. Prior to co-founding Asset Chile, he was an executive at Citibank S.A. in Chile. |
|
April 2019 |
|
|
|
|
|
Hernán Büchi B. |
|
Director. Mr. Büchi earned a degree in Civil Engineering from the Universidad de Chile. He served on the SQM Board of Directors for several years until April 2016, before rejoining in 2017. He is currently a Board member of Quiñenco S.A. and S.A.C.I. Falabella, among others. He is also Chairman of the Board of Directors of the Universidad del Desarrollo. |
|
April 2017 |
|
|
|
|
|
Laurence Golborne R. |
|
Director. Mr. Golborne earned a degree in Industrial Civil Engineering from the Universidad Católica de Chile. He is a member of the Board of Ripley Corp. S.A., and Aventura S.A. (Perú) and Metalúrgica Arrigoni S.A., and President of Tavamay S.A. (Paraguay). Previously, Mr. Golborne was Chilean Minister of the State during 2010-2012, CEO of Cencosud S.A., and Corporate Director of Finance at Gener S.A., among other roles in various companies. |
|
April 2018 |
|
|
|
|
|
Gonzalo Guerrero Y. |
|
Director. Mr. Guerrero earned a law degree from the Universidad de Chile and a Masters of Business Law from the Universidad Adolfo Ibáñez. He was General Counsel and substitute Board member of Integramédica S.A. for more than seven years and was a Director of Inversiones Oro Blanco S.A., Asfaltos Chilenos S.A., VNT S.A. (Vantrust Capital Asset Management) and SMA Clinica Internacional S.A. (Perú), among others. Currently, he is an Executive Board member of Guerrero and Associates, Chairman of the Board of Sanasalud S.A., director of SQM Salar S.A. and Chairman of the Fundación para el Desarrollo Social y Patrimonial de Maria Elena. . |
|
April 2017 |
98 |
Name |
|
Position and relevant experience |
|
Current position held since |
Ashley Ozols |
|
Director. Mr. Ozols earned a commerce degree from the University of New South Wales Sydney and is also a CFA charterholder. He is based in Australia and has broad international business experience specializing in providing strategic advisory and financing solutions to American, Australian and Asian -based clients. Between 2003 and 2017, he worked at several investment banks, including Macquarie, Grant Samel, and CLSA. Between 2017 and beginning his role as board member at SQM, he worked at Tianqi Lithium as a senior executive focused on business development. |
|
December 2021 |
|
|
|
|
|
Francisco Ugarte L. |
|
Director. Mr. Ugarte is a lawyer with a degree from the Universidad Católica de Chile and LL.M. from the Faculty of Law of the University of Chicago. He is a partner at Carey y Cía Ltda, the largest law firm in Chile. Mr. Ugarte has vast experience working with international and Chilean financial companies and institutions in mergers and acquisitions, financing, capital and debt offerings and other corporate matters. Mr. Ugarte holds and has held management positions in several local companies, such as Bci Corredor de Bolsa, Votorantim Andina and Compañía Industrial El Volcán. |
|
April 2019 |
Name |
|
Position and relevant experience |
|
Current position held since |
Ricardo Ramos R. |
|
Chief Executive Officer. Mr. Ramos earned an industrial engineering degree from the Pontificia Universidad Católica de Chile. In 1989, he joined SQM as Finance Advisor and served as Chief Financial Officer and Vice President of Corporate Services from 1994 until 2018, before assuming his current role in January 2019. |
|
January 2019 |
|
|
|
|
|
Gerardo Illanes G. (1) |
|
Chief Financial Officer. Mr. Illanes earned an engineering degree from the Universidad Católica de Chile and a Master of Business Administration from Emory University’s Goizueta Business School. In 2006, he joined SQM and has served in several positions within the finance area at our headquarters in Santiago, Chile and in subsidiaries around the world. Mr. Illanes is also a member of the Board of Soquimich Comercial. In May 2016, he became Vice President of Finance, and assumed his current role in October 2018. |
|
October 2018 |
99 |
Name |
|
Position and relevant experience |
|
Current position held since |
Gonzalo Aguirre T. |
|
General Counsel. Mr. Aguirre earned a degree in law from the Universidad Católica de Chile and a Master of Laws (LL.M) degree from Georgetown University Law Center. He joined SQM in April 2016 and has served as Legal Vice President since September 2016. Prior to joining SQM, he worked at SunEdison as Head of Legal for Latin America and at AES Gener, where he served as a counsel on corporate and project matters. Prior to his in-house experience, he worked for Carey y Cía Ltda, Paul Hastings LLP (as an international legal consultant) and Vial and Palma, where his practice focused on corporate and financial matters. He is admitted to practice in Chile and in Washington, D.C., as a special legal consultant. |
|
September 2016 |
|
|
|
|
|
Pablo Altimiras C. |
|
Executive Vice President of Nitrates and Iodine Businesses. Mr. Altimiras earned an engineering degree and a Master of Business Administration from the Universidad Católica de Chile. In 2007, he joined SQM as Chief of Logistics Projects. In 2009, he was promoted to Regulatory Affairs Director. He was Business Development Vice Manager from 2010 to 2011 and Development and Planning Manager in 2012. In 2016, he became Vice President of Business Development and Planning. . In October 2018, he became Vice President of Lithium and Iodine Businesses and assumed his current role in the Company in December 2021. |
|
December 2021 |
|
|
|
|
|
José Miguel Berguño C. (2) |
|
Vice President of Corporate Services. Mr. Berguño earned an engineering degree and Master of Business Administration from the Universidad Católica de Chile. In 1998, he joined SQM as Planning Engineer. In 2001, he served as Supply Chain Manager, and in 2006 he was Human Resources Manager. From 2010 to 2011, he was the National Director of Science under the Minister of Labor. In 2012, he was Human Resources Manager for Vitamina Work Life. In 2013, he resumed his role as Supply Chain Manager at SQM, and in 2016 took on the position of Vice President of Human Resources and Performance. In 2019, he became Vice President of Operations of Nitrates and Iodine and assumed his current role in December 2021. |
|
December 2021 |
100 |
Name |
|
Position and relevant experience |
|
Current position held since |
Carlos Díaz O. |
|
Executive Vice President of Lithium. Mr. Díaz earned an engineering degree and a Master of Business Administration from the Pontificia Universidad Católica de Chile. In 1996, he joined SQM as Planning Engineer in the Sales Division. He was promoted to Planning Manager in 1998. In 2002, he assumed the position of Deputy Financial Manager of the Commercial Offices and in 2006, he became our Logistics Manager. In 2019 he became Vice President of Operations, Potassium and Lithium and assumed his current role in December 2021. |
|
December 2021 |
|
|
|
|
|
Ana María Muñoz Blawciak
|
|
Risk, Compliance and Internal Audit Manager. Ms. Muñoz is a lawyer from Pontificia Universidad Católica de Chile with an LLM from Georgetown University and holds Diplomas in Corporate Governance, Free Competition, Fraud Prevention and Detection, among others. Prior to joining SQM she worked at Unilever from 2007 to 2009, ENAP from 2010 to 2015, Nissan from 2015 to 2019 and Stryker from 2020 to 2021, where she led Legal and Compliance areas, applying highly advanced methodologies for compliance, risks and internal audit, with national and international standards, especially the guidelines of the U.S. Department of Justice (DOJ), the U.S. Securities and Exchange Commission (SEC) in matters of compliance programs for companies related to anti-corruption under the U.S. Foreign Corrupt Practices Act (FCPA). She also participates in seminars and is invited to teach in courses about this related to these topics. |
|
July 2021
|
(1) |
As of December 31, 2021, Mr. Illanes beneficially owned 800 SQM shares. |
(2) |
As of December 31, 2021, Mr. Berguño beneficially owned 380 SQM shares. |
101 |
6.B. |
Compensation |
|
|
SQM Board Meeting (Ch$) |
|
|
SQM Directors’ Committee (Ch$) |
|
|
SQM Health, Safety and Environment Committee (Ch$) |
|
|
Corporate Governance Committee (Ch$) |
|
|
Total (Ch$) |
|
|||||
Alberto Salas Muñoz |
|
|
391,278,653 |
|
|
|
89,115,962 |
|
|
|
— |
|
|
|
— |
|
|
|
480,394,615 |
|
Patricio Contesse Fica |
|
|
355,424,726 |
|
|
|
— |
|
|
|
35,853,927 |
|
|
|
35,853,927 |
|
|
|
427,132,580 |
|
Georges de Bourguignon Arndt |
|
|
267,347,181 |
|
|
|
— |
|
|
|
35,853,927 |
|
|
|
— |
|
|
|
303,201,108 |
|
Hernán Büchi Buc |
|
|
267,347,181 |
|
|
|
89,115,961 |
|
|
|
— |
|
|
|
— |
|
|
|
356,463,142 |
|
Laurence Golborne Riveros |
|
|
267,347,181 |
|
|
|
89,115,962 |
|
|
|
— |
|
|
|
— |
|
|
|
356,463,143 |
|
Gonzalo Guerrero Yamamoto |
|
|
267,347,181 |
|
|
|
— |
|
|
|
— |
|
|
|
35,853,927 |
|
|
|
303,201,108 |
|
Francisco Ugarte Larrain |
|
|
267,347,181 |
|
|
|
— |
|
|
|
— |
|
|
|
35,853,927 |
|
|
|
303,201,108 |
|
Robert J. Zatta |
|
|
266,194,335 |
|
|
|
— |
|
|
|
35,661,786 |
|
|
|
— |
|
|
|
301,856,121 |
|
Total |
|
|
2,349,633,619 |
|
|
|
267,347,885 |
|
|
|
107,369,640 |
|
|
|
107,561,781 |
|
|
|
2,831,912,925 |
|
102 |
6.C. |
Board Practices |
103 |
(a) |
Examined the information regarding the financial statements of SQM for the 2021 fiscal year and the report issued thereon by the external auditors of SQM, Similarly, it also examined the Company’s Interim Consolidated Financial Statements for the 2021 fiscal year. |
(b) |
Proposed to the Company’s Board of Directors the names of the External Auditors and the Independent Credit Rating Agencies for SQM and the Company’s Board of Directors, in turn, suggested their appointment to the respective Annual Ordinary Shareholders Meeting of SQM. The Company’s Board of Directors approved said suggestions and the Shareholders’ Meeting also ratified them. |
(c) |
Examined and approved the remuneration system and the compensation plans for the Company’s employees and senior executives. |
Section |
|
NYSE Standards |
|
SQM practices pursuant to Chilean Stock Exchange regulations |
303A.01 |
|
Listed companies must have a majority of independent directors. |
|
There is no legal obligation to have a majority of independent directors on the Board but, according to Chilean law, the Company’s directors cannot serve as executive officers. |
104 |
Section |
|
NYSE Standards |
|
SQM practices pursuant to Chilean Stock Exchange regulations |
303A.02 |
|
No director qualifies as “independent” unless the Board of Directors affirmatively determines that the director has no material relationship with the listed company (either directly or as a partner, shareholder or officer of an organization that has a relationship with the company). In addition, a director is not independent if: (i) The director is, or has been within the last three years, an employee of the listed company, or an immediate family member is, or has been within the last three years, an executive officer, of the listed company. (ii) The director has received, or has an immediate family member who has received, during any twelve-month period within the last three years, more than $120,000 in direct compensation from the listed company, other than director and committee fees and pension or other forms of deferred compensation for prior service (provided such compensation is not contingent in any way on continued service). (iii) (A) The director is a current partner or employee of a firm that is the listed company’s internal or external auditor; (B) the director has an immediate family member who is a current partner of such a firm; (C) the director has an immediate family member who is a current employee of such a firm and personally works on the listed company’s audit; or (D) the director or an immediate family member was within the last three years a partner or employee of such a firm and personally worked on the listed company’s audit within that time. (iv) The director or an immediate family member is, or has been with the last three years, employed as an executive officer of another company where any of the listed company’s present executive officers at the same time serves or served on that company’s compensation committee. (v) The director is a current employee, or an immediate family member is a current executive officer, of a company that has made payments to, or received payments from, the listed company for property or services in an amount which, in any of the last three fiscal years, exceeds the greater of $1 million, or 2% of such other company’s consolidated gross revenues. |
|
A director would not be considered independent if, at any time, within the last 18 months he or she: (i) Maintained any relationship of a relevant nature and amount with the company, with other companies of the same group, with its controlling shareholder or with the principal officers of any of them or has been a director, manager, administrator or officer of any of them; (ii) Maintained a family relationship with any of the members described in (i) above; (iii) Has been a director, manager, administrator or principal officer of non-profit organizations that have received contributions from (i) above; (iv) Has been a partner or a shareholder that has had or controlled, directly or indirectly, 10% or more of the capital stock or has been a director, manager, administrator or principal officer of an entity that has provided consulting or legal services for a relevant consideration or external audit services to the persons listed in (i) above; (v) Has been a partner or a shareholder that has had or controlled, directly or indirectly, 10% or more of the capital stock or has been a director, manager, administrator or principal officer of the principal competitor, supplier or clients. |
303A.03 |
|
The non-management directors must meet at regularly scheduled executive sessions without management. |
|
These meetings are not needed given that directors cannot serve as executive officers. |
303A.04 |
|
(a) Listed companies must have a nominating/corporate governance committee composed entirely of independent directors. (b) The nominating/corporate governance committee must have a written charter that addresses: (i) the committee’s purpose and responsibilities – which, at minimum, must be to: identify individuals qualified to become board members, consistent with criteria approved by the board, and to select, or to recommend that the board select, the director nominees for the next annual meeting of shareholders; develop and recommend to the board a set of corporate governance guidelines applicable to the corporation; and oversee the evaluation of the board and management; and (ii) an annual performance evaluation of the committee. |
|
This committee is not required as such in the Chilean regulations. However, pursuant to Chilean regulations SQM has a Directors’ Committee (see Board practices above). |
105 |
Section |
|
NYSE Standards |
|
SQM practices pursuant to Chilean Stock Exchange regulations |
303A.05 |
|
Listed companies must have a compensation committee composed entirely of independent directors, and must have a written charter |
|
This committee is not required as such in the Chilean regulations. Pursuant to Chilean regulations, SQM has a Directors’ Committee (see Board practices above) that is responsible for reviewing management’s compensation. |
303A.06 |
|
Listed companies must have an audit committee that satisfies the requirements of Rule 10A-3 of the Securities Exchange Act of 1934, as amended. |
|
This committee is not required as such in the Chilean regulations. Pursuant to Chilean regulations, SQM has a Directors’ Committee that performs the functions of an audit committee and that complies with the requirements of the NYSE corporate governance rules. |
303A.07 |
|
The audit committee is subject to requirements that are in addition to Section 303A.06. This includes, among others, the following requirements: the audit committee must have a minimum of three members; all audit committee members must satisfy requirements of independence; the audit committee must have a written charter; each listed company must have an internal audit function to provide management with ongoing assistance of the company’s risk management process and the system of internal controls. |
|
Pursuant to Section 303A.00, SQM is not required to comply with requirements in 303A.07. Pursuant to Chilean Regulations SQM has a Directors’ Committee (see Board practices above) that also performs the functions of an audit committee with certain requirements of independence. |
303A.08 |
|
Shareholders must have the opportunity to vote on all equity-compensation plans and material revisions thereto. |
|
SQM does not have equity compensation plans. However, as mentioned in Item 6.B. Compensation, SQM does have a long-term cash bonus compensation plan. Directors and executives may only acquire SQM shares by individual purchases. The purchaser must give notice of such purchases to the Company and the Financial Market Commission. |
303A.09 |
|
Listed companies must adopt and disclose corporate governance guidelines. |
|
Chilean law does not require that corporate governance guidelines be adopted. Directors’ responsibilities and access to management and independent advisors are directly provided for by applicable law. Directors’ compensation is approved at the annual meeting of shareholders, pursuant to applicable law. |
303A.10 |
|
Listed companies must adopt and disclose a code of business conduct and ethics for directors, officers and employees and promptly disclose any waivers of the code for directors or executive officers. |
|
Not required in the Chilean regulations. SQM has adopted and disclosed a Code of Business Conduct and Ethics, available at the Company’s website, www.sqm.com. |
303A.11 |
|
Listed foreign private issuers must disclose any significant ways in which their corporate governance practices differ from those followed by domestic companies under NYSE listed standards. |
|
Pursuant to 303A.11, this table shows a comparative summary of differences in corporate governance practices followed by SQM under Chilean regulations and those applicable to U.S. domestic issuers pursuant to Section 303A. |
303A.12 |
|
Each listed company CEO must (a) certify to the NYSE each year that he or she is not aware of any violation by the listed company of NYSE corporate governance listing standards; (b) promptly notify the NYSE in writing after any executive officer becomes aware of any non-compliance with any applicable provisions of Section 303A; and (c) submit an executed Written Affirmation annually to the NYSE. |
|
Not required in the Chilean regulations. The CEO must only comply with Section 303A.12 (b) and (c). |
106 |
Section |
|
NYSE Standards |
|
SQM practices pursuant to Chilean Stock Exchange regulations |
303A.13 |
|
The NYSE may issue a public reprimand letter to any listed company that violates a NYSE listing standard. |
|
Not specified in the Chilean regulations. |
|
|
As of December 31, |
|
|||||||||
|
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Employees in Chile |
|
|
5,671 |
|
|
|
5,080 |
|
|
|
5,274 |
|
Employees outside of Chile |
|
|
410 |
|
|
|
427 |
|
|
|
467 |
|
Total employees |
|
|
6,081 |
|
|
|
5,507 |
|
|
|
5,741 |
|
6.E. |
Share Ownership |
107 |
MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS |
7.A. |
Major Shareholders |
Shareholder |
|
Number of Series A shares beneficially owned |
|
|
% Series A shares |
|
|
Number of Series B shares beneficially owned |
|
|
% Series B shares |
|
|
% total shares |
|
|||||
The Bank of New York Mellon ADRs |
|
|
— |
|
|
|
— |
|
|
|
68,082,814 |
|
|
|
47.67 |
% |
|
|
23.84 |
% |
Tianqi Lithium Corporation (1) |
|
|
62,556,568 |
|
|
|
43.80 |
% |
|
|
3,521,079 |
|
|
|
2.47 |
% |
|
|
23.13 |
% |
Sociedad de Inversiones Pampa Calichera S.A. (2) (3) |
|
|
44,989,231 |
|
|
|
31.50 |
% |
|
|
— |
|
|
|
— |
|
|
|
15.75 |
% |
Potasios de Chile S.A. (3) |
|
|
18,179,147 |
|
|
|
12.73 |
% |
|
|
— |
|
|
|
— |
|
|
|
6.36 |
% |
Banco de Chile por cuenta de State Street. |
|
|
23,044 |
|
|
|
0.02 |
% |
|
|
9,064,067 |
|
|
|
6.35 |
% |
|
|
3.18 |
% |
Banco Santander por cuenta de Inversionistas por extranjeros |
|
|
— |
|
|
|
— |
|
|
|
8,869,636 |
|
|
|
6.21 |
% |
|
|
3.11 |
% |
Inversiones Global Mining Chile Ltda. (3) |
|
|
8,798,539 |
|
|
|
6.16 |
% |
|
|
— |
|
|
|
— |
|
|
|
3.08 |
% |
Banco de Chile por cuenta de terceros no residentes |
|
|
78,824 |
|
|
|
0.06 |
% |
|
|
7,682,806 |
|
|
|
5.38 |
% |
|
|
2.72 |
% |
(1) |
SQM has been informed that Tianqi Lithium Corporation (“Tianqi”) (i) owns 100% of the shares of Inversiones TLC SpA, and, accordingly, is the beneficial owner of 62,556,568 Series A shares held by Inversiones TLC SpA registered in the shareholder registry of the Depósito Central de Valores S.A. (“DCV”) as of March 1, 2022 and (ii) owns directly 3,521,079 Series B shares in the form of ADSs. Therefore, Tianqi beneficially owns 23.13%, of SQM’s total shares. |
(2) |
Sociedad de Inversiones Pampa Calichera S.A (“Pampa Calichera”) is a publicly held corporation whose shares are traded on the Santiago Stock Exchange. Originally, the shareholders of Pampa Calichera were employees of SQM. Pampa Calichera was formed to hold the capital stock of SQM contributed by such employees or later acquired in the open market. |
(3) |
SQM has been informed that, as of March 1, 2022, Mr. Julio Ponce Lerou, and related persons control 100% of Inversiones SQYA Ltda. (“SQYA”) and 100% of Inversiones SQ Ltda. These two companies control indirectly 71,966,917 Series A shares representing 25.20% of all shares of SQM, as follows: (i) Inversiones SQ Ltda. controls 0.03% of Norte Grande S.A. (“Norte Grande”) and SQYA controls 73.78% of Norte Grande, 3.89% of the shares of Sociedad de Inversiones Oro Blanco S.A. and 7.44% of the shares of Nitratos de Chile S.A.; Norte Grande controls 76.85% of Sociedad de Inversiones Oro Blanco S.A., which controls 88.82% of Pampa Calichera, which controls 15.75% of SQM; (ii) Pampa Calichera controls 99.99% of Inversiones Global Mining (Chile) Limitada, which controls 3.08% of SQM and (iii) Norte Grande controls 80.01% of Nitratos de Chile S.A., which controls 99.02% of Potasios de Chile S.A., which controls 10.09% of Pampa Calichera and 6.36% of SQM. Therefore, Sociedad de Inversiones Pampa Calichera S.A. and its related companies, Inversiones Global Mining Chile Limitada and Potasios de Chile S.A. (together, the “Pampa Group”), beneficially own 25.20% of SQM’s total shares. |
108 |
· |
Tianqi will not nominate any of its directors, executives or employees to the SQM Board of Directors; |
· |
Tianqi and the directors nominated by it will not influence or intervene for the benefit of Tianqi and prejudice the interests of SQM; |
· |
The directors nominated by Tianqi will not participate nor will they be part of any committees, the management or other decision-making bodies related to lithium of SQM or of any companies controlled by SQM, unless nominated by independent directors; |
· |
Tianqi will inform the FNE of any agreement in the lithium market, with Albemarle and/or SQM, prior to its execution; |
· |
Tianqi will notify the FNE of any event from which it acquires control or decisive influence in SQM; |
· |
Tianqi will disassociate any director, executive or employee appointed by third parties, who assumes a position described above in SQM; |
· |
Tianqi will not request access to Sensitive Information from SQM; |
· |
The directors nominated by Tianqi will not disclose Sensitive Information of SQM; |
· |
The directors nominated by Tianqi will personally bind themselves to the obligations assumed by Tianqi with the FNE; and |
· |
Tianqi will report to the FNE the appointments and periodic compliance with its obligations. |
109 |
· |
that the transaction be informed to the Directors' Committee and to the Board of Directors prior to its execution; |
· |
that the Board of Directors, excluding any Directors involved in the transaction, approves the transaction with an absolute majority of its members, or, if an absolute majority is not feasible, with a unanimous vote by the Directors not involved in the transaction, or, if neither of these options is available, that an Extraordinary Shareholders' Meeting be held and that shareholders representing 2/3 of the outstanding shares with voting rights approve the transaction. In the latter case, prior to the meeting, the shareholders must be provided with a report by an independent evaluator and with statements by the directors as to whether or not such transaction is in SQM's interest; |
110 |
· |
that the grounds for the decision and for the exclusion be recorded in the respective minutes of the Board meeting; and |
· |
that the agreement and the names of the directors who approved the same be reported at the next shareholders' meeting. Infractions will not affect the validity of the transaction but they will grant SQM or its shareholders the right to demand that the related party committing such infraction refund the amount equivalent to the benefits received by such party in the transaction to SQM, and that such party indemnify for any corresponding damages. |
7.C. |
Interests of Experts and Counsel |
FINANCIAL INFORMATION |
8.A. |
Consolidated Statements and Other Financial Information |
111 |
Th. US$ |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
Foreign sales |
|
|
2,642,672g |
|
|
|
1,663,446 |
|
|
|
1,731,798 |
|
Total sales |
|
|
2,862,320 |
|
|
|
1,817,919 |
|
|
|
1,943,655 |
|
Foreign sales % |
|
|
92.3 |
% |
|
|
91.5 |
% |
|
|
89.1 |
% |
112 |
(a) |
Distribute and pay to the corresponding shareholders, a percentage of the net income that shall be determined per the following financial parameters as a final dividend ( dividendo definitivo ): |
(i) |
100% of the 2021 net income, when the following financial parameters are met: (a) that the total current assets, divided by the total current financial liabilities is equal to or greater than 2.5 times, and (b) the sum of the total current liabilities and total non-current liabilities, excluding both cash and cash equivalents and other current financial assets, divided by the total equity is equal to or less than 0.85 times. |
(ii) |
80% of the 2021 net income, when the following financial parameters are met: (a) that the total current assets, divided by the total sum of the total current financial liabilities is equal to or greater than 2.0 times, and (b) the total sum of the current liabilities and total non-current liabilities, excluding both cash and cash equivalents and other current financial assets divided by the total equity is equal to or less than 0.95 times. |
113 |
(iii) |
60% of the 2021 net income, when the following financial parameters are met: (a) that the total current assets, divided by the total sum of the total current financial liabilities is equal to or greater than 1.5 times, and (b) the total sum of the current liabilities and total non-current liabilities, excluding both cash and cash equivalents and other current financial assets divided by the total equity is equal to or less than 1.05 times. |
(iv) |
If none of the foregoing financial parameters are met, the Company shall distribute and pay 50% of the 2021 net income in favor of the respective shareholders as a final dividend. |
(b) |
Distribute and pay only two interim dividends during 2021, which will be charged against the aforementioned final dividend and that will be charged to the retained earnings reflected in the consolidated financial statements as of March 31, 2021 and as of June 30, 2021, respectively, the percentage distributed shall be determined per the financial parameters expressed in paragraph ( a) above. |
(c) |
The Board of Directors will not approve the payment of other interim dividends charged against the 2021 net income. |
(d) |
At the ordinary general shareholders’ meeting that will be held in 2022, the Board of Directors will propose a final dividend pursuant to the percentages in financial parameters described in in paragraph (a) above after deducting the Special Dividend and Interim Dividends previously paid. If the amount is equal to or less than the amount of the sum of the Special Dividend and the Interim Dividends, then no additional amount will be distributed and the Interim Dividends will be understood to be paid as a definitive dividend. In any case, the final dividend may not be less than the mandatory minimum dividend that corresponds in accordance with Chilean law or the Company bylaws. |
(e) |
If there is an excess of net income in 2021, this may be retained and assigned or allocated for financing its own operations, to one or more investment projects of the Company, notwithstanding a future distribution of special dividends ( dividendos eventuales ) charged to the retained earnings previously approved at the shareholders’ meeting, or the possible and future capitalization of all or part of the latter. |
(f) |
The payment of additional dividends ( dividendos adicionales ) is not considered. |
114 |
Dividends |
|
|
|
Per Share |
|
|
Per ADS |
|
||
Declared for the fiscal year |
|
Paid in |
|
Ch$ |
|
|
US$ |
|
||
2017 (interim) |
|
2017 |
|
|
264.87 |
|
|
|
0.39222 |
|
2017 (interim) |
|
2017 |
|
|
241.49 |
|
|
|
0.38432 |
|
2017 (interim) |
|
2017 |
|
|
275.46 |
|
|
|
0.42879 |
|
2017 |
|
2018 |
|
|
253.19 |
|
|
|
0.41968 |
|
n/a ( eventual ) |
|
2018 |
|
|
229.22 |
|
|
|
0.37994 |
|
2018 (interim) |
|
2018 |
|
|
271.73 |
|
|
|
0.43247 |
|
2018 (interim) |
|
2018 |
|
|
343.53 |
|
|
|
0.50864 |
|
2018 (interim) |
|
2018 |
|
|
212.38 |
|
|
|
0.31726 |
|
2018 |
|
2019 |
|
|
277.70 |
|
|
|
0.41274 |
|
2019 (interim) |
|
2019 |
|
|
215.25 |
|
|
|
0.30598 |
|
2019 (interim) |
|
2019 |
|
|
192.19 |
|
|
|
0.26669 |
|
2019 (interim) |
|
2019 |
|
|
190.39 |
|
|
|
0.22987 |
|
2019 |
|
2020 |
|
|
217.67 |
|
|
|
0.25414 |
|
2020 (interim) |
|
2020 |
|
|
138.91 |
|
|
|
0.17092 |
|
n/a ( eventual ) |
|
2020 |
|
|
297.95 |
|
|
|
0.37994 |
|
2020 |
|
2021 |
|
|
10.79 |
|
|
|
0.01530 |
|
2021 (interim) |
|
2021 |
|
|
173.82 |
|
|
|
0.23797 |
|
2021 (interim) |
|
2021 |
|
|
243.70 |
|
|
|
0.31439 |
|
n/a ( eventual ) |
|
2021 |
|
|
1,202.34 |
|
|
|
1.40037 |
|
115 |
8.B. |
Significant Changes |
116 |
THE OFFER AND LISTING |
9.A. |
Offer and Listing Details |
9.B |
Plan of Distribution |
9.C |
Markets |
9.D |
Selling Shareholders |
9.E |
Dilution |
9.F |
Expenses of the Issue |
117 |
ADDITIONAL INFORMATION |
10.A. |
Share Capital |
10.B. |
Memorandum and Articles of Association |
118 |
119 |
120 |
121 |
122 |
1) |
When an investor wants to take control of a company’s stock. |
2) |
When a controlling shareholder holds two-thirds of the company’s stock. If such shareholder buys one more share, it will be mandatory to offer to acquire the rest of the outstanding stock within 30 days of surpassing that threshold. |
3) |
When an investor wants to take control of a corporation, which, in turn, controls an open stock corporation that represents 75% or more of the consolidated assets of the former corporation. |
123 |
10.C. |
Material Contracts |
10.D. |
Exchange Controls |
124 |
125 |
10.E. |
Taxation |
126 |
127 |
128 |
129 |
130 |
131 |
132 |
10.F. |
Dividends and Paying Agents |
10.G. |
Statement by Experts |
10.H. |
Documents on Display |
10.I. |
Subsidiary Information |
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
133 |
DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES |
ITEM 12.A. |
DEBT SECURITIES |
ITEM 12.B. |
WARRANTS AND RIGHTS |
ITEM 12.C. |
OTHER SECURITIES |
ITEM 12.D. |
AMERICAN DEPOSITARY RECEIPTS |
134 |
Service Fees |
|
Fees |
Execution and delivery of ADSs and the surrender of ADRs |
|
Up to US$0.05 per share |
135 |
DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES |
MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS |
CONTROLS AND PROCEDURES |
(a) |
Disclosure Control and Procedures |
136 |
[Reserved] |
AUDIT COMMITTEE FINANCIAL EXPERT |
CODE OF ETHICS |
PRINCIPAL ACCOUNTANT FEES AND SERVICES |
|
|
2021 |
|
|
2020 |
|
||
Audit fees |
|
|
1,361 |
|
|
|
1,343 |
|
Tax fees |
|
|
157 |
|
|
|
255 |
|
All other fees |
|
|
18 |
|
|
|
70 |
|
Total fees |
|
|
1,536 |
|
|
|
1,668 |
|
137 |
16D. EXEMPTIONS FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES |
16E. PURCHASES OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS |
16F. CHANGE IN REGISTRANT’S CERTIFYING ACCOUNTANT |
16G. CORPORATE GOVERNANCE |
MINE SAFETY AND DISCLOSURE |
ITEM 16I. |
DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS |
138 |
FINANCIAL STATEMENTS |
FINANCIAL STATEMENTS |
EXHIBITS |
|
|
Consolidated Financial Statements: |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplementary Schedules* |
|
139 |
Exhibit No. |
|
Exhibit |
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23.2. |
|
Consent of Alvaro Henriquez, WSP Ambiental S.A., regarding the Nueva Victoria property Technical Report Summary filed as Exhibit 23.1 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.3 |
|
Consent of Alvaro Henriquez, WSP Ambiental S.A., regarding the Salar de Atacama property Technical Report Summary filed as Exhibit 23.2 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.4 |
|
Consent of Alvaro Henriquez, WSP Ambiental S.A., regarding the Pampa Orcoma property Technical Report Summary filed as Exhibit 23.3 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.5 |
|
Consent of Rodrigo Riquelme Tapia, GeoInnova , regarding the Salar de Atacama property Technical Report Summary, filed as Exhibit 23.4 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
23.6 |
|
Consent of Gino Slanzi, WSP Ambiental S.A, regarding the Salar de Atacama property Technical Report Summary filed as Exhibit 23.5 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.7 |
|
Consent of Gino Slanzi, WSP Ambiental S.A, regarding the Pampa Orcoma property Technical Report Summary filed as Exhibit 23.6 to the Company’s Report on Form 6-K on April 25, 2022, is incorporated herein by reference. |
|
|
|
23.8 |
|
Consent of Gino Slanzi, WSP Ambiental S.A, regarding the Nueva Victoria property Technical Report Summary filed as Exhibit 23.7 to the Company’s Report on Form 6-K on April 25, 2022, is incorporated herein by reference. |
|
|
|
23.9 |
|
Consent of Donald Hulse, WSP Ambiental S.A , regarding the Pampa Orcoma property Technical Report Summary filed as Exhibit 23.8 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
23.10 |
|
Consent of David Billington, Covalent Lithium, regarding the Mt. Holland Lithium Project Technical Report Summary, filed as Exhibit 23.9 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.11 |
|
Consent of Kerry Griffin, Mining Plus Ltd., regarding the Mt. Holland Lithium Project Technical Report Summary, filed as Exhibit 23.10 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.12 |
|
Consent of Andrés Fock, SQM, regarding the Mt. Holland Lithium Project Technical Report Summary, filed as Exhibit 23.11 to the Company’s Report on Form 6-K on April 2 5 , 2022, is incorporated herein by reference. |
|
|
|
23.13 |
|
Consent of Donald Hulse, WSP Ambiental S.A, regarding the Nueva Victoria property Technical Report Summary filed as Exhibit 23.12 to the Company’s Report on Form 6-K on April 25, 2022, is incorporated herein by reference. |
|
|
|
96.1 |
|
Technical Report Summary regarding the Salar de Atacama property, prepared by WSP Ambiental S.A., dated April 2 5 , 2022, filed as Exhibit 96.1 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
96.2 |
|
Technical Report Summary regarding the Mt. Holland Lithium Project, prepared by SQM., dated April 2 5 , 2022, filed as Exhibit 96.2 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
96.3 |
|
Technical Report Summary regarding the Pampa Orcoma property, prepared by WSP Ambiental S.A., dated April 2 5 , 2022, filed as Exhibit 96.3 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
96.4 |
|
Technical Report Summary regarding the Nueva Victoria property, prepared by WSP Ambiental S.A., dated April 2 5 , 2022, filed as Exhibit 96.4 to the Company’s Report on Form 6-K on April 25 , 2022, is incorporated herein by reference. |
|
|
|
|
140 |
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101.INS |
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I n line XBRL Instance Document - The Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. |
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101.SCH |
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Inline XBRL Taxonomy Extension Schema Document |
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101.CAL |
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Inline XBRL Taxonomy Extension Calculation Linkbase Document |
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101.DER |
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Inline XBRL Taxonomy Extension Definition Linkbase Document |
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101.LAB |
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Inline XBRL Taxonomy Extension Label Linkbase Document |
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101.PRE |
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Inline XBRL Taxonomy Extension Presentation Linkbase Document |
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104 |
|
Inline Cover Page Interactive Data File – The Cover Page |
141 |
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/s/ Gerardo Illanes |
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|
|
Gerardo Illanes G. |
|
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Chief Financial Officer |
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Date: 2April , 2022 5 |
|
142 |
This document includes: |
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Report of Independent Registered Public Accounting Firm |
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Consolidated Statements of Financial Position |
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Consolidated Statements of Income |
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- |
Consolidated Statements of Comprehensive Income |
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- |
Consolidated Statements of Cash Flows |
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- |
Consolidated Statements of Changes in Equity |
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- |
Notes to the Consolidated Financial Statements |
F-1 |
Contenido |
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F-2 |
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F-3 |
F-4 |
F-5 |
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Consolidated Financial Statements |
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Ch$ |
- |
Chilean pesos |
ThCh$ |
- |
Thousands of Chilean pesos |
US$ |
- |
United States dollars |
ThUS$ |
- |
Thousands of United States dollars |
UF |
- |
The UF is an inflation-indexed, Chilean peso-denominated monetary unit. The UF rate is set daily in advance, based on the change in the Consumer Price Index of the previous month |
F-6 |
F-7 |
F-8 |
F-9 |
ASSETS |
Note N° |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||
ThUS$ |
ThUS$ |
|||||||||
Current Assets |
||||||||||
Cash and cash equivalents | 9.1 | |||||||||
Other current financial assets | 12.1 | |||||||||
Other current non-financial assets | 16 | |||||||||
Trade and other receivables, current | 12.2 | |||||||||
Trade receivables due from related parties, current | 11.5 | |||||||||
Current inventories | 10 | |||||||||
Current tax assets | 25.1 | |||||||||
Total current assets other than those classified as held for sale or disposal |
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Non-current assets or groups of assets classified as held for sale | ||||||||||
Total non-current assets held for sale |
||||||||||
Total current assets |
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Non-current assets |
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Other non-current financial assets | 12.1 | |||||||||
Other non-current non-financial assets | 16 | |||||||||
Non-current trade receivables, | 12.2 | |||||||||
Investments classified using the equity method of accounting | 7.1-8.1 | |||||||||
Intangible assets other than goodwill | 14.1 | |||||||||
Goodwill | 14.1 | |||||||||
Property, plant and equipment net | 15.1 | |||||||||
Right-of-use assets | 13.1 | |||||||||
Non-current tax assets | 25.1 | |||||||||
Total non-current assets |
||||||||||
Total assets |
F-10 |
Liabilities and Equity |
Note N° |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||
ThUS$ |
ThUS$ |
|||||||||
Current liabilities |
||||||||||
Other current financial liabilities | 12.4 | |||||||||
Lease liabilities, current | 13.2 | |||||||||
Trade and other payables, current | 1 3 25 |
|||||||||
Trade payables due to related parties, current | 11.6 | - | ||||||||
Other current provisions | 18.1 | |||||||||
Current tax liabilities | 25.2 | |||||||||
Provisions for employee benefits, current | 17.1 | |||||||||
Other current non-financial liabilities | 18.3 | |||||||||
Total current liabilities |
||||||||||
Non-current liabilities |
||||||||||
Other non-current financial liabilities | 12.4 | |||||||||
Non-current lease liabilities | 13.2 | |||||||||
Non-current trade and other payables | 12.5 | |||||||||
Other non-current provisions | 18.1 | |||||||||
Deferred tax liabilities | 2 .36 |
|||||||||
Non-current provisions for employee benefits | 17.1 | |||||||||
Total non-current liabilities |
||||||||||
Total liabilities |
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Equity |
||||||||||
Equity attributable to owners of the Parent |
19 |
|||||||||
Share capital | ||||||||||
Retained earnings | ||||||||||
Other reserves | ( |
) | ||||||||
Equity attributable to owners of the Parent |
||||||||||
Non-controlling interests | ||||||||||
Total equity |
||||||||||
Total liabilities and equity |
F-11 |
For the period from January to December of the year |
||||||||||||||
Consolidated Statements of Income |
Note N° |
2021 |
2020 |
2019 |
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ThUS$ |
ThUS$ |
ThUS$ |
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Revenue | 21.1 | |||||||||||||
Cost of sales | 21.2 | ( |
) | ( |
) | ( |
) | |||||||
Gross profit |
||||||||||||||
Other income | 21.3 | |||||||||||||
Administrative expenses | 21.4 | ( |
) | ( |
) | ( |
) | |||||||
Other expenses | 21.5 | ( |
) | ( |
) | ( |
) | |||||||
Impairment of financial assets and reversal of impairment losses | 21.7 | ( |
) | ( |
) | |||||||||
Other losses | 21.6 | ( |
) | ( |
) | ( |
) | |||||||
Profit from operating activities |
||||||||||||||
Finance income | 21.10 | |||||||||||||
Finance costs | 15-21.9 | ( |
) | ( |
) | ( |
) | |||||||
Share of profit of associates and joint ventures accounted for using the equity method | 7.1-8. 1 |
|||||||||||||
Foreign currency translation differences | 23 | ( |
) | ( |
) | ( |
) | |||||||
Profit before taxes |
||||||||||||||
Income tax expense | 25.3 | ( |
) | ( |
) | ( |
) | |||||||
Net profit |
||||||||||||||
Profit attributable to: |
||||||||||||||
Profit attributable to Owners of the Parent | ||||||||||||||
Profit attributable to Non-controlling interests | ||||||||||||||
Basic earnings per share (US$ per share) | ||||||||||||||
Diluted earnings per share (US$ per share) |
F-12 |
For the period from January to December of the year |
||||||||||||
Consolidated Statements of Comprehensive Income |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Net profit | ||||||||||||
Items of other comprehensive income that will not be reclassified to profit for the year, before taxes |
||||||||||||
Gains from measurements of defined benefit plans | ( |
) | ||||||||||
(Losses) gains from financial assets measured irrevocably at fair value through other comprehensive income | ( |
) | ||||||||||
Total other comprehensive income that will not be reclassified to profit for the year, before taxes |
( |
) |
( |
) |
||||||||
Items of other comprehensive income that will be reclassified to profit for the year, before taxes |
||||||||||||
Foreign currency exchange gains | ||||||||||||
(Losses) gains from cash flow hedges |
( |
) | ( |
) | ||||||||
Total other comprehensive income that will be reclassified to profit for the year |
( |
) |
||||||||||
Other items of other comprehensive income, before taxes |
( |
) |
||||||||||
Income taxes related to items of other comprehensive income that will not be reclassified to profit for the year |
||||||||||||
Income (tax) benefit relating to measurement of defined benefit pension plans through other comprehensive income | ( |
) | ( |
) | ||||||||
Income benefit (tax) relating to (losses) gains on financial assets measured irrevocably at fair value through other comprehensive income | ( |
) | ( |
) | ||||||||
Total income tax relating to components of other comprehensive income that will be not reclassified to profit for the year |
( |
) |
||||||||||
Income taxes relating to components of other comprehensive income that will be reclassified to profit for the year |
||||||||||||
Income (tax) benefit (expense) related to (losses) gains from cash flow hedges | ( |
) | ||||||||||
Total income tax relating to components of other comprehensive income that will be reclassified to profit for the year |
( |
) |
||||||||||
Total other comprehensive income |
( |
) |
( |
) |
||||||||
Total comprehensive income |
||||||||||||
Comprehensive income attributable to |
||||||||||||
Comprehensive income attributable to owners of the parent | ||||||||||||
Comprehensive income attributable to non-controlling interest | ||||||||||||
F-13 |
For the period from January to December of the year |
||||||||||||||
Consolidated Statements of Cash Flows |
Note N° |
2021 |
2020 |
2019 |
||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||
Cash flows from (used in) operating activities |
||||||||||||||
Classes of cash receipts from operating activities |
||||||||||||||
Cash receipts from sales of goods and rendering of services | ||||||||||||||
Cash receipts from premiums and benefits, annuities and other benefits from policies entered | ||||||||||||||
Cash receipts derived from sub-leases | ||||||||||||||
Classes of Payments |
||||||||||||||
Cash payments to suppliers for the provision of goods and services | ( |
) | ( |
) | ( |
) | ||||||||
Cash payments relating to variable leases | ( |
) | ( |
) | ( |
) | ||||||||
Other payments related to operating activities | ( |
) | ( |
) | ( |
) | ||||||||
Net cash generated from operating activities |
||||||||||||||
Dividends received | ||||||||||||||
Interest paid | ( |
) | ( |
) | ( |
) | ||||||||
Interest paid on lease liabilities | ( |
) | ( |
) | ( |
) | ||||||||
Interest received | ||||||||||||||
Income taxes paid | ( |
) | ( |
) | ( |
) | ||||||||
Other cash inflows (1) | ||||||||||||||
Net cash generated from operating activities |
||||||||||||||
|
||||||||||||||
Cash flows from (used in) investing activities |
||||||||||||||
Proceeds from the sale of equity instruments | ||||||||||||||
Cash flows arising from the loss/gain of control of subsidiaries and other businesses | ||||||||||||||
Proceeds from the sale of property, plant and equipment | ||||||||||||||
Other payments to acquire interest in joint ventures | ( |
) | ( |
) | ||||||||||
Proceeds from the sale of joint ventures | ||||||||||||||
Acquisition of property, plant and equipment | ( |
) | ( |
) | ( |
) | ||||||||
Proceeds from sales of intangible assets | ||||||||||||||
Proceeds (payments) related to futures, forward options and swap contracts |
( |
) | ||||||||||||
Purchases of intangible assets | ( |
) | ( |
) | ||||||||||
Loans from / to related parties |
( |
) | ||||||||||||
Purchase of other long-term assets |
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
Other cash (outflows) inflows (2) | ( |
) | ( |
) | ||||||||||
Cash flow used in investing activities |
( |
) |
( |
) |
( |
) |
F-14 |
For the period from January to December of the year |
||||||||||||||
Consolidated Statements of Cash Flows |
Note N° |
2021 |
2020 |
2019 |
||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||
Cash flows generated from (used in) financing activities |
||||||||||||||
Repayment of lease liabilities | ( |
) | ( |
) | ( |
) | ||||||||
Proceeds from long-term loans | ||||||||||||||
Payment of borrowings | ( |
) | ( |
) | ( |
) | ||||||||
Paid dividends | ( |
) | ( |
) | ( |
) | ||||||||
Capital stock increase | ||||||||||||||
Net cash generated from financing activities |
( |
) |
||||||||||||
Net Increase in cash and cash equivalents before the effect of changes in the exchange rate |
( |
) |
||||||||||||
Effects of exchange rate fluctuations on cash and cash equivalents |
( |
) |
( |
) |
( |
) |
||||||||
Increase in cash and cash equivalents |
( |
) |
||||||||||||
Cash and cash equivalents at beginning of year |
||||||||||||||
Cash and cash equivalents at end of year |
9 |
F-15 |
Consolidated Statements of Changes in Equity | Share capital | Foreign currency translation reserves | Hedge reserves | Gains and losses from financial assets reserve | Actuarial gains and losses from defined benefit plans reserve | Other miscellaneous reserves | Total reserves | Retained earnings | Equity attributable to owners of the Parent | Non- controlling interests | Total Equity | |||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||||||||
Equity at January 1, 2021 | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||
Net profit | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||
Comprehensive income | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||
Sale of equity instruments irrevocably recognized in OCI | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||
Dividends (1) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||
Capital stock increase (2) | ||||||||||||||||||||||||||||||||||||||||||||
Other decrease s in equity | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||
Total changes in equity | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||
Equity as of December 31, 2021 | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) |
Consolidated Statements of Changes in Equity |
Share capital |
Foreign currency translation reserves |
Hedge reserves |
Gains and losses from financial assets reserve |
Actuarial gains and losses from defined benefit plans reserve |
Other miscellaneous reserves |
Total reserves |
Retained earnings |
Equity attributable to owners of the Parent |
Non- controlling interests |
Total Equity |
|||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||
Equity at January 1, 2020 |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Net profit |
||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||
Comprehensive income |
( |
) |
||||||||||||||||||||||||||||||||||||||||||
Dividends (1) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||
Other increases (decreases) in equity |
( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||
Total changes in equity |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||
Equity as of December 31, 2020 |
( |
) |
( |
) |
F-16 |
Consolidated Statements of Changes in Equity |
Share capital |
Foreign currency translation reserves |
Hedge reserves |
Gains and losses from financial assets reserve |
Actuarial gains and losses from defined benefit plans reserve |
Other miscellaneous reserves |
Total reserves |
Retained earnings |
Equity attributable to owners of the Parent |
Non- controlling interests |
Total Equity |
|||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||
Equity at January 1, 2019 |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Net p rofit |
||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
Comprehensive income |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Dividends (1) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||
Other increases in equity | ||||||||||||||||||||||||||||||||||||||||||||
Total changes in equity |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Equity as of December 31, 2019 |
( |
) |
( |
) |
( |
) |
( |
) |
(1) | See Note 19.7 |
(2) | See Note 1.7 |
F-17 |
F-18 |
Notes to the Consolidated Financial Statements |
F-19 |
Notes to the Consolidated Financial Statements |
Identification and Activities of the Company and Subsidiaries |
1.1 |
1.2 |
1.3 |
· |
1700 (Mining) |
· |
2200 (Chemical products) |
· |
1300 (Investment) |
1.4 |
F-20 |
Notes to the Consolidated Financial Statements |
1.5 |
(a) |
Employees |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Employees |
SQM S.A. |
Other subsidiaries |
Total |
SQM S.A. |
Other subsidiaries |
Total |
||||||||||||||||||
Executives | ||||||||||||||||||||||||
Professionals | ||||||||||||||||||||||||
Technicians and operators | ||||||||||||||||||||||||
Overall total |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Place of work |
SQM S.A. |
Other subsidiaries |
Total |
SQM S.A. |
Other subsidiaries |
Total |
||||||||||||||||||
In Chile | ||||||||||||||||||||||||
Outside Chile | ||||||||||||||||||||||||
Overall total |
(b) | Main shareholders |
Shareholders as of December 31, 2021 | No. of Series A | % of Series A shares | No. of Series B | % of Series B shares | % of total shares | |||||||||||||||
The Bank of New York Mellon, ADRs | % | % | ||||||||||||||||||
Inversiones TLC SpA (1) | % | % | ||||||||||||||||||
Sociedad de Inversiones Pampa Calichera S.A. (2) | % | % | ||||||||||||||||||
Potasios de Chile S.A. | % | % | ||||||||||||||||||
Banco de Chile via State Street | % | % | % | |||||||||||||||||
Banco Santander via foreign investor accounts | % | % | ||||||||||||||||||
Inv. Global Mining (Chile) Ltda. | % | % | ||||||||||||||||||
Banco de Chile non-resident third party accounts | % | % | ||||||||||||||||||
Banco de Chile via Citi NA New York Clients | % | % | % | |||||||||||||||||
Inversiones la Esperanza de Chile Limitada | % | % | ||||||||||||||||||
Larraín Vial S.A. Corredora de Bolsa | % | % | % | |||||||||||||||||
AFP Habitat S.A. for Pension Fund C | % | % | ||||||||||||||||||
F-21 |
Notes to the Consolidated Financial Statements |
Shareholders as of December 31, 2020 | No. of Series A | % of Series A shares | No. of Series B | % of Series B shares | % of total shares | |||||||||||||||
Inversiones TLC SpA (1) | % | % | ||||||||||||||||||
The Bank of New York Mellon, ADRs | % | % | ||||||||||||||||||
Sociedad de Inversiones Pampa Calichera S.A. (2) | % | % | % | |||||||||||||||||
Potasios de Chile S.A. | % | % | ||||||||||||||||||
Inversiones Global Mining (Chile) Limitada | % | % | ||||||||||||||||||
Euroamerica C de B S. A. | % | % | ||||||||||||||||||
Banco Santander via foreign investor accounts | % | % | ||||||||||||||||||
Banco de Chile via State Street | % | % | ||||||||||||||||||
Banco de Chile non-resident third party accounts | % | % | ||||||||||||||||||
Inversiones la Esperanza de Chile Limitada | % | % | % | |||||||||||||||||
Banchile Corredora de Bolsa S. A. | % | % | % | |||||||||||||||||
Banco de Chile on behalf of Citibank NA New York customers | % | % | % |
1.6 |
(1) | Regarding the financial and operational effects that this situation could mean for the Company, it is worth noting that the Company sells its products worldwide, with Asia, Europe and North America being its main markets. Border closures, decrease in commercial activity and difficulties and disruptions in the supply chains in the markets in which we sell have impacted our ability to fulfill our previous sales volume estimates, the impact on our sales volumes and average prices will depend on the duration of the virus in different markets, the efficiency of the measures implemented to contain the spread of the virus in each country and fiscal incentives that may be implemented in different jurisdictions to promote economic recovery. |
F-22 |
Notes to the Consolidated Financial Statements |
(2) | Regarding the measures that management has adopted or intends to adopt to mitigate possible financial and/or operational effects, we inform that the Company has implemented a series of measures in its operations in Chile and abroad that seek to protect its workers and reduce the speed at which the virus spreads. The measures adopted by the Company are: |
(a) | The flexibility of the working day, arrival and departure times, together with the incentive to work from home in those cases where this is possible. |
(b) | Avoidance of crowds, seminars and large meetings in the Company´s offices and operating facilities. |
(c) | Strengthening personal hygiene protocols (use of alcohol-based gel, masks, etc.) and sanitation in plants, cafeterias and offices. |
(d) | Significant reduction in domestic and international travel, along with obligatory quarantine for people who have arrived from high risk destinations. |
(e) | The costs associated with the measures implemented by the company correspond primarily to increased expenses in transportation, supplies, room and board, among others. |
(3) | We hereby inform that we do not currently have any other information that management believes is relevant to provide. |
1.7 |
1.8 |
F-23 |
Notes to the Consolidated Financial Statements |
Note 2 |
2.1 |
(a) | Consolidated Statements of Financial Position as of December 31, 2021 and 2020. |
(b) | Consolidated Statements of Income from January 1 to December 31, 2021, 2020 and 2019. |
(c) | Consolidated Statements of Comprehensive Income from January 1 to December 31, 2021, 2020 and 2019. |
(d) | Consolidated Statements of Changes in Equity for the years ended December 31, 2021, 2020 and 2019. |
(e) | Consolidated Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019. |
2.2 |
2.3 |
(a) |
Inventories are recorded at the lower of cost and net realizable value. |
(b) |
Financial derivatives measured at fair value. |
(c) |
Certain financial investments measured at fair value with an offsetting entry in other comprehensive income. |
2.4 |
(a) | The following standards, interpretations and amendments are mandatory for the first time for annual periods beginning on January 1, 2021: |
Amendments and improvements |
Description |
Mandatory for annual periods beginning on or after |
||
Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 “Reform to the referential interest rate (IBOR)- Phase 2” Published in August 2020. |
These amendments provide certain simplifications in relation to the reform to the referential interest rates, including the replacement of a reference rate by an alternative. |
01-01-2021 |
||
Amendment to IFRS 16 “Lease Concessions” - Published in March 2021. |
This amendment extends by one year the period of application of the practical case of IFRS 16 Leases (contained in the amendment to that standard published in May 2020), with the purpose of assisting lessees in accounting for COVID-19 related rental concessions. The amendment is effective for annual periods beginning on or after April 1, 2021. However, early adoption is permitted even for financial statements not authorized for issue as of March 31, 2021. |
01-01-2021 |
F-24 |
Notes to the Consolidated Financial Statements |
(b) | Standards, interpretations and amendments issued that had not become effective for financial statements beginning on January 1, 2021 and which the Company has not adopted early are as follows: |
Standards and Interpretations |
Description |
Mandatory for annual periods beginning on or after |
||
Amendment to IAS 1 “Presentation of financial statements” on classification of liabilities. |
These amendments clarify that the liabilities will be classified as current or non-current depending on the rights that exist at the close of the reporting period. The classification is not affected by the expectations of the entity or the events subsequent to the report date (for example, the receipt of a waiver or noncompliance with the pact). The amendment also clarifies what IAS 1 means when referring to “liquidation” of a liability. The amendment must be applied retroactively in accordance with IAS 8. |
01-01-202 3 |
||
Reference to the Conceptual Framework - Amendments to IFRS 3. |
Minor modifications were made to IFRS 3 “Definition of a Business” to update references to the conceptual framework for financial reporting without changing the requirements of business combinations. |
01-01-2022 |
||
Amendment to IAS 16 “Property, plant and equipment”. |
This prohibits companies from deducting from the cost of the property any revenue received from the sale of articles produced while the company is preparing the asset for its anticipated use. The company must recognize this sales revenue and associated costs in the profit or loss for the fiscal year. |
01-01-2022 |
||
Amendment to IAS 37, “Provisions, contingent liabilities and contingent assets”. |
This clarifies for onerous contracts which inevitable costs a company must include to assess whether a contract will result in a loss. |
01-01-2022 |
||
Annual improvements to IFRS standards, 2018-2020 cycle. The following improvements were finalized in May 2020: |
||||
IFRS 9 Financial Instruments. |
This clarifies which fees must be included in the 10% test for the derecognition of financial liabilities. |
01-01-2022 |
||
IFRS 16 Leases. |
Modification of illustrative example 13 to eliminate the illustration of lessor payments in relation to improvements to rental properties, to eliminate any confusion as to the treatment of lease incentives. |
01-01-2022 |
||
Amendments to IAS 1: “Presentation of the Financial Statements” and IAS 8 “Accounting policies, changes in accounting estimates and errors”. |
The amendments are intended to improve disclosures of accounting policies and to help users of financial statements distinguish between changes in accounting estimates and changes in accounting policies. |
01-01-2023 |
||
Amendment to IAS 12 - Deferred taxes related to assets and liabilities that arise from a single transaction. |
These amendments require companies to recognize deferred taxes on transactions that result in equal amounts in taxable and deductible temporary differences in the initial recognition. |
01-01-2023 |
||
Amendment to IFRS 10 “Consolidated Financial Statements” and IAS 28 “Investments in Associates and Joint Ventures”, Published in September 2014. |
These amendments address an inconsistency between the requirements in IFRS 10 and those in IAS 28 in dealing with the sale or contribution of assets between an investor and its associate or joint venture. The main consequence of the amendments is that a full gain or loss is recognized when a transaction involves a business (whether it is housed in a subsidiary or not). A partial gain or loss is recognized when a transaction involves assets that do not constitute a business, even if these assets are housed in a subsidiary. |
undetermined |
F-25 |
Notes to the Consolidated Financial Statements |
2.5 |
(a) | Subsidiaries |
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Ownership Interest |
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Subsidiaries |
|
TAX ID No. |
|
Address |
|
Country of Incorporation |
|
Functional Currency |
|
Direct |
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|
Indirect |
|
|
Total |
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Av. José Orrantia y Av. Juan Tanca Marengo Edificio Executive Center Piso 2 Oficina 211 |
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(1) |
SQM controls Soquimich Comercial, which in turn controls Comercial Agrorama Ltda, SQM has management control over Comercial Agrorama Ltda. |
F-26 |
Notes to the Consolidated Financial Statements |
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Ownership Interest |
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Subsidiaries |
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TAX ID No. |
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Address |
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Country of Incorporation |
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Functional Currency |
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Direct |
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Indirect |
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Total |
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Cra 7 No 32 – 33 piso 29 Pbx: (571) 3384904 Fax: (571) 3384905 Bogotá D.C. – Colombia. |
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F-27 |
Notes to the Consolidated Financial Statements |
2.6 |
(a) | Joint operations |
(b) | Joint ventures and investments in associates |
F-28 |
Notes to the Consolidated Financial Statements |
Note 3 |
3.1 |
3.2 |
3.3 |
(a) | SQM group entities: |
- | Assets and liabilities are converted at the closing exchange rate prevailing on the reporting date. |
- | Revenues and expenses of each profit or loss account are converted at monthly average exchange rates. |
- | All resulting foreign currency translation gains and losses are recognized as a separate component in translation reserves. |
F-29 |
Notes to the Consolidated Financial Statements |
Closing exchange rates |
Average exchange rates |
|||||||||||||||
Currencies |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2021 |
As of December 31, 2020 |
||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||
Brazilian real | ||||||||||||||||
New Peruvian sol | ||||||||||||||||
Japanese yen | ||||||||||||||||
Euro | ||||||||||||||||
Mexican peso | ||||||||||||||||
Australian dollar | ||||||||||||||||
Pound Sterling | ||||||||||||||||
South African rand | ||||||||||||||||
Chilean peso | ||||||||||||||||
Chinese yuan | ||||||||||||||||
Indian rupee | ||||||||||||||||
Thai Baht | ||||||||||||||||
Turkish lira | ||||||||||||||||
UF (*) |
(b) | Transactions and balances |
F-30 |
Notes to the Consolidated Financial Statements |
3.4 |
3.5 |
(a) | Financial instruments measured at amortized cost. Financial assets that meet the following conditions are included in this category (i) the business model that supports it aims to maintain the financial assets to obtain the contractual cash flows and the contractual conditions of the financial asset give place, on specified dates, to cash flows that are only payments of the principal and interest on the outstanding principal amount. The Company’s financial assets that meet these conditions are: (ii) cash equivalents; (iii) related party receivables; (iv) trade debtors; (v) other receivables. |
(b) | Financial instruments at fair value. A financial asset should be measured at fair value through profit or loss or fair value through other comprehensive income, depending on the following: |
(i) | "Fair Value Through Other Comprehensive Income": Assets held to collect contractual cash flows and to be sold, where the asset cash flows are only capital and interest payments, are measured at fair value through other comprehensive income. Changes in book values are through other comprehensive income, except for the recognition of impairment losses, interest income and exchange gains and losses, which are recognized in the income statement. When a financial asset is derecognized, the cumulative gain or loss previously recognized in other comprehensive income is reclassified from equity to the income statement. Interest income from these financial assets is included in financial income using the effective interest method. |
(ii) | "Fair Value Through Profit and Loss": Assets that do not meet the amortized cost or "Fair Value Through Other Comprehensive Income" criteria are valued at "Fair Value Through Profit and Loss". |
(c) | Financial equity assets at fair value through other comprehensive income. Equity instruments that are not classified as held for trading and which the Group has irrevocably chosen to recognize in this category. Amounts presented in other comprehensive income will not be subsequently transferred to profit or loss. |
F-31 |
Notes to the Consolidated Financial Statements |
3.6 |
3.7 |
3.8 |
3.9 |
F-32 |
Notes to the Consolidated Financial Statements |
3.10 |
a) | Fair value hedge of assets and liabilities recognized (fair value hedges); |
b) | Hedging of a single risk associated with a recognized asset or liability or a highly probable forecast transaction (cash flow hedge). |
a) | Fair value hedge |
b) | Cash flow hedges |
F-33 |
Notes to the Consolidated Financial Statements |
3.11 |
3.12 |
3.13 |
(a) | Right-of-use assets |
(b) | Lease liabilities |
F-34 |
Notes to the Consolidated Financial Statements |
(c) | Short-term leases and low-value asset leases |
(d) | Significant judgments in the determination of the lease term for contracts with renewal options. |
3.14 |
(a) | Provision associated with the lower value of stock: The provision is directly identified with the product that generates it and involves three types: (i) provision of lower realizable value, which corresponds to the difference between the inventory cost of intermediary or finished products, and the sale price minus the necessary costs to bring them to the same conditions and location as the product with which they are compared; (ii) provision for future uncertain use that corresponds to the value of those products in process that are likely not going to be used in sales based on the company’s long-term plans; (iii) reprocessing costs of products that are unfeasible for sale due to current specifications. |
(b) | Provision associated with physical differences in inventory: A provision is made for differences that exceed the tolerance considered in the respective inventory process (physical and annual inventories are taken for the productive units in Chile and the port of Tocopilla; the business subsidiaries depend on the last zero ground obtained, but in general it is at least once a year), these differences are recognized immediately. |
(c) | Potential errors in the determination of stock: The company has an algorithm that is reviewed at least once a year and corresponds to diverse percentages assigned to each inventory based on the product, location, complexity involved in the associated measurement, rotation and control mechanisms. |
(d) | Provisions undertaken by business subsidiaries: these are historical percentages that are adjusted as zero ground is attained based on normal inventory management. |
F-35 |
Notes to the Consolidated Financial Statements |
3.15 |
3.16 |
3.17 |
(a) | Accrued interest expenses during the construction period that are directly attributable to the acquisition, construction or production of qualifying assets, which are those that require a substantial period prior to being ready for use. The interest rate used is that related to the project’s specific financing or, should this not exist, the average financing rate of the investor company. |
(b) | The future costs that the Company will have to experience, related to the closure of its facilities at the end of their useful life, are included at the present value of disbursements expected to be required to settle the and its subsequent variation is recorded directly in results. |
F-36 |
Notes to the Consolidated Financial Statements |
3.18 |
Classes of property, plant and equipment |
Minimum life or rate (years) |
Maximum life or rate (years) |
Life or average rate in years |
|||||||||
Mining assets | ||||||||||||
Energy generating assets | ||||||||||||
Buildings | ||||||||||||
Supplies and accessories | ||||||||||||
Office equipment | ||||||||||||
Transport equipment | ||||||||||||
Network and communication equipment | ||||||||||||
IT equipment | ||||||||||||
Machinery, plant and equipment | ||||||||||||
Other fixed assets |
3.19 |
3.20 |
F-37 |
Notes to the Consolidated Financial Statements |
(a) | Water rights |
(b) | Rights of way for electric lines |
(c) | Computer software |
(d) | Mining property and concession rights |
(e) | Estimated useful lives or amortization rates used for finite identifiable intangible assets |
F-38 |
Notes to the Consolidated Financial Statements |
f) | Minimum and maximum amortization lives or rates of intangible assets: |
Estimated useful life or amortization rate |
Minimum Life or Rate |
Maximum Life or Rate |
||
Water rights |
||||
Rights of way |
||||
Corfo Mining properties (1) |
||||
Mining rights |
||||
Intellectual property |
||||
IT programs |
3.21 |
3.22 |
F-39 |
Notes to the Consolidated Financial Statements |
3.23 |
3.24 |
3.25 |
F-40 |
Notes to the Consolidated Financial Statements |
3.26 |
· |
The Company has a present, legal or constructive obligation as the result of a past event. |
· |
It is more likely than not that certain resources must be used, to settle the obligation. |
· |
A reliable estimate can be made of the amount of the obligation. |
3.27 |
3.28 |
3.29 |
F-41 |
Notes to the Consolidated Financial Statements |
(a) | Sale of goods |
(b) | Sale of services |
(c) | Income from dividends |
3.30 |
3.31 |
F-42 |
Notes to the Consolidated Financial Statements |
a) | deductible temporary differences; |
b) | compensation for losses obtained in prior periods, which have not yet been subject to tax deduction; and |
c) | compensation for unused credits from prior periods. |
(i) | the parent company, investor or shareholder is capable of controlling the moment of the reversal of temporary differences; and |
(ii) | it is probable that the temporary difference will not be reversed in the foreseeable future. |
(i) | temporary differences are reversed in the foreseeable future; and |
(ii) | there is taxable profit available against which temporary differences can be used. |
3.32 |
F-43 |
Notes to the Consolidated Financial Statements |
3.33 |
· |
Estimated useful lives are determined based on current facts and past experience and take into consideration the expected physical life of the asset, the potential for technological obsolescence, and regulations. (See Notes 3.20, 14 and 15). |
· |
Impairment losses of certain assets - Goodwill and intangible assets that have an indefinite useful life are not amortized and are assessed for impairment on an annual basis, or more frequently if the events or changes in circumstances indicate that these may have deteriorated Other assets, including property, plant and equipment, exploration assets, goodwill and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that their carrying amounts exceed their recoverable amounts. If an impairment assessment is required, the assessment of fair value or value in use often requires estimates and assumptions such as discount rates, exchange rates, commodity prices, future capital requirements and future operating performance. Changes in such estimates could impact the recoverable values of these assets. Estimates are reviewed regularly by management (See Notes 14 and 15). |
· |
Assumptions used in calculating the actuarial amount of pension-related and severance indemnity payment benefit commitments (See Note 17). |
· |
Contingencies – The amount recognized as a provision, including legal, contractual, constructive and other exposures or obligations, is the best estimate of the consideration required to settle the related liability, including any related interest charges, considering the risks and uncertainties surrounding the obligation. In addition, contingencies will only be resolved when one or more future events occur or fail to occur. Therefore, the assessment of contingencies inherently involves the exercise of significant judgment and estimates of the outcome of future events. The Company assesses its liabilities and contingencies based upon the best information available, relevant tax laws and other appropriate requirements (See Note 20). If the Company is unable to rationally estimate the obligation or concluded no loss is probable but it is reasonably possible that a loss may be incurred, no provision is recorded but disclosed in the notes to the consolidated financial statements. |
· |
Volume determination for certain in-process and finished products is based on topographical measurements and technical studies that cover the different variables (density for bulk inventories and density and porosity for the remaining stock, among others), and related allowance. |
· |
Estimates for obsolescence provisions to ensure that the carrying value of inventory is not in excess of the net realizable Inventory valuation. (See Note 10). |
F-44 |
Notes to the Consolidated Financial Statements |
Note 4 |
4.1 |
F-45 |
Notes to the Consolidated Financial Statements |
4.2 |
(a) | Credit risk |
Financial institution |
Financial assets |
Rating |
As of December 31, 2021 |
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Moody´s |
S&P |
Fitch |
ThUS$ |
|||||||||
Banco crédito e Inversiones | Time deposits | P-1 | A-2 | F2- | ||||||||
Banco Itaú Corpbanca | Time deposits | P-2 | A-2 | - | ||||||||
Banco Santander – Santiago | Time deposits | P-1 | A-2 | - | ||||||||
Scotiabank Sud Americano | Time deposits | P-1 | A-1 | F1+ | ||||||||
Other banks | Time deposits | - | - | F1+ | ||||||||
JP Morgan US dollar Liquidity Fund Institutional | Investment fund | Aaa-mf | AAAm | AAAmmf | ||||||||
Legg Mason - Western Asset Institutional cash reserves | Investment fund | - | AAAm | AAAmmf | ||||||||
Total |
F-46 |
Notes to the Consolidated Financial Statements |
Financial institution |
Financial assets |
Rating |
As of December 31, 2021 |
|||||||||
Moody´s |
S&P |
Fitch |
ThUS$ |
|||||||||
Bancocrédito e Inversiones | Time deposits | P-1 | A-2 | - | ||||||||
Banco Itaú Corpbanca | Time deposits | P-2 | A-2 | - | ||||||||
Banco Santander – Santiago | Time deposits | P-1 | A-2 | - | ||||||||
Scotiabank Sud Americano | Time deposits | P-1 | A-1 | F1+ | ||||||||
Sumitomo Mitsui Banking | Time deposits | P-1 | - | F1 | ||||||||
Total |
Financial institution | Financial assets | Rating | As of December 31, 2020 | |||||||||
Moody´s | S&P | Fitch | ThUS$ | |||||||||
Banco créditoe Inversiones | Time deposits | P-1 | A-1 | - | ||||||||
Banco de Chile | Time deposits | P-1 | A-1 | - | ||||||||
Banco Estado | Time deposits | P-1 | A-1 | - | ||||||||
Banco Itaú Corpbanca | Time deposits | P-2 | A-2 | - | ||||||||
Banco Santander – Santiago | Time deposits | P-1 | A-1 | - | ||||||||
Scotiabank Sud Americano | Time deposits | - | - | F1+ | ||||||||
JP Morgan US dollar Liquidity Fund Institutional | Investment fund | Aaa-mf | AAAm | AAAmmf | ||||||||
Legg Mason - Western Asset Institutional cash reserves | Investment fund | - | AAAm | AAAmmf | ||||||||
Other banks with lower balances | Time deposits | - | - | - | ||||||||
Total | 261,973 |
Financial institution | Financial assets | Rating | As of December 31, 2020 | |||||||||
Moody´s | S&P | Fitch | ThUS$ | |||||||||
Banco de crédito e Inversiones | Time deposits | P-1 | A-1 | - | ||||||||
Banco Itaú Corpbanca | Time deposits | P-2 | A-2 | - | ||||||||
Banco Santander – Santiago | Time deposits | P-1 | A-1 | - | ||||||||
Banco Scotiabank Sud Americano | Time deposits | - | - | F1+ | ||||||||
JP Morgan Asset Management | Investment fund | P-1 | A-1 | N1+ | ||||||||
Total | 345,459 |
F-47 |
Notes to the Consolidated Financial Statements |
Financial institution | Financial assets | Rating | As of December 31, 2021 | |||||||||
Moody´s | S&P | Fitch | ThUS$ | |||||||||
Agricultural Bank of China | Bank notes | + | - | - | ||||||||
Bank of China Limited | Bank notes | + | - | - | ||||||||
Bank of Communications | Bank notes | + | - | - | ||||||||
China CITIC Bank Corp Ltd | Bank notes | ++ | - | - | ||||||||
China Construction Bank Corporation | Bank notes | + | - | - | ||||||||
China Everbright Bank Co. Ltd | Bank notes | ++ | - | - | ||||||||
China Merchants Bank | Bank notes | + | - | - | ||||||||
China Minsheng Bank Corporation | Bank notes | - | - | ++ | ||||||||
Industrial & Commercial Bank of China Limited | Bank notes | + | - | - | ||||||||
Industrial Bank | Bank notes | + | - | - | ||||||||
Ping An Bank | Bank notes | ++ | - | - | ||||||||
Shanghai Pudong Development Bank Co. Ltd | Bank notes | ++ | - | - | ||||||||
China Development Bank | Bank notes | - | - | + | ||||||||
Postal Savings Bank of China | Bank notes | - | + | - | ||||||||
KEB Hana Bank (China) | Bank notes | + | - | - | ||||||||
Total |
(b) | Currency risk |
F-48 |
Notes to the Consolidated Financial Statements |
Financial institution | Financial assets | Rating | ||||||
Moody´s | S&P | Fitch | ||||||
Banco Estado | Derivative | P-1 | A-1 | - | ||||
Merrill Lynch International | Derivative | - | A+ | AA | ||||
Banco Itaú-Corpbanca | Derivative | P-2 | A-2 | - | ||||
JP Morgan | Derivative | Aa2 | A+ | AA | ||||
Morgan Stanley | Derivative | A+ | BBB+ | A | ||||
The Bank of Nova Scotia | Derivative | A | A- | AA- |
(c) | Interest rate risk |
(d) | Liquidity risk |
1 | All current assets divided by all current liabilities. |
F-49 |
Notes to the Consolidated Financial Statements |
Nature of undiscounted cash flows | ||||||||||||||||||||
As of December 31, 2021 (figures expressed in millions of US dollars) | Carrying amount | Less than 1 year | 1 to 5 years | Over 5 years | Total | |||||||||||||||
Bank borrowings | ||||||||||||||||||||
Unsecured obligations | ||||||||||||||||||||
Sub total | ||||||||||||||||||||
Hedging liabilities | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
Sub total | ||||||||||||||||||||
Current and non-current lease liabilities | 3 | |||||||||||||||||||
Trade accounts payable and other accounts payable | ||||||||||||||||||||
Total |
Nature of undiscounted cash flows | ||||||||||||||||||||
As of December 31, 2020 (figures expressed in millions of US dollars) | Carrying amount | Less than 1 year | 1 to 5 years | Over 5 years | Total | |||||||||||||||
Bank borrowings | ||||||||||||||||||||
Unsecured obligations | ||||||||||||||||||||
Sub total | ||||||||||||||||||||
Hedging liabilities | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
Sub total | ||||||||||||||||||||
Current and non-current lease liabilities | ||||||||||||||||||||
Trade accounts payable and other accounts payable | ||||||||||||||||||||
Total |
4.3 |
F-50 |
Notes to the Consolidated Financial Statements |
Note 5 |
5.1 |
Parent’s stand-alone assets and liabilities |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Assets | ||||||||
Liabilities | ( |
) | ( |
) | ||||
Equity |
3,181,520 |
2,123,085 |
5.2 |
F-51 |
Notes to the Consolidated Financial Statements |
Note 6 |
6.1 |
(a) | Board of directors |
- | Directors’ Committee: This committee is comprised by Georges de Bourguignon, Laurence Golborne Riveros y Alberto Salas Muñoz, and fulfills the functions established in Article 50 bis of Chilean Law on publicly-held corporations. This committee takes on the role of the audit committee in accordance with the US-based Sarbanes Oxley law. |
- | The Company’s Health, Safety and Environment Committee: This committee is comprised of Gonzalo Guerrero Yamamoto, Patricio Contesse Fica y Ashley Ozols 1 . |
1 | Ashley Ozols was appointed a Director on December 22, 2021 to replace Mr Robert Zatta who renounced his position with effect from December 21, 2021 |
F-52 |
Notes to the Consolidated Financial Statements |
- | Corporate Governance Committee: This committee is comprised of Hernán Büchi Buc, Patricio Contesse Fica y Francisco Ugarte Larrain. |
(b) | Board of Directors’ Compensation |
(i) | The payment of a fixed, gross and monthly amount of UF 800 in favor of the Chairman of the Board of Directors, of UF 700 in favor of the vice-president of the board of directors and of UF 600 in favor of the remaining six directors and regardless of the number of Board of Directors’ Meetings held or not held during the related month. |
(ii) | A variable gross amount payable in national currency to the Chairman and Vice President of the Company equivalent to |
(iii) | A variable gross amount payable in local currency to each Company director, excluding the Chairman and Vice President of the Company, equivalent to |
(i) | The payment of a fixed, gross and monthly amount of UF 800 in favor of the Chairman of the Board of Directors, of UF 700 in favor of the vice-president of the board of directors and of UF 600 in favor of the remaining six directors and regardless of the number of Board of Directors’ Meetings held or not held during the related month. |
(ii) | A variable gross amount payable in national currency to the Chairman and Vice President of the Company equivalent to |
(iii) | A variable gross amount payable in local currency to each Company director, excluding the Chairman and Vice President of the Company, equivalent to |
(c) | Directors’ Committee compensation |
F-53 |
Notes to the Consolidated Financial Statements |
(i) | The payment of a fixed, gross and monthly amount of UF 200 in favor of each of the 3 directors who were members of the Directors’ Committee, regardless of the number of meetings of the Directors’ Committee that have or have not been held during the month concerned. |
(ii) | The payment in domestic currency and in favor of each of the 3 directors of a variable and gross amount equivalent to |
(i) | The payment of a fixed, gross and monthly amount of UF 200 in favor of each of the 3 directors who were members of the Directors’ Committee, regardless of the number of meetings of the Directors’ Committee that have or have not been held during the month concerned. |
(ii) | The payment in domestic currency and in favor of each of the 3 directors of a variable and gross amount equivalent to |
(d) | Health, Safety and Environmental Matters Committee: |
(e) | Corporate Governance Committee |
(f) | Guarantees constituted in favor of the directors |
(g) | Senior management compensation: |
(i) | This includes monthly fixed salary and variable performance bonuses. (See Note 6.2) |
(ii) | The Company has an annual bonus plan based on goal achievement and individual contribution to the Company’s results. These incentives are structured as a minimum and maximum number of gross monthly salaries and are paid once a year. |
(iii) | In addition, there are retention bonuses for its executives (see Note 17.6) |
(h) | Guarantees pledged in favor of the Company’s management |
(i) | Pensions, life insurance, paid leave, shares in earnings, incentives, disability loans, other than those mentioned in the above points. |
F-54 |
Notes to the Consolidated Financial Statements |
6.2 |
Key management personnel compensation | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Key management personnel compensation |
F-55 |
Notes to the Consolidated Financial Statements |
Note 7 |
7.1 |
Equity-accounted investees |
Share in profit (loss) of associates accounted for using the equity method |
Share in other comprehensive income of associates accounted for using the equity method |
Share in total comprehensive income of associates accounted for using the equity method |
|||||||||||||||||||||||||||||||||||||||||||||
Associate |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
Fort the year ended December 31, 2021 |
Fort the year ended December 31, 2020 |
Fort the year ended December 31, 2019 |
Fort the year ended December 31, 2021 |
Fort the year ended December 31, 2020 |
Fort the year ended December 31, 2019 |
Fort the year ended December 31, 2021 |
Fort the year ended December 31, 2020 |
Fort the year ended December 31, 2019 |
||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||
Doktor Tarsa Tarim Sanayi AS (*) | ||||||||||||||||||||||||||||||||||||||||||||||||
Ajay North America | ||||||||||||||||||||||||||||||||||||||||||||||||
Ajay Europe SARL | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||||
SQM Eastmed Turkey (*) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||||
Kore Potash PLC (**) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||
Total |
( |
) |
Dividends received for the year ending |
||||||||||||||||||||||
Associate |
Description of the nature of the relationship |
Address |
Country of incorporation |
Share of ownership in associates |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | % | |||||||||||||||||||||
Ajay North America | % | |||||||||||||||||||||
Ajay Europe SARL | % | |||||||||||||||||||||
Kore Potash Ltd | % | |||||||||||||||||||||
Doktor Tarsa Tarim Sanayi AS | % | |||||||||||||||||||||
SQM Eastmed Turkey | % | |||||||||||||||||||||
Total |
F-56 |
Notes to the Consolidated Financial Statements |
7.2 |
As of December 31, 2021 |
For the year ended as of December 31, 2021 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Associate |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Ajay North America | ||||||||||||||||||||||||||||||||
Ajay Europe SARL | ( |
) | ||||||||||||||||||||||||||||||
Total |
( |
) |
As of December 31, 2020 |
For the year ended as of December 31, 2020 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Associate |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Ajay North America | ||||||||||||||||||||||||||||||||
Ajay Europe SARL | ||||||||||||||||||||||||||||||||
Kore Potash PLC | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Total |
As of December 31, 2019 |
For the year ended as of December 31, 2019 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Associate |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||||||||||||||||||||||||||
Doktor Tarsa Tarim Sanayi AS | ||||||||||||||||||||||||||||||||
Ajay North America | ||||||||||||||||||||||||||||||||
Ajay Europe SARL | ( |
) | ||||||||||||||||||||||||||||||
SQM Eastmed Turkey | ( |
) | ||||||||||||||||||||||||||||||
Kore Potash PLC | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||
Total |
( |
) |
F-57 |
Notes to the Consolidated Financial Statements |
7.3 |
(a) | Transactions for the year ended December 31, 2021 : |
· |
During the first quarter 2021, Kore Potash PLC made a share payment to its non-executive board members (remuneration shares) plus certain employees and former employees (performance shares) which resulted in a |
· |
As of December 31, 2021, the Company has received dividends from Abu Dhabi Fertilizer Industries WWL of ThUS$ and r ecognized dividends receivable amounting ThUS$ |
· |
On June 30, 2021, the Company made an assessment of the recovery of the investment in Abu Dhabi Fertilizer Industries WWL and recognized an impairment of ThUS$ in other losses. This impairment was reversed during the second half of the year due to the recoverable amount of the investment subsequently increased. |
(b) | Transactions for the year ended December 31, 2020 : |
· |
Kore Potash PLC made a share payment to its non-executive board members, which resulted in a |
· |
In the third quarter of 2020 SQM S.A. increased its shares in Kore Potash PLC to |
· |
In the third quarter of 2020, shares held in Doktor Tarsa Tarim and its subsidiaries were sold through Soquimich European Holdings B.V. at a value of ThUS$ |
· |
In the third quarter of 2020, shares held in SQM Eastmed Turkey were sold through Soquimich European Holdings B.V. at a value of ThUS$ |
· |
During the fourth quarter of 2020, SQM Holland (subsidiary) acquired the business of WSNPK from Plantacote N.V. (subsidiary of Doktor Tarsa Tarim Sanayi AS) for ThUS$ See Note 14. |
· |
During the fourth quarter of 2020, Kore Potash PLC made a share-based payment to its non-executive board members, which resulted in a |
(c) | Transactions for the year ended December 31, 2019 : |
· |
SQM S.A. increased the capital of Kore Potash Ltd by ThUS$ |
· |
On December 11, 2019, Doktor Tarsa Tarim Sanayi AS acquired |
|
|
F-58 |
Notes to the Consolidated Financial Statements |
Note 8 |
8.1 |
Equity-accounted investees | Share in profit (loss) of joint ventures accounted for using the equity method | |||||||||||||||||||||||
Joint Venture | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
Coromandel SQM India (*) | ( | ) | ||||||||||||||||||||||
SQM Vitas Fzco. | ||||||||||||||||||||||||
SQM Qingdao Star Corp Nutrition Co. Ltd. (*) | ||||||||||||||||||||||||
SQM Vitas B.V. | ( | ) | ||||||||||||||||||||||
Pavoni & C. Spa | ||||||||||||||||||||||||
Covalent Lithium Pty Ltd. (**) | ||||||||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ( | ) | ( | ) | ||||||||||||||||||||
Total |
Share on other comprehensive income joint ventures accounted for using the equity method | Share on total comprehensive income of joint ventures accounted for using the equity method | |||||||||||||||||||||||
Joint Venture | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
Coromandel SQM India (*) | ( | ) | ( | ) | ||||||||||||||||||||
SQM Vitas Fzco. | ( | ) | ||||||||||||||||||||||
SQM Qingdao Star Corp Nutrition Co. Ltd. (*) | ||||||||||||||||||||||||
SQM Vitas B.V. | ( | ) | ( | ) | ||||||||||||||||||||
Pavoni & C. Spa | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||
Covalent Lithium Pty Ltd. (**) | ( | ) | ( | ) | ||||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ( | ) | ( | ) | ||||||||||||||||||||
Total | ( | ) |
F-59 |
Notes to the Consolidated Financial Statements |
Equity-accounted investees | Share in profit (loss) of joint ventures accounted for using the equity method | |||||||||||||||||||||||
Joint Venture | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
SQM Vitas Brasil Agroindustria (1) | ||||||||||||||||||||||||
SQM Vitas Perú S.A.C. (1) | ||||||||||||||||||||||||
Arpa Speciali S.R.L. | ||||||||||||||||||||||||
Total |
Share on other comprehensive income of joint ventures accounted for using the equity method | Share on total comprehensive income of joint ventures accounted for using the equity method | |||||||||||||||||||||||
Joint Venture | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | For the year ended December 31, 2021 | For the year ended December 31, 2020 | For the year ended December 31, 2019 | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
SQM Vitas Brasil Agroindustria (1) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||
SQM Vitas Perú S.A.C. (1) | ||||||||||||||||||||||||
Arpa Speciali S.R.L. | ( | ) | ||||||||||||||||||||||
Total | ( | ) | ( | ) |
F-60 |
Notes to the Consolidated Financial Statements |
Dividends received for the year ending |
||||||||||||||||||||||
Joint venture |
Description of the nature of the relationship |
Domicile |
Country of incorporation |
Share of interest in ownership (*) |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | % | |||||||||||||||||||||
Coromandel SQM India | % | |||||||||||||||||||||
SQM Vitas Fzco. | % | |||||||||||||||||||||
SQM Qingdao Star Corp Nutrition Co. Ltd. | % | |||||||||||||||||||||
Pavoni & C. Spa | % | |||||||||||||||||||||
Covalent Lithium Pty Ltd. | % | |||||||||||||||||||||
Total |
(1) | SQM Vitas Fzco. |
(2) | Pavoni & C. Spa. |
Dividends received for the year ending |
||||||||||||||||||||||
Joint venture |
Description of the nature of the relationship |
Domicile |
Country of incorporation |
Share of interest in ownership (*) |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||
SQM Vitas Brasil Agroindustria (1) | % | |||||||||||||||||||||
SQM Vitas Perú S.A.C. (1) | % | |||||||||||||||||||||
Arpa Speciali S.R.L. (2) | % | |||||||||||||||||||||
Total |
- |
- |
- |
F-61 |
Notes to the Consolidated Financial Statements |
8.2 |
As of December 31, 2021 |
For the year ended December 31, 2021 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Joint Venture |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
SQM Vitas Fzco. | ||||||||||||||||||||||||||||||||
SQM Vitas Brasil Agroindustria | ( |
) | ||||||||||||||||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||||||||||||||||||
Pavoni & C. Spa | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Covalent Lithium Pty Ltd. | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Total |
( |
) |
As of December 31, 2020 |
For the year ended December 31, 2020 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Joint Venture |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ( |
) | ( |
) | ||||||||||||||||||||||||||||
SQM Vitas Fzco. | ( |
) | ||||||||||||||||||||||||||||||
SQM Vitas Brasil Agroindustria | ( |
) | ( |
) | ||||||||||||||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||||||||||||||||||
Pavoni & C. Spa | ||||||||||||||||||||||||||||||||
Covalent Lithium Pty Ltd. | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Total |
( |
) |
F-62 |
Notes to the Consolidated Financial Statements |
As of December 31, 2019 |
For the year ended December 31, 2019 |
|||||||||||||||||||||||||||||||
Assets |
Liabilities |
Other |
||||||||||||||||||||||||||||||
Joint Venture |
Current |
Non-current |
Current |
Non-current |
Revenue |
Net gain (loss) |
comprehensive income |
Comprehensive income |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Coromandel SQM India | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||
SQM Vitas Fzco. | ( |
) | ||||||||||||||||||||||||||||||
SQM Qingdao Star Corp Nutrition Co. Ltd. | ||||||||||||||||||||||||||||||||
SQM Vitas B.V. | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||
SQM Vitas Brasil Agroindustria | ( |
) | ||||||||||||||||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||||||||||||||||||
Pavoni & C. Spa | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Covalent Lithium Pty Ltd. | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Total |
( |
) |
8.3 |
Cash and cash equivalents |
Other current financial liabilities |
Other non-current financial liabilities |
||||||||||||||||||||||
Joint Venture |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2021 |
As of December 31, 2020 |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ||||||||||||||||||||||||
SQM Vitas Fzco. | ||||||||||||||||||||||||
SQM Vitas Brasil Agroindustria | ||||||||||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||||||||||
Pavoni & C. Spa | ||||||||||||||||||||||||
Covalent Lithium Pty Ltd. | ||||||||||||||||||||||||
Total |
Depreciation and amortization expense |
Interest expense |
Income tax benefit (expense) |
||||||||||||||||||||||
Joint Venture |
For the year ended December 31, 2021 |
For the year ended December 31, 2020 |
For the year ended December 31, 2021 |
For the year ended December 31, 2020 |
For the year ended December 31, 2021 |
For the year ended December 31, 2020 |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ( |
) | ||||||||||||||||||||||
SQM Vitas Fzco. | ( |
) | ( |
) | ( |
) | ||||||||||||||||||
SQM Vitas Brasil Agroindustria | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
SQM Vitas Perú S.A.C. | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Pavoni & C. Spa | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Covalent Lithium Pty Ltd. | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
Total |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
F-63 |
Notes to the Consolidated Financial Statements |
8.4 |
a) | Transactions for the year ended December 31, 2021 |
· |
On February 9, 2021, two of the Company’s subsidiaries signed an agreement to terminate a dispute related to sales contracts and interest in the joint venture of Sichuan SQM Migao Chemical Fertilizers Co Ltd. Consequently, the Company received US$ |
b) | Transactions for the year ended December 31, 2020 |
· |
SQM Vitas BV became a wholly owned subsidiary of the Company during the second quarter of 2020, through its subsidiary Soquimich European Holdings, at a cost of ThUS$ |
· |
In the second quarter of 2020, shares held in Arpa Speciali S.R.L. were sold through SQM Pavoni & C., SpA. At a value of ThUS$ |
· |
In the third quarter of 2020, shares held in Coromandel SQM India were sold through Soquimich European Holdings B.V. at a value of ThUS$ |
· |
During fourth quarter of 2020, the shares in SQM Qingdao-Star Co, Ltd. were sold through SQM Industrial S.A. for ThUS$ |
· |
A subsequent event associated with the joint venture with Sichuan SQM Migao Chemical Fertilizers Co Ltd.. Accordingly, the effect on the statement of income for the fourth quarter of 2020 under "Other gains (losses)" is a gain of ThUS$ |
c) | Transactions for the year ended December 31, 2019 |
· |
On January 01, 2019, SQM Vitas Perú changed its functional currency from the Peruvian sol to Dollar. |
8.5 |
F-64 |
Notes to the Consolidated Financial Statements |
Note 9 |
9.1 |
Cash | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Cash on hand | ||||||||
Cash in banks | ||||||||
Other demand deposits | ||||||||
Total Cash |
Cash equivalents | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Short-term deposits, classified as cash equivalents | ||||||||
Short-term investments, classified as cash equivalents | ||||||||
Total cash equivalents | ||||||||
Total cash and cash equivalents |
9.2 |
Institution | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Legg Mason - Western Asset Institutional Cash Reserves | ||||||||
JP Morgan US dollar Liquidity Fund Institutional | ||||||||
Total |
F-65 |
Notes to the Consolidated Financial Statements |
9.3 |
Currency |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Peso (*) | ||||||||
Dollar | ||||||||
Euro | ||||||||
Mexican Peso | ||||||||
South African Rand | ||||||||
Japanese Yen | ||||||||
Peruvian Sol | ||||||||
Indian rupee | ||||||||
Chinese Yuan | ||||||||
Indonesian rupee | ||||||||
Pound Sterling | ||||||||
Australian Dollar | ||||||||
South Korean won | ||||||||
Dirham United Arab Emirates | ||||||||
Polish Zloty | ||||||||
Total |
9.4 |
Restricted cash balances |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Isapre Norte Grande Ltda. | ||||||||
Total |
F-66 |
Notes to the Consolidated Financial Statements |
9.5 |
Receiver of the deposit |
Type of deposit |
Original Currency |
Interest Rate |
Placement date |
Expiration date |
Principal |
Interest accrued to-date |
As of December 31, 2021 |
||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
Total |
F-67 |
Notes to the Consolidated Financial Statements |
Receiver of the deposit |
Type of deposit |
Original Currency |
Interest Rate |
Placement date |
Expiration date |
Principal |
Interest accrued to-date |
As of December 31, 2020 |
||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
% | ||||||||||||||||||||||||
Total |
F-68 |
Notes to the Consolidated Financial Statements |
Note 10 |
Type of inventory |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Raw material | ||||||||
Production supplies | ||||||||
Products-in-progress | ||||||||
Finished product | ||||||||
Total |
Type of inventory |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Raw material and supplies for production | ||||||||
Products-in-progress | ||||||||
Finished product | ||||||||
Total |
F-69 |
Notes to the Consolidated Financial Statements |
Conciliation |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Beginning balance |
80,930 |
88,174 |
105,282 |
|||||||||
Increase in Lower Value (1) | ( |
) | ( |
) | ( |
) | ||||||
Additional Provision Differences of Inventory (2) | ( |
) | ( |
) | ||||||||
Increase / Decrease eventual differences and others (3) | ( |
) | ||||||||||
Provision Used | ( |
) | ( |
) | ( |
) | ||||||
Total changes |
(5,038 |
) |
(7,244 |
) |
(17,108 |
) |
||||||
Final balance |
75,892 |
80,930 |
88,174 |
(1) | There are three types of Lower Value Provisions: (a) Economic Realizable Lower Value, (b) Potential Inventory with Uncertain Future Use and (c) Reprocessing Costs of Off-Specification Products. |
(2) | Provisions for Inventory Differences generated when physical differences are detected when taking inventory, which exceed the tolerance levels for this process. |
(3) | This algorithm corresponds to the provision of diverse percentages based on the complexity in the measurement and rotation of stock, as well as standard differences based on previous results, as is the case with provisions relating to Commercial Offices. |
F-70 |
Notes to the Consolidated Financial Statements |
Note 11 |
|
11.1 |
11.2 |
11.3 |
Tax ID No |
Name |
Country of origin |
Functional currency |
Nature |
||||
Nitratos Naturais Do Chile Ltda. |
||||||||
SQM North America Corp. |
||||||||
SQM Europe N.V. |
||||||||
Soquimich European Holding B.V. |
||||||||
SQM Corporation N.V. |
||||||||
SQM Comercial De México S.A. de C.V. |
||||||||
North American Trading Company |
||||||||
Administración y Servicios Santiago S.A. de C.V. |
||||||||
SQM Perú S.A. |
||||||||
SQM Ecuador S.A. |
||||||||
SQM Nitratos Mexico S.A. de C.V. |
||||||||
SQMC Holding Corporation L.L.P. |
||||||||
SQM Investment Corporation N.V. |
||||||||
SQM Brasil Limitada |
||||||||
SQM France S.A. |
||||||||
SQM Japan Co. Ltd. |
||||||||
Royal Seed Trading Corporation A.V.V. |
||||||||
SQM Oceania Pty Limited |
||||||||
Rs Agro-Chemical Trading Corporation A.V.V. |
||||||||
SQM Indonesia S.A. |
||||||||
SQM Virginia L.L.C. |
||||||||
Comercial Caimán Internacional S.A. |
||||||||
SQM África Pty. Ltd. |
||||||||
SQM Colombia SAS |
||||||||
SQM Internacional N.V. |
||||||||
SQM (Shanghai) Chemicals Co. Ltd. |
||||||||
SQM Lithium Specialties LLC |
||||||||
SQM Iberian S.A. |
||||||||
SQM Beijing Commercial Co. Ltd. |
||||||||
SQM Thailand Limited |
||||||||
SQM Australia PTY |
||||||||
SQM Holland B.V. |
||||||||
SQM Korea LLC |
||||||||
Comercial Hydro S.A. |
||||||||
SQM Potasio S.A. |
||||||||
SQM Nitratos S.A. |
||||||||
Ajay SQM Chile S.A. |
||||||||
SQM Industrial S.A. |
||||||||
Isapre Norte Grande Ltda. |
||||||||
Almacenes y Depósitos Ltda. |
F-71 |
Notes to the Consolidated Financial Statements |
Tax ID No | Name | Country of origin | Functional currency | Nature | ||||
Servicios Integrales de Tránsitos y Transferencias S.A. | ||||||||
Soquimich Comercial S.A. | ||||||||
SQM Salar S.A. | ||||||||
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A. | ||||||||
Exploraciones Mineras S.A. | ||||||||
Comercial Agrorama Ltda. | ||||||||
Agrorama S.A. | ||||||||
Orcoma Estudios SPA | ||||||||
Orcoma SPA | ||||||||
SQM MaG SpA | ||||||||
Sociedad Contractual Minera Bufalo | ||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||
Ajay North America | ||||||||
Ajay Europe SARL | ||||||||
Kore Potash PLC | ||||||||
SQM Vitas Fzco. | ||||||||
Covalent Lithium Pty Ltd. | ||||||||
Pavoni & C, SPA | ||||||||
Sociedad de Inversiones Pampa Calichera | ||||||||
Norte Grande S.A. | ||||||||
Callegari Agrícola S.A. | ||||||||
SQM Vitas Brasil Agroindustria (1) | ||||||||
SQM Vitas Perú S.A.C. (1) | ||||||||
Abu Dhabi Fertilizer Industries WWL (2) | ||||||||
International Technical and Trading Agencies CO WLL (2) |
(1) | These Companies are subsidiaries of the joint venture SQM Vitas Fzco. |
(2) | These Companies are subsidiaries of the joint venture Abu Dhabi Fertilizer Industries WWL Ltda. and therefore it consolidates them and presents all their assets and liabilities. |
F-72 |
Notes to the Consolidated Financial Statements |
Tax ID No. | Name | Country of origin | Functional currency | Relationship | ||||
Ara Dos Primera del Salar de Pampa Blanca, Sierra Gorda | ||||||||
Ara Tres Primera del Salar de Pampa Blanca, Sierra Gorda | ||||||||
Ara Cuatro Primera del Salar de Pampa Blanca, Sierra Gorda | ||||||||
Ara Cinco Primera del Salar de Pampa Blanca, Sierra Gorda | ||||||||
Curicó Dos Primera del Salar de Pampa Alta, Sierra Gorda | ||||||||
Curicó Tres Primera del Sector de Pampa Alta, Sierra Gorda | ||||||||
Evelyn Veinticuatro Primera de Sierra Gorda | ||||||||
Filomena Tres Primera de Oficina Filomena, Sierra Gorda | ||||||||
Filomena Cuatro Primera de Oficina Filomena, Sierra Gorda | ||||||||
Francis Cuatro Primera de Pampa Blanca, Sierra Gorda | ||||||||
Francis Cuatro Segunda del Salar de Pampa Blanca, Sierra Gorda | ||||||||
Francis Cuatro Tercera de Pampa Blanca, Sierra Gorda | ||||||||
Francis Cuatro Cuarta de Pampa Blanca, Sierra Gorda | ||||||||
Francis Cuatro Quinta de Pampa Blanca, Sierra Gorda | ||||||||
Francis Primera del Salar de Pampa Blanca de Sierra Gorda | ||||||||
Francis Segunda del Salar de Pampa Blanca de Sierra Gorda | ||||||||
Francis Tercera del Salar de Pampa Blanca de Sierra Gorda | ||||||||
Ivon Primera de Sierra Gorda | ||||||||
Ivon Décima Segunda de Sierra Gorda | ||||||||
Ivon Sexta de Sierra Gorda | ||||||||
Julia Primera de Sierra Gorda | ||||||||
Lorena Trigésimo Quinta de Sierra Gorda | ||||||||
Perseverancia Primera de Sierra Gorda | ||||||||
Tamara 40 Primera del Sector S.E. OF. Concepción, Sierra Gorda | ||||||||
Tamara Tercera de Oficina Concepción, Sierra Gorda | ||||||||
Tamara 4 Segunda del Sector S.E. OF Concepción, Sierra Gorda |
F-73 |
Notes to the Consolidated Financial Statements |
Tax ID No | Name | Country of origin | Nature | |||
Sociedad Periodística El Libero | ||||||
El Mercurio S.A.P. | ||||||
Empresa Nacional de Telecomunicaciones S.A. | ||||||
Entel PCS Telecomunicaciones S.A. | ||||||
Banco de Chile | ||||||
Compañía de Seguros de Vida Consorcio Nacional | ||||||
Gonzalo Guerrero Yamamoto | ||||||
Universidad del Desarrollo | ||||||
Norte Grande S.A. |
11.4 |
Tax ID No | Name | Nature | Country of origin | Transaction | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | |||||||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||
Doktor Tarsa Tarim Sanayi AS | ||||||||||||||||||||
Ajay Europe S.A.R.L. | ||||||||||||||||||||
Ajay Europe S.A.R.L. | ||||||||||||||||||||
Ajay North America LL.C. | s | |||||||||||||||||||
Ajay North America LL.C. | ||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||||||||||||||
SQM Vitas Brasil Agroindustria | ||||||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||||||
Coromandel SQM India | ||||||||||||||||||||
SQM Star Qingdao Corp Nutrition Co., Ltd. | ||||||||||||||||||||
SQM Star Qingdao Corp Nutrition Co., Ltd. | ||||||||||||||||||||
Terra Tarsa Ukraine LLC | ||||||||||||||||||||
Pavoni & CPA | ||||||||||||||||||||
Plantacote NV | ||||||||||||||||||||
Arpa Speciali S.R.L. | ||||||||||||||||||||
Terra Tarsa Don LLC | ||||||||||||||||||||
SQM Eastmed Turkey | ||||||||||||||||||||
Banco de Chile | ( | ) | ||||||||||||||||||
Norte Grande S.A. | ||||||||||||||||||||
El Mercurio S.A.P. | ( | ) | ||||||||||||||||||
Compañía de Seguros de Vida Consorcio Nacional | ( | ) | ||||||||||||||||||
Entel PCS Telecomunicaciones S.A. | ( | ) | ||||||||||||||||||
Empresa Nacional de Telecomunicaciones | ( | ) |
F-74 |
Notes to the Consolidated Financial Statements |
11.5 |
Tax ID No | Name | Nature | Country of origin | Currency | As of December 31, 2021 | As of December 31, 2020 | ||||||||||
ThUS$ | ThUS$ | |||||||||||||||
Ajay Europe S.A. R.L. | ||||||||||||||||
Ajay North America LLC. | ||||||||||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||||||||||
Soc. de Inversiones Pampa Calichera | ||||||||||||||||
SQM Vitas Brasil Agroindustria | ||||||||||||||||
SQM Vitas Perú S.A.C. | ||||||||||||||||
SQM Vitas Fzco. | ||||||||||||||||
Pavoni & C SpA | ||||||||||||||||
Covalent Lithium Pty Ltd. | ||||||||||||||||
Sichuan SQM Migao Chemical Fertilizers Co Ltd. | ||||||||||||||||
Total |
11.6 |
Tax ID No | Company | Nature | Country of origin | Currency | As of December 31, 2021 | As of December 31, 2020 | ||||||||||
ThUS$ | ThUS$ | |||||||||||||||
Ajay Europe S.A.R.L. | ||||||||||||||||
Ajay North America LL.C. | ||||||||||||||||
Covalent Lithium Pty Ltd | ||||||||||||||||
Total |
11.7 |
F-75 |
Notes to the Consolidated Financial Statements |
Note 12 |
12.1 |
Description of other financial assets |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Financial assets at amortized cost (1) | ||||||||
Derivative financial instruments | ||||||||
- For hedging | ||||||||
- Non-hedging (2) | ||||||||
Total other current financial assets |
||||||||
Financial assets at fair value through other comprehensive income (4) (5) | ||||||||
Derivative financial instruments | ||||||||
- For hedging | ||||||||
Other financial assets at amortized cost | ||||||||
Total other non-current financial assets |
Institution |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Banco de Crédito e Inversiones | ||||||||
Banco Santander (3) | ||||||||
Banco Itaú CorpBanca | ||||||||
Banco de Chile | ||||||||
Scotiabank Sud Americano | ||||||||
Sumitomo Mitsui Banking | ||||||||
JP Morgan Asset Management | ||||||||
Total |
(1) | Corresponds to term deposits whose maturity date is greater than 90 days and less than 360 days from the investment date constituted in the aforementioned financial institutions. |
(2) | Correspond to forwards and options that were not classified as hedging instruments (See detail in Note 12.3). |
(3) | As of December 31, 2021, margin calls were recorded for US$ |
(4) | During the first quarter of 2021, equity instruments classified at fair value irrevocably through other comprehensive income were sold for US$ |
(5) | During the second quarter of 2021, as a result of the loss of significant influence over the investment of Kore Potash (for more details, see note 7.3 letter a), the investment, which was previous recognized as an investment in associates, was reclassified as other non-current financial assets as it was classified as financial equity instrument at fair value through other comprehensive income irrevocably. |
F-76 |
Notes to the Consolidated Financial Statements |
12.2 |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Trade and other receivables |
Current |
Non-current |
Total |
Current |
Non-current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Trade receivables, current |
||||||||||||||||||||||||
Prepayments, current |
||||||||||||||||||||||||
Other receivables, current |
||||||||||||||||||||||||
Total trade and other receivables |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Trade and other receivables |
Gross receivables |
Impairment provision for doubtful receivables |
Trade receivables, net |
Gross receivables |
Impairment provision for doubtful receivables |
Trade receivables, net |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Receivables related to credit operations, current |
( |
) |
( |
) |
||||||||||||||||||||
Prepayments, current |
( |
) |
( |
) |
||||||||||||||||||||
Other receivables, current |
( |
) |
( |
) |
||||||||||||||||||||
Other receivables, non-current |
||||||||||||||||||||||||
Total trade and other receivables |
( |
) |
( |
) |
F-77 |
Notes to the Consolidated Financial Statements |
(a) | Renegotiated portfolio |
As of December 31, 2021 | ||||||||||||||||
Portfolio analysis | ||||||||||||||||
Past due segments | Number of customers with non-renegotiated portfolio | Gross non-renegotiated portfolio ThUS$ | Number of customers with renegotiated portfolio | Gross renegotiated portfolio ThUS$ | ||||||||||||
Current | ||||||||||||||||
1 - 30 days | ||||||||||||||||
31 - 60 days | ||||||||||||||||
61 - 90 days | ||||||||||||||||
91 - 120 days | ||||||||||||||||
121 - 150 days | ||||||||||||||||
151 - 180 days | ||||||||||||||||
181 - 210 days | ||||||||||||||||
211 - 250 days | ||||||||||||||||
>250 days | ||||||||||||||||
Total |
As of December 31, 2020 | ||||||||||||||||
Portfolio analysis | ||||||||||||||||
Past due segments | Number of customers with non-renegotiated portfolio | Gross non-renegotiated portfolio ThUS$ | Number of customers with renegotiated portfolio | Gross renegotiated portfolio ThUS$ | ||||||||||||
Current | ||||||||||||||||
1 - 30 days | ||||||||||||||||
31 - 60 days | ||||||||||||||||
61 - 90 days | ||||||||||||||||
91 - 120 days | ||||||||||||||||
121 - 150 days | ||||||||||||||||
151 - 180 days | ||||||||||||||||
181 - 210 days | ||||||||||||||||
211 - 250 days | ||||||||||||||||
>250 days | ||||||||||||||||
Total |
F-78 |
Notes to the Consolidated Financial Statements |
(b) | Impairment provision for doubtful receivables |
As of December 31, 2021 | ||||||||||||||||||||||||||||
Trade accounts receivable days past due | ||||||||||||||||||||||||||||
Trade and other receivables | Current | 1 to 30 days | 31 to 60 days | 61 to 90 days | Over 90 days | Trade | Trade receivables due from related parties | |||||||||||||||||||||
ThUS$ | ThUS$ | |||||||||||||||||||||||||||
Expected Loss Rate on | % | % | % | % | % | - | - | |||||||||||||||||||||
Total Gross Book Value | ||||||||||||||||||||||||||||
Impairment Estimate |
As of December 31, 2020 | ||||||||||||||||||||||||||||
Trade accounts receivable days past due | ||||||||||||||||||||||||||||
Trade and other receivables | Current | 1 to 30 days | 31 to 60 days | 61 to 90 days | Over 90 days | Trade | Trade receivables due from related parties | |||||||||||||||||||||
ThUS$ | ThUS$ | |||||||||||||||||||||||||||
Expected Loss Rate on | % | % | % | % | % | - | - | |||||||||||||||||||||
Total Gross Book Value | ||||||||||||||||||||||||||||
Impairment Estimate | ||||||||||||||||||||||||||||
Provisions |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Impairment provision of Accounts receivable at the beginning of the year |
||||||||
Increase (decrease) impairment of accounts receivable | ( |
) | ||||||
Write-off of receivables | ( |
) | ( |
) | ||||
Difference in exchange rate | ( |
) | ||||||
Impairment provision of Accounts Receivable Provision at the end of the year |
||||||||
(1) Trade and other Receivables Provision | ||||||||
(2) Current other Receivables Provision | ||||||||
(3) Trade receivables with related parties, current Provision | ||||||||
Recovery of Insurance | ||||||||
Impairment provision of Accounts Receivable |
||||||||
Renegotiated receivables |
||||||||
Non-renegotiated receivables |
F-79 |
Notes to the Consolidated Financial Statements |
12.3 |
As of December 31, 2021 |
Assets |
Liabilities |
Total Realized |
Hedging Reserve in Gross Equity (1) |
||||||||||||
Type of Instrument: Cross currency interest rate swaps UF/CLP |
||||||||||||||||
Cash flow hedge derivatives |
||||||||||||||||
Short term | ||||||||||||||||
Long term | ||||||||||||||||
Underlying Debt Hedge |
( |
) |
( |
) |
||||||||||||
Type of Instrument: Forwards/Options |
||||||||||||||||
Non-hedge derivatives with effect on income |
||||||||||||||||
Short term | ||||||||||||||||
Underlying Investments Hedge |
||||||||||||||||
Total Instrumentos |
( |
) |
( |
) |
As of December 31, 2020 |
Assets |
Liabilities |
Total Realized |
Hedging Reserve in Gross Equity (1) |
||||||||||||
Type of Instrument: Cross currency interest rate swaps UF/CLP |
||||||||||||||||
Cash flow hedge derivatives |
||||||||||||||||
Short term | ||||||||||||||||
Long term | ||||||||||||||||
Underlying Debt Hedge |
( |
) |
( |
) |
||||||||||||
Type of Instrument: Forwards/Options |
||||||||||||||||
Non-hedge derivatives with effect on income |
||||||||||||||||
Short term | ||||||||||||||||
Underlying Investments Hedge |
( |
) |
||||||||||||||
Total Instruments |
( |
) |
Hedging Effect in Profit and Equity for the year as of December 31, 2021 |
Variation Total |
Effect on Profit or Loss |
Hedge Reserves from Variation in Gross Hedges |
|||||||||
Analysis Effect by Type of Coverage |
||||||||||||
Hedging in Current and Non-Current Assets | ( |
) | ||||||||||
Hedging in Current and Non-Current Liabilities | ||||||||||||
Total Hedge Effect in Profit or Loss and Equity for the period |
( |
) |
F-80 |
Notes to the Consolidated Financial Statements |
Series |
Contract amount |
Currency |
Maturity date |
|||||
ThUS$ |
||||||||
H | ||||||||
O | ||||||||
P | ||||||||
Q |
12.4 |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Other current and non-current financial liabilities |
Currents |
Non-Current |
Total |
Currents |
Non-Current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Liabilities at amortized cost |
||||||||||||||||||||||||
Bank borrowings | ||||||||||||||||||||||||
Obligations with the public | ||||||||||||||||||||||||
Derivative financial instruments |
||||||||||||||||||||||||
For hedging | ||||||||||||||||||||||||
Non-Hedging | - | - | ||||||||||||||||||||||
Total |
Current and non-current bank borrowings |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Current borrowings | ||||||||
Non-current borrowings | ||||||||
Current and non-current bank borrowings |
F-81 |
Notes to the Consolidated Financial Statements |
a) | Bank borrowings, current: |
Debtor |
Creditor |
|||||||||||||||||||
Tax ID No. |
Company |
Country |
Tax ID No. |
Financial institution |
Country |
Currency or adjustment index |
Payment of interest |
Repayment |
Effective rate |
Nominal rate |
||||||||||
Debtor |
Creditor |
Nominal amounts as of December 31, 2021 |
Current amounts as of December 31, 2021 |
|||||||||||||||||||||||||||||||
Company |
Financial institution |
Up to 90 days |
90 days to 1 year |
Total |
Up to 90 days |
90 days to 1 year |
Subtotal |
Borrowing costs |
Total |
|||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||
Total |
Debtor |
Creditor |
|||||||||||||||||||
Tax ID No |
Company |
Country |
Tax ID No. |
Financial institution |
Country |
Currency or adjustment index |
Repayment |
maturity |
Effective rate |
Nominal rate |
||||||||||
Debtor |
Creditor |
Nominal amounts as of December 31, 2020 |
Current amounts as of December 31, 2020 |
|||||||||||||||||||||||||||||||
Up to 90 days |
90 days to 1 year |
Total |
Up to 90 days |
90 days to 1 year |
Subtotal |
Borrowing costs |
Total |
|||||||||||||||||||||||||||
Company |
Financial institution |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Total |
F-82 |
Notes to the Consolidated Financial Statements |
b) | Unsecured obligations, current: |
Debtor | Periodicity | |||||||||||||||||||
Tax ID No. | Company | Country | Number of registration or ID of the instrument | Series | Maturity date | Currency or adjustment index | Payment of interest | Repayment | Effective rate | Nominal rate | ||||||||||
MUS$250 | ||||||||||||||||||||
MUS$300 | ||||||||||||||||||||
MUS$450 | ||||||||||||||||||||
MUS$400 | ||||||||||||||||||||
MUS$700 | ||||||||||||||||||||
H | ||||||||||||||||||||
O | ||||||||||||||||||||
P | ||||||||||||||||||||
Q |
Nominal amounts as of December 31, 2021 | Carrying amounts of maturities as of December 31, 2021 | |||||||||||||||||||||||||||||||||||
Company | Country | Series | Up to 90 days | 90 days to 1 year | Total | Up to 90 days | 90 days to 1 year | Subtotal | Borrowing costs | Total | ||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||
MUS$250 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$300 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$450 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$400 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$700 | ( | ) | ||||||||||||||||||||||||||||||||||
H | ( | ) | ||||||||||||||||||||||||||||||||||
O | ( | ) | ||||||||||||||||||||||||||||||||||
P | ( | ) | ||||||||||||||||||||||||||||||||||
Q | ( | ) | ||||||||||||||||||||||||||||||||||
Total | ( | ) |
F-83 |
Notes to the Consolidated Financial Statements |
Debtor | Periodicity | |||||||||||||||||||
Tax I No. | Company | Country | Number of registration or ID of the instrument | Series | Maturity date | Currency or adjustment index | Payment of interest | Repayment | Effective rate | Nominal rate | ||||||||||
MUS$250 | ||||||||||||||||||||
MUS$300 | ||||||||||||||||||||
MUS$450 | ||||||||||||||||||||
MUS$400 | | |||||||||||||||||||
H | ||||||||||||||||||||
O | ||||||||||||||||||||
P | ||||||||||||||||||||
Q |
Nominal amounts as of December 31, 2020 | Carrying amounts of maturities as of December 31, 2020 | |||||||||||||||||||||||||||||||||||
Company | Country | Series | Up to 90 days | 90 days to 1 year | Total | Up to 90 days | 90 days to 1 year | Subtotal | Borrowing costs | Total | ||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||
MUS$250 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$300 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$450 | ( | ) | ||||||||||||||||||||||||||||||||||
MUS$400 | ( | ) | ||||||||||||||||||||||||||||||||||
H | ( | ) | ||||||||||||||||||||||||||||||||||
O | ( | ) | ||||||||||||||||||||||||||||||||||
P | ( | ) | ||||||||||||||||||||||||||||||||||
Q | ( | ) | ||||||||||||||||||||||||||||||||||
Total | ( | ) |
F-84 |
Notes to the Consolidated Financial Statements |
c) | Classes of interest-bearing loans, non-current |
Debtor | Creditor | |||||||||||||||||
Tax ID No. | Company | Country | Tax ID No. | Financial institution | Country | Currency or adjustment index | Type of amortization | Effective rate | Nominal rate | |||||||||
Maturity |
Debtor | Creditor | Nominal non-current maturities as of December 31, 2021 | Carrying amounts of maturities as of December 31, 2021 | |||||||||||||||||||||||||||||||||||||||
Company | Financial institution | Between 1 and 2 | Between 2 and 3 | Between 3 and 4 | Total | Between 1 and 2 | Between 2 and 3 | Between 3 and 4 | Subtotal | Costs of obtaining loans | Total | |||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||||||
( | ) | |||||||||||||||||||||||||||||||||||||||||
Total | ( | ) |
Debtor | Creditor | |||||||||||||||||
Tax ID No. | Company | Country | Tax ID No. | Financial institution | Country | Currency or adjustment index | Type of amortization | Effective rate | Nominal rate | |||||||||
Maturity |
Debtor | Creditor | Nominal non-current maturities as of December 31, 2020 | Carrying amounts of maturities as of December 31, 2020 | |||||||||||||||||||||||||||||||||||||||
Company | Financial institution | Between 1 and 2 | Between 2 and 3 | Between 3 and 4 | Total | Between 1 and 2 | Between 2 and 3 | Between 3 and 4 | Subtotal | Costs of obtaining loans | Total | |||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||||||
( | ) | |||||||||||||||||||||||||||||||||||||||||
Total | ( | ) |
F-85 |
Notes to the Consolidated Financial Statements |
d) | Non-current unsecured interest-bearing bonds |
Debtor | Periodicity | |||||||||||||||||||
Tax ID No. | Company | Country | Number of registration or ID of the instrument | Series | Maturity date | Currency or adjustment index | Payment of interest | Repayment | Effective rate | Nominal rate | ||||||||||
MUS$250 | ||||||||||||||||||||
MUS$300 | ||||||||||||||||||||
MUS$450 | ||||||||||||||||||||
MUS$400 | ||||||||||||||||||||
MUS$700 | ||||||||||||||||||||
H | ||||||||||||||||||||
O | ||||||||||||||||||||
P | ||||||||||||||||||||
Q |
Nominal non-current maturities as of December 31, 2021 | Carrying amounts of maturities as of December 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series | Over 1 year to 2 | Over 2 years to 3 | Over 3 Years to 4 | Over 4 Years to 5 | Over 5 years | Total | Over 1 year to 2 | Over 2 years to 3 | Over 3 Years to 4 | Over 4 Years to 5 | Over 5 years | Subtotal | Bond issuance costs | Total | ||||||||||||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||||||||||||||||
MUS$250 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$300 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$450 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$400 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$700 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
H | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
O | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
P | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Q | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | ( | ) |
F-86 |
Notes to the Consolidated Financial Statements |
Debtor | Periodicity | |||||||||||||||||||
Tax ID No. | Company | Country | Number of registration or ID of the instrument | Series | Maturity date | Currency or adjustment index | Payment of interest | Repayment | Effective rate | Nominal rate | ||||||||||
MUS$250 | ||||||||||||||||||||
MUS$300 | ||||||||||||||||||||
MUS$450 | ||||||||||||||||||||
MUS$400 | ||||||||||||||||||||
H | ||||||||||||||||||||
O | ||||||||||||||||||||
P | ||||||||||||||||||||
Q |
Nominal non-current maturities as of December 31, 2020 | Carrying amounts of maturities as of December 31, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series | Over 1 year to 2 | Over 2 years to 3 | Over 3 Years to 4 | Over 4 Years to 5 | Over 5 years | Total | Over 1 year to 2 | Over 2 years to 3 | Over 3 Years to 4 | Over 4 Years to 5 | Over 5 years | Subtotal | Bond issuance costs | Total | ||||||||||||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||||||||||||||||||||||
MUS$250 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$300 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$450 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MUS$400 | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
H | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
O | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
P | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Q | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | ( | ) |
F-87 |
Notes to the Consolidated Financial Statements |
e) | Additional information |
(i) |
Series “H” bonds |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest, Series H bonds | ||||||||||||
CCS Coverage |
(ii) |
Single series bonds, second issue MUS$ |
F-88 |
Notes to the Consolidated Financial Statements |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest |
(iii) |
Series “O” bonds |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest, Series O bonds | ||||||||||||
CCS Coverage |
(iv) |
Single series bonds, third issue MUS$ |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest |
F-89 |
Notes to the Consolidated Financial Statements |
(v) |
Single series bonds, fourth issuance MUS $250 |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest |
(vi) |
Series “P” bonds |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest, Series P bonds | ||||||||||||
CCS Coverage |
F-90 |
Notes to the Consolidated Financial Statements |
(vii) |
Series Q bonds |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest, Series Q bonds | ||||||||||||
CCS Coverage |
(viii) |
Single series fifth issue bonds M US$ 450 |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest |
(ix) |
Single series sixth issue bonds MUS$ 400 |
Payments made |
December 31, 2021 |
December 31, 2020 |
December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Payments of interest |
F-91 |
Notes to the Consolidated Financial Statements |
(x) |
Single series seventh issue bonds MUS$ 700 |
12.5 |
a) |
Details trade and other payables |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Details trade and other payables |
Current |
Non-current |
Current |
Current |
Non-current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Accounts payable | ||||||||||||||||||||||||
Other accounts payable | ||||||||||||||||||||||||
Prepayments from customers | ||||||||||||||||||||||||
Total |
Amounts according to payment periods as of December 31, 2021 |
||||||||||||||||||||||||||||
Type of Supplier |
Up to 30 Days |
31 - 60 days |
61 - 90 Days |
91 - 120 days |
121 - 365 days |
366 and more days |
Total |
|||||||||||||||||||||
ThUS$ |
||||||||||||||||||||||||||||
Goods | ||||||||||||||||||||||||||||
Services | ||||||||||||||||||||||||||||
Others | ||||||||||||||||||||||||||||
Total |
Amounts according to payment periods as of December 31, 2020 |
||||||||||||||||||||||||||||
Type of Supplier |
Up to 30 Days |
31 - 60 days |
61 - 90 Days |
91 - 120 days |
121 - 365 days |
366 and more days |
Total |
|||||||||||||||||||||
ThUS$ |
||||||||||||||||||||||||||||
Goods | ||||||||||||||||||||||||||||
Services | ||||||||||||||||||||||||||||
Others | ||||||||||||||||||||||||||||
Total |
F-92 |
Notes to the Consolidated Financial Statements |
Amounts according to payment periods as of December 31, 2021 |
||||||||||||||||||||||||||||
Type of Supplier |
Up to 30 Days |
31 - 60 days |
61 - 90 Days |
91 - 120 days |
121 - 365 days |
366 and more days |
Total |
|||||||||||||||||||||
ThUS$ |
||||||||||||||||||||||||||||
Goods | ||||||||||||||||||||||||||||
Services | ||||||||||||||||||||||||||||
Others | ||||||||||||||||||||||||||||
Total |
Amounts according to payment periods as of December 31, 2020 |
||||||||||||||||||||||||||||
Type of Supplier |
Up to 30 Days |
31 - 60 days |
61 - 90 Days |
91 - 120 days |
121 - 365 days |
366 and more days |
Total |
|||||||||||||||||||||
ThUS$ |
||||||||||||||||||||||||||||
Goods | ||||||||||||||||||||||||||||
Services | ||||||||||||||||||||||||||||
Others | ||||||||||||||||||||||||||||
Total |
F-93 |
Notes to the Consolidated Financial Statements |
12.6 |
a) | Financial Assets |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Description of financial assets |
Current |
Non-current |
Total |
Current |
Non-current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Cash and cash equivalent | ||||||||||||||||||||||||
Trade receivables due from related parties at amortized cost | ||||||||||||||||||||||||
Financial assets measured at amortized cost | ||||||||||||||||||||||||
Trade and other receivables | ||||||||||||||||||||||||
Total financial assets measured at amortized cost | ||||||||||||||||||||||||
Financial instruments for hedging purposes | ||||||||||||||||||||||||
Financial instruments held for trading | ||||||||||||||||||||||||
Financial assets classified as available for sale at fair value through equity | ||||||||||||||||||||||||
Total financial assets at fair value |
||||||||||||||||||||||||
Total financial assets |
F-94 |
Notes to the Consolidated Financial Statements |
b) | Financial Liabilities |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Description of financial liabilities |
Current |
Non-current |
Total |
Current |
Non-current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
For hedging purposes through equity |
||||||||||||||||||||||||
Held for trading at fair value through profit or loss |
||||||||||||||||||||||||
Financial liabilities at fair value |
||||||||||||||||||||||||
Bank loans |
||||||||||||||||||||||||
Obligations to the public |
||||||||||||||||||||||||
Lease Liabilities |
||||||||||||||||||||||||
Trade and other payables |
||||||||||||||||||||||||
Trade payables due to related parties |
||||||||||||||||||||||||
Total financial liabilities at amortized cost |
||||||||||||||||||||||||
Total financial liabilities |
F-95 |
Notes to the Consolidated Financial Statements |
12.7 |
(a) |
Level 1: The fair value of financial instruments traded in active markets (such as equity securities) is based on quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date . The quoted market price used for financial assets held by the Company is the current bid price. These instruments are included in level 1. |
(b) |
Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques which maximize the use of observable market inputs and rely as little as possible on entity-specific estimates. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly . |
(c) |
Level 3: If one or more of the significant inputs is not based on observable market data for the asset or liability , the instrument is included in level 3. This is the case for unlisted equity securities. |
F-96 |
Notes to the Consolidated Financial Statements |
As of December 31, 2021 |
Measurement Methodology |
|||||||||||||||||||||||
Fair value measurement of assets and liabilities |
Carrying Amount at Amortized Cost |
Fair value ( disclosure purposes) |
Fair value recognized |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Financial Assets |
||||||||||||||||||||||||
Cash and cash equivalents | ||||||||||||||||||||||||
Other current financial assets |
||||||||||||||||||||||||
- Time deposits | ||||||||||||||||||||||||
- Derivative financial instruments | ||||||||||||||||||||||||
- Forwards | ||||||||||||||||||||||||
- Options | ||||||||||||||||||||||||
- Hedging assets | ||||||||||||||||||||||||
- Swaps | ||||||||||||||||||||||||
Non-current accounts receivable | ||||||||||||||||||||||||
Other non-current financial assets: |
||||||||||||||||||||||||
- Other | ||||||||||||||||||||||||
- Equity instruments | ||||||||||||||||||||||||
- Hedging assets – Swaps | ||||||||||||||||||||||||
Other current financial liabilities |
||||||||||||||||||||||||
- Bank borrowings | ||||||||||||||||||||||||
- Derivative instruments | ||||||||||||||||||||||||
- Forwards | ||||||||||||||||||||||||
- Options | ||||||||||||||||||||||||
- Hedging liabilities – Swaps | ||||||||||||||||||||||||
- Swaps hedges, investments | ||||||||||||||||||||||||
- Unsecured obligations | ||||||||||||||||||||||||
- Current lease liabilities | ||||||||||||||||||||||||
Other non-current financial liabilities |
||||||||||||||||||||||||
- Bank borrowings | ||||||||||||||||||||||||
- Unsecured obligations | ||||||||||||||||||||||||
- Non-current hedging liabilities | ||||||||||||||||||||||||
- Non-current lease liabilities |
F-97 |
Notes to the Consolidated Financial Statements |
As of December 31, 2020 |
Measurement Methodology |
|||||||||||||||||||||||
Fair value measurement of assets and liabilities |
Carrying Amount at Amortized Cost |
Fair value ( disclosure purposes) |
Fair value recognized |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Financial Assets |
||||||||||||||||||||||||
Cash and cash equivalents | ||||||||||||||||||||||||
Other current financial assets |
||||||||||||||||||||||||
- Time deposits | ||||||||||||||||||||||||
- Derivative financial instruments | ||||||||||||||||||||||||
- Forwards | ||||||||||||||||||||||||
- Options | ||||||||||||||||||||||||
Non-current accounts receivable | ||||||||||||||||||||||||
Other non-current financial assets: |
||||||||||||||||||||||||
- Other | ||||||||||||||||||||||||
- Equity instruments | ||||||||||||||||||||||||
- Hedging assets – Swaps | ||||||||||||||||||||||||
Other current financial liabilities |
||||||||||||||||||||||||
- Bank borrowings | ||||||||||||||||||||||||
- Derivative instruments | ||||||||||||||||||||||||
- Forwards | ||||||||||||||||||||||||
- Options | ||||||||||||||||||||||||
- Hedging liabilities – Swaps | ||||||||||||||||||||||||
- Swaps | ||||||||||||||||||||||||
- Unsecured obligations | ||||||||||||||||||||||||
- Current lease liabilities | ||||||||||||||||||||||||
Other non-current financial liabilities |
||||||||||||||||||||||||
- Bank borrowings | ||||||||||||||||||||||||
- Unsecured obligations | ||||||||||||||||||||||||
- Non-current hedging liabilities | ||||||||||||||||||||||||
- Non-current lease liabilities |
F-98 |
Notes to the Consolidated Financial Statements |
12.8 |
· |
Cash equivalent approximates fair value due to the short-term maturities of these instruments. |
· |
The fair value of current trade receivables is considered to be equal to the carrying amount due to the maturity of such accounts at short-term. |
· |
Payables, current lease liabilities and other current financial liabilities are considered fair value equal to book value due to the short-term maturity of these accounts. |
· |
The fair value of the debt (long-term secured and unsecured debentures; bonds denominated in local currency (Peso/UF) and foreign currency (Dollar), borrowings denominated in foreign currency (Dollar) and lease liabilities of the Company are calculated at current value of cash flows subtracted from market rates upon valuation, considering the terms of maturity and exchange rates. The UF and Peso rate curves are used as inputs for the valuation model. This information is obtained through from the renowned financial software company, Bloomberg, and the Chilean Association of Banks and Financial Institutions. |
F-99 |
Notes to the Consolidated Financial Statements |
12.9 |
Net debt |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Cash and cash equivalents | ||||||||
Other current financial assets | ||||||||
Other non-current financial hedge assets | ||||||||
Other current financial liabilities | ( |
) | ( |
) | ||||
Lease liabilities, current | ( |
) | ( |
) | ||||
Other non-current financial liabilities | ( |
) | ( |
) | ||||
Non-current Lease liabilities | ( |
) | ( |
) | ||||
Total |
( |
) |
( |
) |
From cash flow |
Not from cash flow |
|||||||||||||||||||||||||||||||
Net debt |
As of December 31, 2020 |
Amounts from loans |
Amounts from interests |
Other cash income/expenses |
Hedging and non- hedging instruments |
Exchange rate differences |
Others |
As of December 31, 2021 |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Obligations with the public and bank loans | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||
Current and non-current lease liabilities | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||
Financial instruments derived from hedging | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||
Current and non-current financial liabilities |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Cash and cash equivalents | ( |
) | ||||||||||||||||||||||||||||||
Deposits that do not qualify as cash and cash equivalents | ( |
) | ( |
) | ||||||||||||||||||||||||||||
Derivatives from hedge assets | ( |
) | ||||||||||||||||||||||||||||||
Derivatives from other financial non-hedge assets | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||
Total |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
F-100 |
Notes to the Consolidated Financial Statements |
From cash flow |
|
|
Not from cash flow |
|
|
|||||||||||||||||||||||||||
Net debt |
|
As of December 31, 2019 |
|
|
Amounts from loans |
|
|
Amounts from interests |
|
|
Other cash income/expenses |
|
|
Hedging and non- hedging instruments |
|
|
Exchange rate differences |
|
|
Others |
|
|
As of December 31, 2020 |
|
||||||||
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
||||||||||
Obligations with the public and bank loans |
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Current and non-current lease liabilities |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
Financial instruments derived from hedging |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
Current and non-current financial liabilities |
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Cash and cash equivalents |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
Deposits that do not qualify as cash and cash equivalents |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
Derivatives from hedge assets |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
( |
) |
Derivatives from other financial non-hedge assets |
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
( |
) |
Total |
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
F-101 |
Notes to the Consolidated Financial Statements |
Note 13 |
13.1 |
Reconciliation of changes in right-of-use assets as of December 31, 2021, net value |
Land |
Buildings |
Other property, plant and equipment |
Transport equipment |
Supplies and accessories |
Office equipment |
Network and communication equipment |
Mining assets |
IT equipment |
Energy generating assets |
Constructions in progress |
Machinery, plant and equipment |
Total |
|||||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||||||||
Opening Balance |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expenses | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||
Other increases / decreases | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total changes |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||||
Closing balance |
Reconciliation of changes in right-of-use assets as of December 31, 2020, net value |
Land |
Buildings |
Other property, plant and equipment |
Transport equipment |
Supplies and accessories |
Office equipment |
Network and communication equipment |
Mining assets |
IT equipment |
Energy generating assets |
Constructions in progress |
Machinery, plant and equipment |
Total |
|||||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||||||||
Opening Balance |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expenses | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||
Other increases / decreases | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total changes |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||
Closing balance |
(a) | The nature of the Company’s lease activities is related to contracts focused primarily on business operations, mainly rights-of-use to equipment and real estate, |
(b) | The Company does not estimate any significant future cash outflows that would potentially expose the Company, and these are likewise not reflected in the measurement of lease liabilities, related to concepts such as: (i) Variable lease payments, (ii) Extennsion options and termination options, (iii) Guaranteed residual value and (iv) Leases not yet undertaken but committed by the Company. |
(c) | These are not subject to restrictions or agreements imposed by contracts. |
F-102 |
Notes to the Consolidated Financial Statements |
13.2 |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||
Lease liabilities |
Current |
Non-Current |
Current |
Non-Current |
||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||
Lease liabilities | ||||||||||||||||
Total |
Debtor |
Creditor |
|||||||||||||||||
Tax ID No. |
Company |
Country |
TAX ID No. |
Supplier |
Country |
Contract indexation unit |
Type of amortization |
Maturity date |
Effective rate |
|||||||||
79.626.800-K | SQM Salar S.A. | Chile | 83.776.000-3 | Empresa Constructora Contex Ltda | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.327.820-4 | Maquinaria Astudillo y Hermanos Limitada | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.146.110-9 | Transportes, Construcción y Servicios Cribach Ltda | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.065.017-K | SKM Industrial Ltda. | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 96.862.140-8 | Ameco Chile S.A. | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.327.820-4 | Maquinaria Astudillo y Hermanos Limitada | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.158.471-5 | Sociedad Inmobiliaria Amaru SpA | Chile | |||||||||||||
79.626.800-K | SQM Salar S.A. | Chile | 76.327.820-4 | Maquinaria Astudillo y Hermanos Ltda. | Chile | % | ||||||||||||
79.947.100-0 | SQM Industrial S.A. | Chile | 96.856.400-5 | El Trovador S.A. | Chile | |||||||||||||
79.947.100-0 | SQM Industrial S.A. | Chile | 76.976.580-8 | Sociedad Comercial Grandleasing Chile Ltda | Chile | |||||||||||||
79.947.100-0 | SQM Industrial S.A. | Chile | 76.536.499-K | Jungheinrich Rentalif SPA | Chile | |||||||||||||
79.947.100-0 | SQM Industrial S.A. | Chile | 76.320.186-4 | Tecno Fast S.A. | Chile | |||||||||||||
96.592.190-7 | SQM Nitratos S.A. | Chile | 76.536.499-K | Jungheinrich Rentalif SPA | Chile | |||||||||||||
93.007.000-9 | SQM S.A. | Chile | 76.536.499-K | Jungheinrich Rentalif SPA | Chile | |||||||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 96.662.540-6 | Containers Operators S.A. | Chile | |||||||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 76.729.932-K | SAAM Logistics S.A. | Chile | |||||||||||||
F-103 |
Notes to the Consolidated Financial Statements |
Debtor |
Creditor |
|||||||||||||||||
Tax ID No. |
Company |
Country |
TAX ID No. |
Supplier |
Country |
Contract indexation unit |
Type of amortization |
Maturity date |
Effective rate |
|||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 91.577.000-2 | Muelles de Penco S.A. | Chile | |||||||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 91.577.000-2 | Muelles de Penco S.A. | Chile | |||||||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 76.722.280-7 | Inmobiliaria Chincui SPA | Chile | |||||||||||||
79.768.170-9 | Soquimich Comercial S.A. | Chile | 96.565.580-8 | Compañía de Leasing Tattersall S.A. | Chile | |||||||||||||
76.359.919-1 | Orcoma Estudios SpA | Chile | 70.017.320-8 | Obispado de Iquique | Chile | |||||||||||||
76.359.919-1 | Orcoma Estudios SpA | Chile | 73.190.800-1 | Comunidad Indígena Aymara Pueblo de Pisiga Choque | Chile | |||||||||||||
76.359.919-1 | Orcoma Estudios SpA | Chile | 6.848.218-6 | Ruth del Carmen Cortez Maturana | Chile | |||||||||||||
Foreign | SQM North America Corp. | USA | Foreign | Paces West LL. | USA | |||||||||||||
Foreign | SQM North America Corp. | USA | Foreign | Hawkins Nunmber One, LLC | USA | |||||||||||||
Foreign | SQM North America Corp. | USA | Foreign | Deep South Equipment Company | USA | |||||||||||||
Foreign | SQM North America Corp. | USA | Foreign | Tennant-South | USA | |||||||||||||
Foreign | SQM Comercial de México S.A. de C.V. | Mexico | Foreign | Onni Ensenada S.A. de C.V. | Mexico | |||||||||||||
Foreign | SQM Comercial de México S.A. de C.V. | Mexico | Foreign | Madol Inmobiliaria S.A. de C.V. | Mexico | |||||||||||||
Foreign | SQM Comercial de México S.A. de C.V. | Mexico | Foreign | Madol Inmobiliaria S.A. de C.V. | Mexico | |||||||||||||
Foreign | SQM Europe N.V. | Belgium | Foreign | Straatsburgdok N.V. | Belgium | |||||||||||||
Foreign | SQM Australia PTY | Australia | Foreign | Eagle Petroleum (WA) Pty Ltd | Australia | |||||||||||||
Foreign | SQM Australia PTY | Australia | Foreign | The trust Company (Australia) Pty Ltd | Australia | |||||||||||||
Foreign | SQM Australia PTY | Australia | Foreign | Ausco Modular Pty Limited | Australia | |||||||||||||
Foreign | SQM Australia PTY | Australia | Foreign | Western Australian Land Authority | Australia | |||||||||||||
Foreign | SQM Colombia S.A.S. | Colombia | Foreign | Mareauto Colombia S.A.S. | Colombia | |||||||||||||
Foreign | SQM Colombia S.A.S. | Colombia | Foreign | Renting Colombia S.A. | Colombia | |||||||||||||
Foreign | SQM Colombia S.A.S. | Colombia | Foreign | Renting Colombia S.A. | Colombia | |||||||||||||
F-104 |
Notes to the Consolidated Financial Statements |
Debtor |
Creditor |
Nominal amounts as of December 31,2021 |
Amounts at amortized cost as of December 31, 2021 |
|||||||||||||||||||||||
Company |
Supplier |
Up to 90 days |
90 days to 1 year |
Total |
Up to 90 days |
90 days to 1 year |
Total |
|||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||
SQM Salar S.A. | Empresa Constructora Contex Ltda | |||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||
SQM Salar S.A. | SKM Industrial Ltda. | |||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||
SQM Salar S.A. | Sociedad Inmobiliaria Amaru SpA | |||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||
SQM Industrial S.A. | El Trovador S.A. | |||||||||||||||||||||||||
SQM Industrial S.A. | Sociedad Comercial Grandleasing Chile Ltda | |||||||||||||||||||||||||
SQM Industrial S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||
SQM Industrial S.A. | Tecnofast | |||||||||||||||||||||||||
SQM Nitratos S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||
SQM S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||
Orcoma Estudios SpA | Obispado de Iquique | |||||||||||||||||||||||||
Orcoma Estudios SpA | Comunidad Indígena Aymara Pueblo de Pisiga Choque | |||||||||||||||||||||||||
Orcoma Estudios SpA | Ruth del Carmen Cortez Maturana | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Container Operators S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Inmobiliaria Chincui SPA | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Compañía de Leasing Tattersall S.A. | |||||||||||||||||||||||||
SQM North America Corp. | Paces West LL. | |||||||||||||||||||||||||
SQM North America Corp. | Hawkins Nunmber One, LLC | |||||||||||||||||||||||||
SQM North America Corp. | Deep South Equipment Company | |||||||||||||||||||||||||
SQM North America Corp. | Tennant- South | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Onni Ensenada S.A. de C.V. | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||
SQM Europe N.V. | Straatsburgdok N.V. | |||||||||||||||||||||||||
SQM Australia PTY | Ausco Modular Pty Limited | |||||||||||||||||||||||||
SQM Australia PTY | Western Australian Land Authority | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | |||||||||||||
SQM Australia PTY | Eagle Petroleum (WA) Pty Ltd | |||||||||||||||||||||||||
SQM Australia PTY | Knight Frank | |||||||||||||||||||||||||
SQM Colombia S.A.S. | Mareauto Colombia S.A.S. | |||||||||||||||||||||||||
SQM Colombia S.A.S. | Renting Colombia S.A. | |||||||||||||||||||||||||
SQM Colombia S.A.S. | Renting Colombia S.A. | |||||||||||||||||||||||||
Total |
F-105 |
Notes to the Consolidated Financial Statements |
Debtor |
Creditor |
Nominal amounts as of December 31,2020 |
Amounts at amortized cost as of December 31, 2020 |
|||||||||||||||||||||||
Company |
Supplier |
Up to 90 days |
90 days to 1 year |
Total |
Up to 90 days |
90 days to 1 year |
Total |
|||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||
SQM Salar S.A. | Empresa Constructora Contex Ltda | |||||||||||||||||||||||||
SQM Salar S.A. | Transportes, Construcción y Servicios Cribach Ltda | |||||||||||||||||||||||||
SQM Salar S.A. | SKM Industrial Ltda. | |||||||||||||||||||||||||
SQM Salar S.A. | Ameco Chile S.A. | |||||||||||||||||||||||||
SQM Industrial S.A. | El Trovador S.A. | |||||||||||||||||||||||||
SQM Industrial S.A. | Sociedad Comercial Grandleasing Chile Ltda | |||||||||||||||||||||||||
Soquimich Comercial S.A. | SAAM Logistics S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Inmobiliaria Chincui SPA | |||||||||||||||||||||||||
Soquimich Comercial S.A. | Compañía de Leasing Tattersall S.A. | |||||||||||||||||||||||||
SQM North America Corp. | Paces West LL. | |||||||||||||||||||||||||
SQM North America Corp. | Hawkins Nunmber One, LLC | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Onni Ensenada S.A. de C.V. | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||
SQM Europe N.V. | Straatsburgdok N.V. | |||||||||||||||||||||||||
SQM Australia PTY | The trust Company (Australia) Pty Ltd | |||||||||||||||||||||||||
Total |
F-106 |
Notes to the Consolidated Financial Statements |
Debtor |
Creditor |
Nominal amounts as of December 31,2021 |
Amounts at amortized cost as of December 31, 2021 |
|||||||||||||||||||||||||||||||
Company |
Supplier |
1-2 Years |
2-3 Years |
3-4 Years |
Total |
1-2 Years |
2-3 Years |
3-4 Years |
Total |
|||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||
SQM Salar S.A. | Empresa Constructora Contex Ltda | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | SKM Industrial Ltda. | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Sociedad Inmobiliaria Amaru SpA | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Maquinarias Industriales Astudillo Hermanos Ltda. | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | El Trovador S.A. | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | Sociedad Comercial Grandleasing Chile Ltda | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | Tecnofast | |||||||||||||||||||||||||||||||||
SQM Nitratos S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||||||||||
SQM S.A. | Jungheinrich Rentalift SpA | |||||||||||||||||||||||||||||||||
Orcoma Estudios SpA | Obispado de Iquique | |||||||||||||||||||||||||||||||||
Orcoma Estudios SpA | Comunidad Indígena Aymara Pueblo de Pisiga Choque | |||||||||||||||||||||||||||||||||
Orcoma Estudios SpA | Ruth del Carmen Cortez Maturana | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Container Operators S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Inmobiliaria Chincui SPA | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Compañía de Leasing Tattersall S.A. | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Paces West LL. | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Hawkins Nunmber One, LLC | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Deep South Equipment Company | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Tennant- South | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Onni Ensenada S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Europe N.V. | Straatsburgdok N.V. | |||||||||||||||||||||||||||||||||
SQM Australia PTY | Ausco Modular Pty Limited | |||||||||||||||||||||||||||||||||
SQM Australia PTY | Western Australian Land Authority | ( |
) | |||||||||||||||||||||||||||||||
SQM Colombia S.A.S. | Mareauto Colombia S.A.S. | |||||||||||||||||||||||||||||||||
SQM Colombia S.A.S. | Renting Colombia S.A. | |||||||||||||||||||||||||||||||||
SQM Colombia S.A.S. | Renting Colombia S.A. | |||||||||||||||||||||||||||||||||
Total |
F-107 |
Notes to the Consolidated Financial Statements |
Debtor |
Creditor |
Nominal amounts as of December 31,2020 |
Amounts at amortized cost as of December 31, 2020 |
|||||||||||||||||||||||||||||||
Company |
Supplier |
1-2 Years |
2-3 Years |
3-4 Years |
Total |
1-2 Years |
2-3 Years |
3-4 Years |
Total |
|||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||
SQM Salar S.A. | Empresa Constructora Contex Ltda | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Transportes, Construcción y Servicios Cribach Ltda | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | SKM Industrial Ltda. | |||||||||||||||||||||||||||||||||
SQM Salar S.A. | Ameco Chile S.A. | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | El Trovador S.A. | |||||||||||||||||||||||||||||||||
SQM Industrial S.A. | Sociedad Comercial Grandleasing Chile Ltda | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | SAAM Logistics S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Muelles de Penco S.A. | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Inmobiliaria Chincui SPA | |||||||||||||||||||||||||||||||||
Soquimich Comercial S.A. | Compañía de Leasing Tattersall S.A. | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Paces West LL. | |||||||||||||||||||||||||||||||||
SQM North America Corp. | Hawkins Nunmber One, LLC | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Onni Ensenada S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Comercial de México S.A. de C.V. | Madol Inmobiliaria S.A. de C.V. | |||||||||||||||||||||||||||||||||
SQM Europe N.V. | Straatsburgdok N.V. | |||||||||||||||||||||||||||||||||
SQM Australia PTY | The trust Company (Australia) Pty Ltd | |||||||||||||||||||||||||||||||||
Total |
F-108 |
Notes to the Consolidated Financial Statements |
F-109 |
Notes to the Consolidated Financial Statements |
Note 14 |
1 4 .1 |
As of December 31, 2021 | ||||||
Intangible assets and goodwill | Useful life | Net Value | ||||
ThUS$ | ||||||
IT programs | ||||||
Mining rights | ||||||
Water rights and rights of way | ||||||
Water rights | ||||||
Customer-related intangible assets | ||||||
Intellectual property | ||||||
Other intangible assets | ||||||
Intangible assets other than goodwill | ||||||
Goodwill | ||||||
Total Intangible Asset |
As of December 31, 2020 | ||||||
Intangible assets and goodwill | Useful life | Net Value | ||||
ThUS$ | ||||||
IT programs | ||||||
Mining rights | ||||||
Water rights and rights of way | ||||||
Water rights | ||||||
Customer-related intangible | ||||||
Other intangible assets | ||||||
Intangible assets other than goodwill | ||||||
Goodwill | ||||||
Total Intangible Asset |
a) | Movements in identifiable intangible assets as of December 31, 2021: |
Gross Value Movements in identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Water rights Finite | Customer- related intangible assets | Intellectual property | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||
Opening Balance | ||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||
Other increases / decreases for foreign currency exchange rates | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Impairment losses recognized in profit or loss for the year | ||||||||||||||||||||||||||||||||||||
Decrease for classification as held for sale | ||||||||||||||||||||||||||||||||||||
Transferred from available for sale | ||||||||||||||||||||||||||||||||||||
Other increases (decreases) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Total increases (decreases) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||
Closing balance |
Accumulated amortization and impairment Movements in identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Water rights Finite | Customer- related intangible assets | Intellectual property | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||
Opening Balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||
Other increases / decreases for foreign currency exchange rates | ||||||||||||||||||||||||||||||||||||
Other increases (decreases) | ||||||||||||||||||||||||||||||||||||
Impairment losses recognized in profit for the year (1) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Amortization | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||
Total increases (decreases) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||
Closing balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) |
F-110 |
Notes to the Consolidated Financial Statements |
(1) | See Note 21.5 |
Net value Movements in Identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Water rights Finite | Customer- related intangible assets | Intellectual property | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||
Opening Balance | ||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||
Amortization | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||
Impairment losses recognized in profit for the year | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Other increases / decreases for foreign currency exchange rates | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Decreases through sale | ||||||||||||||||||||||||||||||||||||
Transferred from available for sale | ||||||||||||||||||||||||||||||||||||
Other increases (decreases) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Total increases (decreases) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||
Closing balance |
Gross Value Movements in identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Customer- related intangible assets | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||
Opening Balance | ||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||
Other increases / decreases for foreign currency exchange rates | ||||||||||||||||||||||||||||
Decreases through sale | ( | ) | ( | ) | ||||||||||||||||||||||||
Other increases (decreases) | ||||||||||||||||||||||||||||
Total increases (decreases) | ||||||||||||||||||||||||||||
Closing balance |
F-111 |
Notes to the Consolidated Financial Statements |
Accumulated amortization and impairment Movements in identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Customer- related intangible assets | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||
Opening Balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||
Other increases / decreases for foreign currency exchange rates | ||||||||||||||||||||||||||||
Other increases (decreases) | ( | ) | ( | ) | ||||||||||||||||||||||||
Impairment losses recognized in profit for the year | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||
Amortization | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||
Total increases (decreases) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||
Closing balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) |
Net value Movements in Identifiable intangible assets | IT programs | Mining rights, Finite | Water rights, and rights of way, Indefinite | Customer- related intangible assets | Other intangible assets | Goodwill | Identifiable intangible assets | |||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||
Opening Balance | ||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||
Amortization | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||
Impairment losses recognized in profit for the year | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||
Other increases / decreases for foreign currency exchange rates | ||||||||||||||||||||||||||||
Decreases through sale | ( | ) | ( | ) | ||||||||||||||||||||||||
Other increases (decreases) | ( | ) | ||||||||||||||||||||||||||
Total increases (decreases) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||
Closing balance |
F-112 |
Notes to the Consolidated Financial Statements |
(b) | Movements in identifiable goodwill as of December 31, 2021: |
Gross Value Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Reclassification to intangible assets |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ||||||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ||||||||||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. |
( |
) | ||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
( |
) |
||||||||||||||||||
Closing balance |
( |
) |
Accumulated impairment Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Reclassification to intangible assets |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ( |
) | ( |
) | ||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ( |
) | ( |
) | ||||||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. | ||||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
( |
) |
( |
) |
||||||||||||||||
Closing balance |
( |
) |
( |
) |
F-113 |
Notes to the Consolidated Financial Statements |
Net Value Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Reclassification to intangible assets |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ||||||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ||||||||||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. | ( |
) | ||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
( |
) |
||||||||||||||||||
Closing balance |
( |
) |
Gross Value Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Impairment losses recognized in profit or loss for the year (-) |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ||||||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ||||||||||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. | ||||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
||||||||||||||||||||
Closing balance |
F-114 |
Notes to the Consolidated Financial Statements |
Accumulated impairment Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Impairment losses recognized in profit or loss for the year (-) |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ( |
) | ( |
) | ||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. | ||||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||
Closing balance |
( |
) |
( |
) |
( |
) |
( |
) |
Net Value Movements in identifiable goodwill |
Opening balance |
Additional recognition |
Impairment losses recognized in profit or loss for the year (-) |
Total increase (decrease) |
Goodwill at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
SQM Industrial S.A. | ||||||||||||||||||||
SQM S.A. | ||||||||||||||||||||
SQM Iberian S.A. | ||||||||||||||||||||
SQM Investment Corporation | ||||||||||||||||||||
Soquimich Comercial S.A. | ( |
) | ( |
) | ||||||||||||||||
Soquimich European Holding B.V. | ||||||||||||||||||||
SQM Holland B.V. | ||||||||||||||||||||
SQM Potasio S.A. | ||||||||||||||||||||
Total increases (decreases) |
( |
) |
||||||||||||||||||
Closing balance |
( |
) |
F-115 |
Notes to the Consolidated Financial Statements |
Note 15 |
15.1 |
Description of types of property, plant and equipment | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Property, plant and equipment, net | ||||||||
Land | ||||||||
Buildings | ||||||||
Other property, plant and equipment | ||||||||
Transport equipment | ||||||||
Supplies and accessories | ||||||||
Office equipment | ||||||||
Network and communication equipment | ||||||||
Mining assets | ||||||||
IT equipment | ||||||||
Energy generating assets | ||||||||
Constructions in progress | ||||||||
Machinery, plant and equipment | ||||||||
Total | ||||||||
Property, plant and equipment, gross | ||||||||
Land | ||||||||
Buildings | ||||||||
Other property, plant and equipment | ||||||||
Transport equipment | ||||||||
Supplies and accessories | ||||||||
Office equipment | ||||||||
Network and communication equipment | ||||||||
Mining assets | ||||||||
IT equipment | ||||||||
Energy generating assets | ||||||||
Constructions in progress | ||||||||
Machinery, plant and equipment | ||||||||
Total | ||||||||
Accumulated depreciation and value impairment of property, plant and equipment, total | ||||||||
Accumulated depreciation and impairment of buildings | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of other property, plant and equipment | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of transport equipment | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of supplies and accessories | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of office equipment | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of network and communication equipment | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of mining assets | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of IT equipment | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of energy generating assets | ( | ) | ( | ) | ||||
Accumulated depreciation and impairment of machinery, plant and equipment | ( | ) | ( | ) | ||||
Total | ( | ) | ( | ) |
F-116 |
Notes to the Consolidated Financial Statements |
Description of classes of property, plant and equipment | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Property, plant and equipment, net | ||||||||
Pumps | ||||||||
Conveyor Belt | ||||||||
Crystallizer | ||||||||
Plant Equipment | ||||||||
Tanks | ||||||||
Filter | ||||||||
Electrical equipment/facilities | ||||||||
Other Property, Plant & Equipment | ||||||||
Site Closure | ||||||||
Piping | ||||||||
Well | ||||||||
Pond | ||||||||
Spare Parts (1) | ||||||||
Total |
(1) | The reconciliation of the spare parts provision as of December 31, 2021 and 2020 is as follows: |
Conciliation | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Opening balance | ||||||||
Increase in provision | ||||||||
Closing balance |
F-117 |
Notes to the Consolidated Financial Statements |
15.2 |
of changes in property, plant and equipment by type: |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2021, gross amount |
Land |
Buildings |
Other property, plant and equipment |
Transport equipment |
Supplies and accessories |
Equipment office |
Network and communication equipment |
Mining assets |
IT equipment |
Energy generating assets |
Assets under construction |
Machinery, plant and equipment |
Property, plant and equipment |
|||||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||||||||
Opening balance |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||
Reclassifications |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Total changes |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||||
Closing balance |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2021, accumulated depreciation |
Land |
Buildings |
Other property, plant and equipment |
Transport equipment |
Supplies and accessories |
Equipment office |
Network and communication equipment |
Mining assets |
IT equipment |
Energy generating assets |
Assets under construction |
Machinery, plant and equipment |
Property, plant and equipment |
|||||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||||||||
Opening balance |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||
Changes |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expense |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||
Impairment (3) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassifications |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) (1) |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Total changes |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||
Closing balance |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
F-118 |
Notes to the Consolidated Financial Statements |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2021, net amount |
Land |
Buildings |
Other property, plant and equipment |
Transport equipment |
Supplies and accessories |
Equipment office |
Network and communication equipment |
Mining assets |
IT equipment |
Energy generating assets |
Assets under construction |
Machinery, plant and equipment |
Property, plant and equipment |
|||||||||||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||||||||||||||||||||||||||
Opening balance |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expense |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||
Impairment (3) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||
Reclassifications |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) (1) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale (2) |
||||||||||||||||||||||||||||||||||||||||||||||||||||
Total changes |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||||||
Closing balance |
F-119 |
Notes to the Consolidated Financial Statements |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2020, gross amount | Land | Buildings | Other property, plant and equipment | Transport equipment | Supplies and accessories | Equipment office | Network and communication equipment | Mining assets | IT equipment | Energy generating assets | Assets under construction | Machinery, plant and equipment | Property, plant and equipment | |||||||||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||||||||||||||
Opening balance | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassifications | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total changes | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Closing balance |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2020, accumulated depreciation | Land | Buildings | Other property, plant and equipment | Transport equipment | Supplies and accessories | Equipment office | Network and communication equipment | Mining assets | IT equipment | Energy generating assets | Assets under construction | Machinery, plant and equipment | Property, plant and equipment | |||||||||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||||||||||||||
Opening balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Changes | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expense | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Impairment | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||
Reclassifications | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total changes | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||
Closing balance | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) |
F-120 |
Notes to the Consolidated Financial Statements |
Reconciliation of changes in property, plant and equipment by class as of December 31, 2020, net amount | Land | Buildings | Other property, plant and equipment | Transport equipment | Supplies and accessories | Equipment office | Network and communication equipment | Mining assets | IT equipment | Energy generating assets | Assets under construction | Machinery, plant and equipment | Property, plant and equipment | |||||||||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||||||||||||||
Opening balance | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Additions | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Disposals | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation expense | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Deterioration | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in foreign currency translation difference | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassifications | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other increases (decreases) (1) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||
Decreases for classification as held for sale (2) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Total changes | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Closing balance |
F-121 |
Notes to the Consolidated Financial Statements |
15.3 |
15.4 |
Costs of capitalized interest |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Capitalized interest rate | % | % | ||||||
Amount of interest cost capitalized |
F-122 |
Notes to the Consolidated Financial Statements |
Other non-financial assets, current |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Domestic Value Added Tax | ||||||||
Foreign Value Added Tax | ||||||||
Prepaid mining licenses | ||||||||
Prepaid insurance | ||||||||
Other prepayments | ||||||||
Refund of Value Added Tax to exporters | ||||||||
Other taxes | ||||||||
Other assets | ||||||||
Total |
Other non-financial assets, non-current |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Exploration and evaluation expenses (1) | ||||||||
Guarantee deposits | ||||||||
Other assets | ||||||||
Total |
(1) | Reconciliation of changes in assets for exploration and mineral resource evaluation, by type |
Conciliation |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Opening balance |
||||||||||||
Change in assets for exploration and evaluation of mineral resources |
||||||||||||
Additions | ||||||||||||
Short term reclassifications | ( |
) | ( |
) | ||||||||
Increase (decrease) due to transfers and other charges | ( |
) | ( |
) | ||||||||
Total changes |
( |
) |
( |
) |
||||||||
Total |
F-123 |
Notes to the Consolidated Financial Statements |
Explorations in execution |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Chile | ||||||||
Total |
Reconciliation of explorations in execution |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Opening balance |
||||||||
Disbursements | ||||||||
Reclassifications | ( |
) | ( |
) | ||||
Total changes |
( |
) |
( |
) |
||||
Total |
Economically feasible |
Type of Exploration |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||
ThUS$ |
ThUS$ |
|||||||||
Chile (1) | Metallic/Non-Metallic | |||||||||
Total |
F-124 |
Notes to the Consolidated Financial Statements |
Economically feasible |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Opening balance |
||||||||
Additions | ||||||||
Reclassifications from Exploration in execution – Chile | ||||||||
Reclassifications to Exploration in Exploitation-Chile | ( |
) | ||||||
Total changes |
||||||||
Total |
Short-Term Exploitation rec onciliation |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Opening balance |
||||||||
Amortization | ( |
) | ( |
) | ||||
Reclassifications | ||||||||
Total changes |
( |
) |
( |
) |
||||
Total |
Long -Term Exploitation conciliation |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Opening balance |
||||||||
Amortization | ||||||||
Reclassifications | ( |
) | ||||||
Total changes |
( |
) |
||||||
Total |
F-125 |
Notes to the Consolidated Financial Statements |
Note 17 |
17.1 |
Classes of benefits and expenses by employee |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Current |
||||||||
Profit sharing and bonuses | ||||||||
Performance bon u s and operational targets |
||||||||
Total |
||||||||
Non-current |
||||||||
Profit sharing and bonuses | ||||||||
Severance indemnity payments | ||||||||
Total |
17.2 |
a) | Short-term benefits for active employees are represented by salaries, social welfare benefits, paid time off, sickness and other types of leave, profit sharing and incentives and non-monetary benefits; e.g., healthcare service, housing, subsidized or free goods or services. These will be paid in a term which does not exceed twelve months. The Company maintains incentive programs for its employees, which are calculated based on the net result at the close of each period by applying a factor obtained from an evaluation based on their personal performance, the Company’s performance and other short-term and long-term indicators. |
b) | Staff severance indemnities are agreed and payable based on the final salary, calculated in accordance with each year of service to the Company, with certain maximum limits in respect of either the number of years or in monetary terms. In general, this benefit is payable when the employee or worker ceases to provide his/her services to the Company and there are a number of different circumstances through which a person can be eligible for it, as indicated in the respective agreements; e.g. retirement, dismissal, voluntary retirement, incapacity or disability, death, etc. See Note 17.3. |
c) | Obligations after employee retirement, described in Note 17.4. |
d) | Retention bonuses for a group of Company executives, described in Note 17.6. |
F-126 |
Notes to the Consolidated Financial Statements |
17.3 |
17.4 |
Reconciliation Changes in the benefit obligation |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Opening balance | ||||||||||||
cost of service | ||||||||||||
Interest cost | ||||||||||||
Actuarial loss | ( |
) | ||||||||||
Benefits paid | ( |
) | ( |
) | ( |
) | ||||||
Total benefit obligation (A) |
Reconciliation Changes in plan assets |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Fair value of plan assets at the start of the year | ||||||||||||
Actual gains on plan assets | ||||||||||||
Benefits paid | ( |
) | ( |
) | ( |
) | ||||||
Fair value of plan assets as of the year-end (B) |
||||||||||||
Net value (A – B) |
( |
) | ||||||||||
Items not yet recognized as components of net periodic pension costs: |
||||||||||||
Net actuarial loss at the beginning of the year | ( |
) | ( |
) | ||||||||
Amortization during the year | ||||||||||||
Estimated net gain for the year | ( |
) | ||||||||||
Movement to recognize minimum pension obligations |
( |
) |
Cost of service or benefits received during the year |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Cost of service or benefits received during the year | ||||||||||||
Interest cost of benefit obligation | ||||||||||||
Actual gains on plan assets | ||||||||||||
Amortization of prior year losses | ||||||||||||
Net gains during the year | ( |
) | ||||||||||
Net periodic pension costs | ( |
) | ( |
) | ( |
) |
F-127 |
Notes to the Consolidated Financial Statements |
17.5 |
Staff severance indemnities |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Opening balance | ( |
) | ( |
) | ( |
) | ||||||
Current cost of service | ( |
) | ( |
) | ( |
) | ||||||
Interest cost | ( |
) | ( |
) | ( |
) | ||||||
Actuarial gain loss | ( |
) | ( |
) | ||||||||
Exchange rate difference | ( |
) | ||||||||||
Benefits paid during the year | ||||||||||||
Total |
( |
) |
( |
) |
( |
) |
(a) | Actuarial assumptions |
Actuarial assumptions |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
Annual/Years |
||||||||||||
Mortality rate | ||||||||||||||||
Actual annual interest rate | % | % | % | |||||||||||||
Voluntary retirement rate: |
||||||||||||||||
Men | % | % | % | Annual |
||||||||||||
Women | % | % | % | Annual |
||||||||||||
Salary increase | % | % | % | Annual |
||||||||||||
Retirement age: |
||||||||||||||||
Men | Years |
|||||||||||||||
Women | Years |
(b) | Sensitivity analysis of assumptions |
Sensitivity analysis as of December 31, 2021 |
Effect + 100 basis points |
Effect - 100 basis points |
||||||
ThUS$ |
ThUS$ |
|||||||
Discount rate | ( |
) | ||||||
Employee turnover rate | ( |
) |
Sensitivity analysis as of December 31, 2020 |
Effect + 100 basis points |
Effect - 100 basis points |
||||||
ThUS$ |
ThUS$ |
|||||||
Discount rate | ( |
) | ||||||
Employee turnover rate | ( |
) |
17.6 |
(a) | Plan characteristics |
(b) | Plan participants |
i) | the average price of the series B shares on the Santiago Stock Exchange during the fourth quarter of 2020, in its US dollar equivalent (with a value of US$ |
ii) | the average price of SQM’s series B shares during the final quarter of 2022, subject to a limit of US$ |
i ii ) |
By a number equal to the quantity of shares that have been individually assigned to each executive included in the plan. |
F-128 |
Notes to the Consolidated Financial Statements |
Note 18 |
18.1 |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||||||||||
Types of provisions |
Current |
Non-current |
Total |
Current |
Non-current |
Total |
||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||
Provision for legal complaints (1) | ||||||||||||||||||||||||
Provision for dismantling, restoration and rehabilitation cost (2) | ||||||||||||||||||||||||
Other provisions (3) | ||||||||||||||||||||||||
Total |
F-129 |
Notes to the Consolidated Financial Statements |
18.2 |
Current provisions, other short-term provisions |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Rent under Lease contract (1) | ||||||||
Provision for additional tax related to foreign loans | ||||||||
End of agreement bonus | ||||||||
Directors’ per diem allowance | ||||||||
Miscellaneous provisions | ||||||||
Total |
F-130 |
Notes to the Consolidated Financial Statements |
18.3 |
Description of other liabilities |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Tax withholdings | ||||||||
VAT payable | ||||||||
Guarantees received | ||||||||
Accrual for dividend | ||||||||
Monthly tax provisional payments | ||||||||
Deferred income | ||||||||
Withholdings from employees and salaries payable | ||||||||
Accrued vacations (1) | ||||||||
Other current liabilities | ||||||||
Total |
F-131 |
Notes to the Consolidated Financial Statements |
18.4 |
Description of items that gave rise to variations as of December 31, 2021 |
Legal complaints |
Provision for dismantling, restoration and rehabilitation cost |
Other provisions |
Total |
||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||
Total provisions, initial balance |
||||||||||||||||
Changes |
||||||||||||||||
Additional provisions | ||||||||||||||||
Provision used | ( |
) | ( |
) | ( |
) | ||||||||||
Increase(decrease) in foreign currency exchange | ( |
) | ( |
) | ( |
) | ||||||||||
Others | ( |
) | ( |
) | ( |
) | ||||||||||
Total Increase (decreases) |
( |
) |
||||||||||||||
Total |
Description of items that gave rise to variations as of December 31, 2020 |
Legal complaints |
Provision for dismantling, restoration and rehabilitation cost |
Other provisions |
Total |
||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||
Total provisions, initial balance |
||||||||||||||||
Changes |
||||||||||||||||
Additional provisions | ||||||||||||||||
Provision used | ( |
) | ( |
) | ( |
) | ||||||||||
Increase(decrease) in foreign currency exchange | ( |
) | ( |
) | ||||||||||||
Others | ( |
) | ( |
) | ||||||||||||
Total Increase (decreases) |
( |
) |
( |
) |
||||||||||||
Total |
Description of items that gave rise to variations as of December 31, 2019 |
Legal complaints |
Provision for dismantling, restoration and rehabilitation cost |
Other provisions |
Total |
||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||
Total provisions, initial balance |
||||||||||||||||
Changes |
||||||||||||||||
Additional provisions | ||||||||||||||||
Provision used | ( |
) | ( |
) | ( |
) | ||||||||||
Increase(decrease) in foreign currency exchange | ( |
) | ( |
) | ||||||||||||
Others | ||||||||||||||||
Total Increase (decreases) |
||||||||||||||||
Total |
F-132 |
Notes to the Consolidated Financial Statements |
Note 19 |
19.1 |
Capital Management |
As of December 31, 2021 |
As of December 31, 2020 |
Description (1) |
Calculation (1) |
||||||||
Net Financial Debt (ThUS$) | ||||||||||||
Liquidity | ||||||||||||
ROE | % | % | ||||||||||
Adjusted EBITDA (ThUS$) | ||||||||||||
EBITDA (ThUS$) | ||||||||||||
ROA | % | % | ||||||||||
Indebtedness |
19.2 |
F-133 |
Notes to the Consolidated Financial Statements |
Financial restrictions (member) |
||||||||
As of December 31, 2021 |
Financial restrictions (member) |
Financial restrictions (member) |
Financial restrictions (member) |
Financial restrictions (member) |
||||
Instrument with restriction |
||||||||
Reporting party or subsidiary restriction |
||||||||
Creditor |
||||||||
Registration number |
||||||||
Name of financial indicator or ratio (See definition in Note 20.1) |
||||||||
Measurement frequency |
||||||||
Restriction (Range, value and unit of measure) |
||||||||
Indicator or ratio determined by the company |
||||||||
Fulfilled YES/NO |
Financial restrictions (member) |
||||||||
As of December 31, 2020 |
Financial restrictions (member) |
Financial restrictions (member) |
Financial restrictions (member) |
Financial restrictions (member) |
||||
Instrument with restriction |
||||||||
Reporting party or subsidiary restriction |
||||||||
Creditor |
||||||||
Registration number |
||||||||
Name of financial indicator or ratio (See definition in Note 20.1) |
||||||||
Measurement frequency |
||||||||
Restriction (Range, value and unit of measure) |
||||||||
Indicator or ratio determined by the company |
||||||||
Fulfilled YES/NO |
19.3 |
(a) | require the calling of an Ordinary or Extraordinary Shareholders' Meeting when so requested by Series B shareholders representing at least 5% of the issued shares thereof; and |
(b) | require the calling of an extraordinary meeting of the board of directors, without the president being able to qualify the need for such a request, when so requested by the director who has been elected by the shareholders of said Series B. |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||||||||||
Type of capital in preferred shares |
Series A |
Series B |
Series A |
Series B |
||||||||||||
Description of type of capital in shares |
||||||||||||||||
Number of authorized shares | ||||||||||||||||
Number of fully subscribed and paid shares | ||||||||||||||||
Number of subscribed, partially paid shares | ||||||||||||||||
Increase (decrease) in the number of current shares | ||||||||||||||||
Number of outstanding shares | ||||||||||||||||
Number of shares owned by the Company or its subsidiaries or associates | ||||||||||||||||
Number of shares whose issuance is reserved due to the existence of options or agreements to dispose shares | ||||||||||||||||
Capital amount in shares ThUS$ | ||||||||||||||||
Total number of subscribed shares |
F-134 |
Notes to the Consolidated Financial Statements |
19.4 |
Disclosures on reserves in equity |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Reserve for currency exchange conversion (1) | ( |
) | ( |
) | ( |
) | ||||||
Reserve for cash flow hedges (2) | ( |
) | ||||||||||
Reserve for gains and losses from financial assets measured at fair value through other comprehensive income (3) | ( |
) | ( |
) | ||||||||
Reserve for actuarial gains or losses in defined benefit plans (4) | ( |
) | ( |
) | ( |
) | ||||||
Other reserves | ||||||||||||
Total |
( |
) |
( |
) |
F-135 |
Notes to the Consolidated Financial Statements |
Foreign currency translation difference (1) | Reserve for cash flow hedges | Reserve for actuarial gains and losses from defined benefit plans | Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income | Other reserves | Total reserves | |||||||||||||||||||||||||||||||||||||||
Movements | Before taxes | Before taxes | Tax | Before taxes | Deferred taxes | Before Taxes | Deferred taxes | Before taxes | Reserves | Deferred taxes | Total reserves | |||||||||||||||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ||||||||||||||||||||||||||||||||||
Opening balance as of January 1, 2019 | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||
Movement of reserves | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||
Realclasification adjustments | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||
Closing balance as of December 31, 2019 | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||
Movement of reserves | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||
Realclassification adjustment | - | - | - | - | - | - | ( | ) | - | |||||||||||||||||||||||||||||||||||
Closing balance as of December 31, 2020 | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||
Movement of reserves | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||
Realclassification adjustment | ( | ) | - | - | - | - | - | - | ( | ) | ( | ) | - | ( | ) | |||||||||||||||||||||||||||||
Reclassification to retained earnings | - | - | - | - | - | ( | ) | - | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||
Closing balance as of December 31, 2021 | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) | ( | ) |
Subsidiary – Associate | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
SQM Iberian S.A. | ||||||||||||
SQM Europe NV | ||||||||||||
Soquimich European holding B.V. | ||||||||||||
Abu Dhabi Fertilizer Industries WWL | ||||||||||||
Kore Potash PLC | ||||||||||||
Vitas Fzco. | ( | ) | ( | ) | ||||||||
Pavoni & C. Spa | ||||||||||||
Doktor Tarsa Tarim Sanayi AS | ||||||||||||
Others | ( | ) | ||||||||||
Total | ||||||||||||
Other derivative reserves of the acquisition of subsidiaries, which was already under Company ownership at the acquisition date (IAS 27R) | ||||||||||||
SQM Iberian S.A. | ( | ) | ( | ) | ( | ) | ||||||
Orcoma Estudios SPA | ||||||||||||
Total Other reserves |
% of interests in | Profit (loss) attributable to non-controlling interests for the year ended | Equity, non-controlling interests for the year ended | Dividends paid to non-controlling interests for the year ended | |||||||||||||||||||||||||
Subsidiary | the ownership held by non- controlling interests | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2021 | As of December 31, 2020 | |||||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||||
SQM Potasio S.A. | % | |||||||||||||||||||||||||||
Ajay SQM Chile S.A. | % | |||||||||||||||||||||||||||
Soquimich Comercial S.A. | % | |||||||||||||||||||||||||||
Comercial Agrorama Ltda. | % | ( | ) | ( | ) | ( | ) | |||||||||||||||||||||
SQM Indonesia S.A. | % | |||||||||||||||||||||||||||
Agrorama S.A. | % | |||||||||||||||||||||||||||
SQM Thailand Limited | 0 | % | ||||||||||||||||||||||||||
Total |
F-136 |
Notes to the Consolidated Financial Statements |
19.5 |
(a) | Distribute and pay to the corresponding shareholders, a percentage of the net income that shall be determined per the following financial parameters as a final dividend: |
(i) | 100% of the profit for 2021 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 2.5 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 0.85 times. |
(ii) | 80% of the profit for 2021 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 2.0 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 0.95 times. |
(iii) | 60% of the profit for 2021 if all the following financial parameters are met: (a) “all current assets” divided by “all current liabilities” is equal to or greater than 1.5 times, and (b) the sum of “all current liabilities” and “all non-current liabilities”, less “cash equivalents”, less “other current financial assets”, all of the above divided by “total equity” in equal or less than 1.05 times. |
F-137 |
Notes to the Consolidated Financial Statements |
(iv) | If none of the foregoing financial parameters are met, the Company shall distribute and pay, as a final dividend, and in favor of the respective shareholders, 50% of the 2021 net income. |
(b) | Distribute and pay two interim dividends during 2021, which will be charged to the final dividend indicated above against retained earnings reflected in the financial statements as of March 31, 2021 and June 30, 2021, by the percentage that corresponds according to the financial parameters expressed in (a) above. |
(c) | The Board of Directors will not distribute any other interim dividends out of 2021 earnings. |
(d) | At the ordinary meeting to be held in 2022, the Company's Board of Directors will propose a final dividend in line with the percentage corresponding to the financial parameters outlined in (a) above, discounting the provisional dividends and the Interim Dividends. In the event that the amount equivalent to the percentage of the 2021 distributable earnings as described in (a) above is equal to or less than the sum of the Potential Dividend and the Interim Dividends, then no additional amount will be distributed and the Interim Dividends will be deemed to be paid as a final dividend. In any case, the final dividend may not be less than the minimum legal dividend required by law or the bylaws. |
(e) | Any remaining amount from the net profits from 2021 can be retained and used to finance the Company’s own operations or one or more of its investment projects, notwithstanding a possible distribution of dividends charged to accumulated profit that might be approved by the shareholders’ meeting or the possible future capitalization of all or part of it. |
(f) | The payment of additional dividends is not being considered. |
19.6 |
19.7 |
Dividends | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Ajay SQM Chile S.A. Dividends | ||||||||||||
Ajay SQM Chile S.A Payable Dividend | ||||||||||||
Soquimich Comercial S.A. Special Dividend | ||||||||||||
Soquimich Comercial S.A. Payable Dividend | ||||||||||||
Non-controlling interests | ||||||||||||
Interim dividend | ||||||||||||
Special dividend | ||||||||||||
Dividends payable | ||||||||||||
Owners of the Parent | ||||||||||||
Dividends discounted from equity for the period |
Note 20 |
20.1 |
(a) | In August 1996, Nitratos Naturais do Chile Ltda. was fined by Fazenda do Estado de Sao Paulo for concluding activities without attaching the necessary documentation for submission to the competent authorities. The treasury of the State of Sao Paulo initiated legal actions to collect close to ThUS$ |
(b) | In August 2004, Nitratos Naturais do Chile Ltda. was fined by Fazenda do Estado de Sao Paulo for failing to report trade activities. The treasury of the State of Sao Paulo initiated legal actions to collect close to ThUS$ |
(c) | In 1 , 2021. |
(d) | In |
(e) | In |
(f) | In |
(g) | In |
F-138 |
Notes to the Consolidated Financial Statements |
(h) |
(i) | The company |
(j) | The Company has initiated an arbitration process against the company |
(k) | Through resolution dated April 14, 2020, the General Water Bureau (DGA) fined SQM Salar S.A. an amount of |
(l) | On January 7, 2021, the Company Ocaña y Vega Limited has requested arbitration against the Company to claim compensation for damages associated with the early termination of two construction contracts. The case has reached the evidence gathering stage. The cost of arbitration is valued at approximately ThUS$ |
(m) | On April 6, 2021, Empresa Eléctrica Cochrane SpA requested the constitution of arbitration to resolve a dispute in relation to electricity supply contracts signed on March 30, 2012, and February 1, 2013. The trial is currently in the discussion stage. On January 17, 2022, the Company filed a claim for early termination of the electricity supply contracts against Empresa Eléctrica Cochrane SpA. at the same arbitration tribunal. |
(n) | In October 2021, the Company requested the constitution of an arbitration against Chilena Consolidada Seguros Generales S.A. to resolve differences in relation to the interpretation and execution of the directors' and officers' liability insurance policy. The lawsuit has been notified to the arbitrator. |
(o) | In February 2022, the company Montajes Eléctricos y Construcciones RER Limitada filed a claim for damages before the 21st Civil Court of Santiago against SQM Industrial S.A. for its alleged liability derived from the breach of an electrical installation contract. The case is still in the discussion stage. The amount of the lawsuit is approximately ThUS$ |
F-139 |
Notes to the Consolidated Financial Statements |
20.2 |
20.3 |
(a) | On August 26, 2016, a tax claim was filed with the Third Tax and Customs Court of the Metropolitan Region against tax assessments No. 169, 170, 171 and 172 for tax years 2012 to 2014. The amount in dispute is US$ |
(b) | On March 24, 2017, a tax claim was filed with the Third Tax and Customs Court of the Metropolitan Region against tax assessment No. 207 and resolution No. 156, both issued by the SII, for tax years 2015 to 2016. The amount in dispute is US$ |
F-140 |
Notes to the Consolidated Financial Statements |
(c) | On July 15, 2021, SQM Salar filed a public right annulment suit and tax claim with the First Tax and Customs Court of the Metropolitan Region against tax assessments No. 65 and 66 for the 2017 and 2018 tax years. The amount in dispute is US$ |
20.4 |
20.5 |
20.6 |
F-141 |
Notes to the Consolidated Financial Statements |
20.7 |
Grantor |
Relationship |
As of December 31, 2021 |
As of December 31, 2020 |
|||||||
ThUS$ |
ThUS$ |
|||||||||
Total |
20.8 |
F-142 |
Notes to the Consolidated Financial Statements |
Note 21 |
21.1 |
(a) | Geographic areas: |
For the year ended December 31, 2021 |
||||||||||||||||||||||||||||
Geographic areas |
Specialty plant nutrition |
Iodine and derivatives |
Lithium and derivatives |
Potassium |
Industrial chemicals |
Other |
Total ThUS$ |
|||||||||||||||||||||
Chile | ||||||||||||||||||||||||||||
Latin America and the Caribbean | ||||||||||||||||||||||||||||
Europe | ||||||||||||||||||||||||||||
North America | ||||||||||||||||||||||||||||
Asia and Others | ||||||||||||||||||||||||||||
Total |
For the year ended as of December 31, 2020 |
||||||||||||||||||||||||||||
Geographic areas |
Specialty plant nutrition |
Iodine and derivatives |
Lithium and derivatives |
Potassium |
Industrial chemicals |
Other |
Total ThUS$ |
|||||||||||||||||||||
Chile | ||||||||||||||||||||||||||||
Latin America and the Caribbean | ||||||||||||||||||||||||||||
Europa | ||||||||||||||||||||||||||||
North America | ||||||||||||||||||||||||||||
Asia and Others | ||||||||||||||||||||||||||||
Total |
For the year ended as of December 31, 2019 |
||||||||||||||||||||||||||||
Geographic areas |
Specialty plant nutrition |
Iodine and derivatives |
Lithium and derivatives |
Potassium |
Industrial chemicals |
Other |
Total ThUS$ |
|||||||||||||||||||||
Chile | ||||||||||||||||||||||||||||
Latin America and the Caribbean | ||||||||||||||||||||||||||||
Europa | ||||||||||||||||||||||||||||
North America | ||||||||||||||||||||||||||||
Asia and Others | ||||||||||||||||||||||||||||
Total |
F-143 |
Notes to the Consolidated Financial Statements |
(b) | Main product and service lines: |
For the period from January to December of the year |
||||||||||||
Products and Services |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Specialty plant nutrition |
||||||||||||
- Sodium Nitrates | ||||||||||||
- Potassium nitrate and sodium potassium nitrate | ||||||||||||
- Specialty Blends | ||||||||||||
- Other specialty fertilizers | ||||||||||||
Iodine and derivatives |
||||||||||||
Lithium and derivatives |
||||||||||||
Potassium |
||||||||||||
Industrial chemicals |
||||||||||||
Other |
||||||||||||
- Services | ||||||||||||
- Income from property leases | ||||||||||||
- Income from subleases on right-of-use assets | ||||||||||||
- Commodities | ||||||||||||
- Other ordinary income of Commercial Offices | ||||||||||||
Total |
F-144 |
Notes to the Consolidated Financial Statements |
21.2 |
For the period from January to December of the year |
||||||||||||
Nature of expense |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Raw materials and consumables used | ( |
) | ( |
) | ( |
) | ||||||
Classes of employee benefit expenses | ( |
) | ( |
) | ( |
) | ||||||
Depreciation expense | ( |
) | ( |
) | ( |
) | ||||||
Depreciation of Right-of-use Assets (contracts under IFRS 16) | ( |
) | ( |
) | ( |
) | ||||||
Amortization expense | ( |
) | ( |
) | ( |
) | ||||||
Investment plan expenses | ( |
) | ( |
) | ( |
) | ||||||
Provision for materials, spare parts and supplies | ( |
) | ( |
) | ||||||||
Contractors | ( |
) | ( |
) | ( |
) | ||||||
Operating leases | ( |
) | ( |
) | ( |
) | ||||||
Mining concessions | ( |
) | ( |
) | ( |
) | ||||||
Operational transportation | ( |
) | ( |
) | ( |
) | ||||||
Freight / product transportation costs | ( |
) | ( |
) | ( |
) | ||||||
Purchase of products from third parties | ( |
) | ( |
) | ( |
) | ||||||
Insurance | ( |
) | ( |
) | ( |
) | ||||||
CORFO rights and other agreements | ( |
) | ( |
) | ( |
) | ||||||
Export costs | ( |
) | ( |
) | ( |
) | ||||||
Expenses related to variable lease payments (contracts under IFRS 16) | ( |
) | ( |
) | ( |
) | ||||||
Variation in gross inventory | ||||||||||||
Variation in inventory provision | ||||||||||||
Other | ||||||||||||
Total |
( |
) |
( |
) |
( |
) |
F-145 |
Notes to the Consolidated Financial Statements |
21.3 |
For the period from January to December of the year |
||||||||||||
Other income |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Discounts obtained from suppliers | ||||||||||||
Fines charged to suppliers | ||||||||||||
Taxes recovered | ||||||||||||
Amounts recovered from insurance | ||||||||||||
Overestimate of provisions for third-party obligations | ||||||||||||
Sale of assets classified as properties, plant and equipment | ||||||||||||
Sale of mining rights | ||||||||||||
Easements, pipelines and roads | ||||||||||||
Refunds for mining patents and notarial expenses | ||||||||||||
Others | ||||||||||||
Total |
21.4 |
For the period from January to December of the year |
||||||||||||
Administrative expenses |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Employee benefit expenses | ( |
) | ( |
) | ( |
) | ||||||
Marketing costs | ( |
) | ( |
) | ( |
) | ||||||
Amortization expenses | ( |
) | ( |
) | ( |
) | ||||||
Entertainment expenses | ( |
) | ( |
) | ( |
) | ||||||
Advisory services | ( |
) | ( |
) | ( |
) | ||||||
Lease of buildings and facilities | ( |
) | ( |
) | ( |
) | ||||||
Insurance | ( |
) | ( |
) | ( |
) | ||||||
Office expenses | ( |
) | ( |
) | ( |
) | ||||||
Contractors | ( |
) | ( |
) | ( |
) | ||||||
Depreciation of Right-of-use Assets (contracts under IFRS 16) | ( |
) | ( |
) | ( |
) | ||||||
Other expenses | ( |
) | ( |
) | ( |
) | ||||||
Total |
( |
) |
( |
) |
( |
) |
F-146 |
Notes to the Consolidated Financial Statements |
21.5 |
For the period from January to December of the year |
||||||||||||
Other expenses |
|
2021 |
|
|
2020 |
|
|
2019 |
|
|||
|
ThUS$ |
|
|
ThUS$ |
|
|
ThUS$ |
|
||||
Depreciation and amortization expense |
||||||||||||
Depreciation of assets not in use |
( |
) |
( |
) |
||||||||
Subtotal |
|
|
|
|
|
|
( |
) |
|
|
( |
) |
Impairment (losses) /reversals of impairment losses recognized in profit for the year |
||||||||||||
Properties, plant and equipment |
( |
) |
( |
) |
( |
) |
||||||
Intangible assets other than goodwill |
( |
) |
( |
) |
( |
) |
||||||
Goodwill |
( |
) |
( |
) |
||||||||
Non-current assets and disposal groups held for sale |
||||||||||||
Subtotal |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Other expenses, by nature |
||||||||||||
Legal expenses |
( |
) |
( |
) |
( |
) |
||||||
VAT and other unrecoverable taxes |
( |
) |
( |
) |
( |
) |
||||||
Fines paid |
( |
) |
( |
) |
( |
) |
||||||
Investment plan expenses |
( |
) |
( |
) |
||||||||
Exploration expenses |
( |
) |
( |
) |
||||||||
Contributions and donations |
( |
) |
( |
) |
( |
) |
||||||
Other operating expenses |
( |
) |
( |
) |
( |
) |
||||||
Subtotal |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Total |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
21.6 |
For the period from January to December of the year |
||||||||||||
Other (losses) income |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Adjustment to prior periods due to applying the equity method | ( |
) | ( |
) | ( |
) | ||||||
Sale of investments in associates | ( |
) | ||||||||||
Impairment of interests in associates | ( |
) | ||||||||||
Sale of investments in joint ventures | ( |
) | ||||||||||
Others | ( |
) | ( |
) | ( |
) | ||||||
Total |
( |
) |
( |
) |
( |
) |
F-147 |
Notes to the Consolidated Financial Statements |
21.7 |
For the period from January to December of the year |
||||||||||||
Description |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
(Impairment) /reversal of value of financial assets impairment losses (See Note 12.2) | ( |
) | ( |
) | ||||||||
Totals |
( |
) |
( |
) |
21.8 |
For the period from January to December of the year |
||||||||||||
Expenses by nature |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Raw materials and consumables | ( |
) | ( |
) | ( |
) | ||||||
Employee Benefit Expenses | ( |
) | ( |
) | ( |
) | ||||||
Depreciation expense | ( |
) | ( |
) | ( |
) | ||||||
Depreciation of right-of-use Assets | ( |
) | ( |
) | ( |
) | ||||||
Impairment of properties, plant and equipment, intangible and Goodwill | ( |
) | ( |
) | ( |
) | ||||||
Amortization expense | ( |
) | ( |
) | ( |
) | ||||||
Legal expenses | ( |
) | ( |
) | ( |
) | ||||||
Investment plan expenses | ( |
) | ( |
) | ( |
) | ||||||
Exploration expenses | ( |
) | ( |
) | ||||||||
Provision for materials, spare parts and supplies | ( |
) | ( |
) | ||||||||
Contractors | ( |
) | ( |
) | ( |
) | ||||||
Operational leases | ( |
) | ( |
) | ( |
) | ||||||
Mining concessions | ( |
) | ( |
) | ( |
) | ||||||
Operational transportation | ( |
) | ( |
) | ( |
) | ||||||
Freight and product transportation costs | ( |
) | ( |
) | ( |
) | ||||||
Purchase of products from third parties | ( |
) | ( |
) | ( |
) | ||||||
CORFO rights y other agreements | ( |
) | ( |
) | ( |
) | ||||||
Export costs | ( |
) | ( |
) | ( |
) | ||||||
Expenses related to variable lease payments (contracts under IFRS 16) | ( |
) | ( |
) | ( |
) | ||||||
Insurance | ( |
) | ( |
) | ( |
) | ||||||
Consultant and advisor services | ( |
) | ( |
) | ( |
) | ||||||
Variation in gross inventory | ||||||||||||
Variation in inventory provision | ||||||||||||
Other expenses | ( |
) | ( |
) | ( |
) | ||||||
Total expenses by nature |
( |
) |
( |
) |
( |
) |
F-148 |
Notes to the Consolidated Financial Statements |
21.9 |
For the period from January to December of the year |
||||||||||||
Finance expenses |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Interest expense from bank borrowings and overdrafts | ( |
) | ( |
) | ( |
) | ||||||
Interest expense from bonds | ( |
) | ( |
) | ( |
) | ||||||
Interest expense from loans | ( |
) | ( |
) | ( |
) | ||||||
Reversal of capitalized interest expenses | ||||||||||||
Financial expenses for restoration and rehabilitation provisions | ( |
) | ( |
) | ||||||||
Interest on lease agreement | ( |
) | ( |
) | ( |
) | ||||||
Interest and bank charges | ( |
) | ( |
) | ( |
) | ||||||
Total |
( |
) |
( |
) |
( |
) |
21.10 |
For the period from January to December of the year |
||||||||||||
Finance income |
2021 |
2020 |
2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Interest from term deposits | ||||||||||||
Interest from marketable securities | ||||||||||||
Interest from maintenance of minimum bank balance in current account | ||||||||||||
Other finance income | ||||||||||||
Other finance interests | ||||||||||||
Total |
F-149 |
Notes to the Consolidated Financial Statements |
Note 22 |
22.1 |
(a) |
General information: |
(b) |
Factors used to identify segments on which a report should be presented: |
(c) |
Description of the types of products and services from which each reportable segment obtains its income from ordinary activities |
(i) | Specialty plant nutrients |
(ii) | Iodine and its derivatives |
(iii) | Lithium and its derivatives |
(iv) | Industrial chemicals |
(v) | Potassium |
(vi) | Other products and services |
(d) |
Description of income sources for all the other segments |
F-150 |
Notes to the Consolidated Financial Statements |
(e) |
Description of the nature of the differences between measurements of results of reportable segments and the result of the entity before the expense or income tax expense of incomes and discontinued operations |
(f) |
Description of the nature of the differences between measurements of assets of reportable segments and the Company´s assets |
(g) |
Description of the nature of the differences between measurements of liabilities of reportable segments and the Company’s liabilities |
F-151 |
Notes to the Consolidated Financial Statements |
22.2 |
Operating segment items as of December 31, 2021 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Reportable segments |
Operating segments |
Unallocated amounts |
Total as of December 31, 2021 |
||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||||||||||
Revenues from transactions with other operating segments of the same entity |
||||||||||||||||||||||||||||||||||||||||
Revenues from external customers and transactions with other operating segments of the same entity |
- |
|||||||||||||||||||||||||||||||||||||||
Costs of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Finance expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Depreciation and amortization expense |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
- |
( |
) |
|||||||||||||||||||||
The entity’s interest in the profit or loss of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||||||||||
Income before taxes |
( |
) |
||||||||||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Assets |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Equity-accounted investees |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Incorporation of non-current assets other than financial instruments, deferred tax assets, net defined benefit assets and rights arising from insurance contracts |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Other Liabilities |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Impairment loss of financial assets recognized in profit or loss |
- |
( |
) |
( |
) |
|||||||||||||||||||||||||||||||||||
Impairment loss of non-financial assets recognized in profit or loss |
- |
- |
- |
- |
- |
- |
- |
- |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Cash flows from operating activities |
||||||||||||||||||||||||||||||||||||||||
Cash flows used in investing activities |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Cash flows from financing activities |
F-152 |
Notes to the Consolidated Financial Statements |
Operating segment items as of December 31, 2020 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Reportable segments |
Operating segments |
Unallocated amounts |
Total as of December 31, 2020 |
||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||||||||||
Revenues from transactions with other operating segments of the same entity |
||||||||||||||||||||||||||||||||||||||||
Revenues from external customers and transactions with other operating segments of the same entity |
- |
|||||||||||||||||||||||||||||||||||||||
Costs of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Finance expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Depreciation and amortization expense |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
- |
( |
) |
|||||||||||||||||||||
The entity’s interest in the profit or loss of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||||||||||
Income before taxes |
( |
) |
||||||||||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Assets |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Equity-accounted investees |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Incorporation of non-current assets other than financial instruments, deferred tax assets, net defined benefit assets and rights arising from insurance contracts |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Other Liabilities |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Impairment loss of financial assets recognized in profit or loss |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Impairment loss of non-financial assets recognized in profit or loss |
- |
- |
- |
- |
- |
- |
- |
- |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Cash flows from operating activities |
||||||||||||||||||||||||||||||||||||||||
Cash flows used in investing activities |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Cash flows from financing activities |
( |
) |
( |
) |
F-153 |
Notes to the Consolidated Financial Statements |
Operating segment items as of December 31, 2019 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Reportable segments |
Operating segments |
Unallocated amounts |
Total as of December 31, 2019 |
||||||||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||||||||||
Revenues from transactions with other operating segments of the same entity |
||||||||||||||||||||||||||||||||||||||||
Revenues from external customers and transactions with other operating segments of the same entity |
- |
|||||||||||||||||||||||||||||||||||||||
Costs of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Finance expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Depreciation and amortization expense |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
- |
( |
) |
|||||||||||||||||||||
The entity’s interest in the profit or loss of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||||||||||
Income before taxes |
( |
) |
||||||||||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||||||||||||||||||||||||||
Assets |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Equity-accounted investees |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Incorporation of non-current assets other than financial instruments, deferred tax assets, net defined benefit assets and rights arising from insurance contracts |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Other Liabilities |
- |
- |
- |
- |
- |
- |
- |
- |
||||||||||||||||||||||||||||||||
Impairment loss of financial assets recognized in profit or loss |
- |
- |
- |
- |
- |
- |
- |
- |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Impairment loss of non-financial assets recognized in profit or loss |
- |
- |
- |
- |
- |
- |
- |
- |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Cash flows from operating activities |
||||||||||||||||||||||||||||||||||||||||
Cash flows used in investing activities |
( |
) |
( |
) |
||||||||||||||||||||||||||||||||||||
Cash flows from financing activities |
F-154 |
Notes to the Consolidated Financial Statements |
22.3 |
Items in the statement of comprehensive income as of December 31, 2021 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Corporate Unit |
Total segments and Corporate unit |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||
Costs of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||
Gross profit |
||||||||||||||||||||||||||||||||
Other incomes by function |
||||||||||||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Other expenses by function |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Impairment of gains and review of impairment losses (impairment losses) determined in accordance with IFRS 9 |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Other losses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Financial income |
||||||||||||||||||||||||||||||||
Financial costs |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Interest in the profit (loss) of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||
Exchange differences |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) before taxes |
( |
) |
||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) net |
( |
) |
F-155 |
Notes to the Consolidated Financial Statements |
Items in the statement of comprehensive income as of December 31, 2020 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Corporate Unit |
Total segments and Corporate unit |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||
Cost of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||
Gross profit |
||||||||||||||||||||||||||||||||
Other incomes by function |
||||||||||||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Other expenses by function |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Impairment of gains and review of impairment losses (impairment losses) determined in accordance with IFRS 9 |
||||||||||||||||||||||||||||||||
Other losses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Financial income |
||||||||||||||||||||||||||||||||
Financial costs |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Interest in the profit (loss) of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||
Exchange differences |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) before taxes |
( |
) |
||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) from continuing operations |
( |
) |
F-156 |
Notes to the Consolidated Financial Statements |
Items in the statement of comprehensive income as of December 31, 2019 |
Specialty plant nutrients |
Iodine and its derivatives |
Lithium and its derivatives |
Industrial chemicals |
Potassium |
Other products and services |
Corporate Unit |
Total segments and Corporate unit |
||||||||||||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
|||||||||||||||||||||||||
Revenue |
||||||||||||||||||||||||||||||||
Cost of sales |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||||||||||||
Gross profit |
||||||||||||||||||||||||||||||||
Other incomes by function |
||||||||||||||||||||||||||||||||
Administrative expenses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Other expenses by function |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Impairment of gains and review of impairment losses (impairment losses) determined in accordance with IFRS 9 |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Other losses |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Financial income |
||||||||||||||||||||||||||||||||
Financial costs |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Interest in the profit (loss) of associates and joint ventures accounted for by the equity method |
||||||||||||||||||||||||||||||||
Exchange differences |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) before taxes |
( |
) |
||||||||||||||||||||||||||||||
Income tax expense |
( |
) |
( |
) |
||||||||||||||||||||||||||||
Profit (loss) from continuing operations |
( |
) |
F-157 |
Notes to the Consolidated Financial Statements |
22.4 |
22.5 |
F-158 |
Notes to the Consolidated Financial Statements |
22.6 |
Items as of December 31, 2021 | Chile | Latin America and the Caribbean | Europe | North America | Asia and others | Total | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
Revenue | ||||||||||||||||||||||||
Investment accounted for under the equity method | ||||||||||||||||||||||||
Intangible assets other than goodwill | ||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
Property, plant and equipment, net | ||||||||||||||||||||||||
Right-of-use assets | ||||||||||||||||||||||||
Other non-current assets | ||||||||||||||||||||||||
Non-current assets |
Items as of December 31, 2020 | Chile | Latin America and the Caribbean | Europe | North America | Asia and others | Total | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
Revenue | ||||||||||||||||||||||||
Investment accounted for under the equity method | ||||||||||||||||||||||||
Intangible assets other than goodwill | ||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
Property, plant and equipment, net | ||||||||||||||||||||||||
Right-of-use assets | ||||||||||||||||||||||||
Other non-current assets | ||||||||||||||||||||||||
Non-current assets |
F-159 |
Notes to the Consolidated Financial Statements |
Items as of December 31, 2019 | Chile | Latin America and the Caribbean | Europe | North America | Asia and others | Total | ||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||
Revenue | ||||||||||||||||||||||||
Investment accounted for under the equity method | ||||||||||||||||||||||||
Intangible assets other than goodwill | ||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
Property, plant and equipment, net | ||||||||||||||||||||||||
Right-of-use assets | ||||||||||||||||||||||||
Other non-current assets | ( | ) | ||||||||||||||||||||||
Non-current assets |
F-160 |
Notes to the Consolidated Financial Statements |
Note 23 |
(a) |
Foreign currency exchange differences recognized in profit or loss and other comprehensive income: |
Foreign currency exchange differences recognized in profit or loss and other comprehensive income |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Conversion foreign exchange gains (losses) recognized in the result of the year |
( |
) |
( |
) |
( |
) |
||||||
Conversion foreign exchange reserves |
||||||||||||
Conversion foreign exchange reserves attributable to the owners of the controlling entity | ||||||||||||
Conversion foreign exchange reserves attributable to the non-controlling entity | ( |
) | ||||||||||
Total |
(b) |
Reserves for foreign currency exchange differences: |
Details |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 2019 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Changes in equity generated by the equity method value through conversion: |
||||||||||||
Comercial Hydro S.A. | ||||||||||||
SQMC Internacional Ltda. | ( |
) | ( |
) | ( |
) | ||||||
Proinsa Ltda. | ( |
) | ( |
) | ( |
) | ||||||
Comercial Agrorama Ltda. | ( |
) | ||||||||||
Isapre Norte Grande Ltda. | ( |
) | ( |
) | ( |
) | ||||||
Almacenes y Depósitos Ltda. | ||||||||||||
Sacal S.A. | ( |
) | ( |
) | ( |
) | ||||||
Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A. | ( |
) | ( |
) | ( |
) | ||||||
Agrorama S.A. | ||||||||||||
Doktor Tarsa | ( |
) | ||||||||||
SQM Vitas Fzco | ( |
) | ( |
) | ( |
) | ||||||
Doctochem | ||||||||||||
SQM Eastmed Turkey | ( |
) | ||||||||||
Ajay Europe | ( |
) | ( |
) | ( |
) | ||||||
Coromandel SQM India | ( |
) | ||||||||||
SQM Italia SRL | ( |
) | ||||||||||
SQM Oceanía Pty Ltd. | ( |
) | ( |
) | ( |
) | ||||||
SQM Indonesia S.A. | ( |
) | ( |
) | ( |
) | ||||||
Abu Dhabi Fertillizers Industries WWL. | ||||||||||||
SQM Holland B.V. | ( |
) | ||||||||||
SQM Thailand Limited | ( |
) | ( |
) | ( |
) | ||||||
SQM Europe | ( |
) | ( |
) | ( |
) | ||||||
SQM Australia Pty Ltd. | ( |
) | ( |
) | ( |
) | ||||||
Pavoni & C. Spa | ( |
) | ( |
) | ||||||||
Terra Tarsa BV | ||||||||||||
Plantacote NV | ( |
) | ||||||||||
Doktolab Tarim Arastirma San. | ( |
) | ||||||||||
Kore Potash PLC (a) | ( |
) | ( |
) | ||||||||
SQM Colombia S.A.S. | ( |
) | ( |
) | ( |
) | ||||||
Total |
( |
) |
( |
) |
( |
) |
F-161 |
Notes to the Consolidated Financial Statements |
(c) |
Functional and presentation currency |
(d) |
Reasons to use one presentation currency and a different functional currency |
- | A relevant portion of the revenues of these subsidiaries are associated with the local currency. |
- | The cost structure of these companies is affected by the local currency. |
F-162 |
Notes to the Consolidated Financial Statements |
Note 24 |
a) | Assets held in foreign currency subject to fluctuations in exchange rates are detailed as follows: |
Class of Asset |
Currency |
As of December 31, 2021 |
As of December 31, 2020 |
||||||||
ThUS$ |
ThUS$ |
||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Cash and cash equivalents | |||||||||||
Subtotal cash and cash equivalents |
|||||||||||
Other current financial assets | |||||||||||
Other current financial assets | |||||||||||
Other current financial assets | |||||||||||
Subtotal other current financial assets |
|||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Other current non-financial assets | |||||||||||
Subtotal other non-financial current assets |
|||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Trade and other receivables | |||||||||||
Subtotal trade and other receivables |
|||||||||||
Receivables from related parties | |||||||||||
Receivables from related parties | |||||||||||
Receivables from related parties | |||||||||||
Subtotal receivables from related parties |
F-163 |
Notes to the Consolidated Financial Statements |
Class of assets | Currency | As of December 31, 2021 | As of December 31, 2020 | ||||||||
ThUS$ | ThUS$ | ||||||||||
Current inventories | |||||||||||
Subtotal Current Inventories | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Current tax assets | |||||||||||
Subtotal current tax assets | |||||||||||
Non-current assets or groups of assets classified as held for sale | |||||||||||
Subtotal Non-current assets or groups of assets classified as held for sale | |||||||||||
Total current assets | |||||||||||
Other non-current financial assets | |||||||||||
Other non-current financial assets | |||||||||||
Other non-current financial assets | |||||||||||
Subtotal Other non-current financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Other non-current non-financial assets | |||||||||||
Subtotal Other non-current non-financial assets | |||||||||||
Other receivables, non-current | |||||||||||
Other receivables, non-current | |||||||||||
Other receivables, non-current | |||||||||||
Other receivables, non-current | |||||||||||
Subtotal Other receivables, non-current | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Investments classified using the equity method of accounting | |||||||||||
Subtotal Investments classified using the equity method of accounting | |||||||||||
Intangible assets other than goodwill | |||||||||||
Intangible assets other than goodwill | |||||||||||
Intangible assets other than goodwill | |||||||||||
Intangible assets other than goodwill | |||||||||||
Intangible assets other than goodwill | |||||||||||
Intangible assets other than goodwill | |||||||||||
Subtotal intangible assets other than goodwill | |||||||||||
Purchases goodwill, gross | |||||||||||
Purchases goodwill, gross | |||||||||||
Subtotal Purchases goodwill, gross | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Property, plant and equipment | |||||||||||
Subtotal property, plant and equipment | |||||||||||
Right-of-use assets | |||||||||||
Right-of-use assets | |||||||||||
Right-of-use assets | |||||||||||
Right-of-use assets | |||||||||||
Subtotal Right-of-use assets | |||||||||||
Non-current tax assets | |||||||||||
Subtotal non-current tax assets | |||||||||||
Total non-current assets | |||||||||||
Total assets |
F-164 |
Notes to the Consolidated Financial Statements |
As of December 31, 2021 | As of December 31, 2020 | |||||||||||||||||||||||||
Class of liability | Currency | Up to 90 days | More than 90 days to 1 year | Total | Up to 90 days | More than 90 days to 1 year | Total | |||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||
Other current financial liabilities | ||||||||||||||||||||||||||
Other current financial liabilities | ||||||||||||||||||||||||||
Subtotal other current financial liabilities | ||||||||||||||||||||||||||
Lease liabilities, current | ||||||||||||||||||||||||||
Lease liabilities, current | ||||||||||||||||||||||||||
Lease liabilities, current | ||||||||||||||||||||||||||
Lease liabilities, current | ||||||||||||||||||||||||||
Subtotal Lease liabilities, current | - | |||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Trade and other payables | ||||||||||||||||||||||||||
Subtotal trade and other payables | ||||||||||||||||||||||||||
Trade payables due to related parties, current | ||||||||||||||||||||||||||
Trade payables due to related parties, current | ||||||||||||||||||||||||||
Subtotal Trade payables due to related parties, current | - | |||||||||||||||||||||||||
Other current provisions | ||||||||||||||||||||||||||
Other current provisions | ||||||||||||||||||||||||||
Subtotal other current provisions |
F-165 |
Notes to the Consolidated Financial Statements |
As of December 31, 2021 | As of December 31, 2020 | |||||||||||||||||||||||||
Class of liability | Currency | Up to90 days | 91 days to 1 year | Total | Up to90 days | 91 days to 1 year | Total | |||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||
Current tax liabilities | ||||||||||||||||||||||||||
Current tax liabilities | ||||||||||||||||||||||||||
Current tax liabilities | ||||||||||||||||||||||||||
Current tax liabilities | ||||||||||||||||||||||||||
Subtotal current tax liabilities | ||||||||||||||||||||||||||
Provisions for employee benefits, current | ||||||||||||||||||||||||||
Provisions for employee benefits, current | ||||||||||||||||||||||||||
Provisions for employee benefits, current | ||||||||||||||||||||||||||
Provisions for employee benefits, current | ||||||||||||||||||||||||||
Provisions for employee benefits, current | ||||||||||||||||||||||||||
Subtotal Provisions for employee benefits, current | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Other current non-financial liabilities | ||||||||||||||||||||||||||
Subtotal other current non-financial liabilities | ||||||||||||||||||||||||||
Total current liabilities |
F-166 |
Notes to the Consolidated Financial Statements |
As of December 31, 2021 | ||||||||||||||||||||||||||
Class of liability | Currency | Over 1 year to 2 years | Over 2 years to 3 years | Over 3 years to 4 years | Over 4 years to 5 years | Over 5 years | Total | |||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||
Non-current liabilities | ||||||||||||||||||||||||||
Other non-current financial liabilities | ||||||||||||||||||||||||||
Other non-current financial liabilities | ||||||||||||||||||||||||||
Subtotal Other non-current financial liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Subtotal non-current lease liabilities | ||||||||||||||||||||||||||
Non-current Trade and other payables | ||||||||||||||||||||||||||
Subtotal Non-current Trade and other payables | ||||||||||||||||||||||||||
Other non-current provisions | ||||||||||||||||||||||||||
Subtotal Other non-current provisions | ||||||||||||||||||||||||||
Deferred tax liabilities | ||||||||||||||||||||||||||
Subtotal Deferred tax liabilities | ||||||||||||||||||||||||||
Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Subtotal Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Total non-current liabilities | ||||||||||||||||||||||||||
Total liabilities |
F-167 |
Notes to the Consolidated Financial Statements |
As of December 31, 2020 | ||||||||||||||||||||||||||
Class of liability | Currency | Over 1 year to 2 years | Over 2 years to 3 years | Over 3 years to 4 years | Over 4 years to 5 years | Over 5 years | Total | |||||||||||||||||||
ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | ThUS$ | |||||||||||||||||||||
Non-current liabilities | ||||||||||||||||||||||||||
Other non-current financial liabilities | ||||||||||||||||||||||||||
Other non-current financial liabilities | ||||||||||||||||||||||||||
Subtotal Other non-current financial liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Non-current lease liabilities | ||||||||||||||||||||||||||
Subtotal non-current lease liabilities | ||||||||||||||||||||||||||
Non-current Trade and other payables | ||||||||||||||||||||||||||
Subtotal Non-current Trade and other payables | ||||||||||||||||||||||||||
Other non-current provisions | ||||||||||||||||||||||||||
Subtotal Other non-current provisions | ||||||||||||||||||||||||||
Deferred tax liabilities | ||||||||||||||||||||||||||
Subtotal Deferred tax liabilities | ||||||||||||||||||||||||||
Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Subtotal Provisions for employee benefits, non-current | ||||||||||||||||||||||||||
Total non-current liabilities | ||||||||||||||||||||||||||
Total liabilities |
For the period from January to December of the year | ||||||||||||
Foreign currency exchange rate changes | 2021 | 2020 | 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Profit (loss) in foreign currency | ( | ) | ( | ) | ( | ) | ||||||
Foreign currency translation reserve | ||||||||||||
Total | ( | ) | ( | ) |
F-168 |
Notes to the Consolidated Financial Statements December 31, 2021 |
Note 25 |
25.1 |
Current tax assets |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Monthly provisional income tax payments, Chilean companies | ||||||||
Monthly provisional income tax payments, foreign companies | ||||||||
Corporate tax credits (1) | ||||||||
1st category tax absorbed by tax losses (2) | ||||||||
Taxes in recovery process | ||||||||
Total |
Non-current tax assets |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
Monthly provisional income tax payments, Chilean companies compensated by the specific tax on mining activity (Lithium) | ||||||||
Specific tax on mining activities (IEAM) paid by Lithium (on consignment) | ||||||||
Total |
(1) | These credits are available for companies and are related to corporate tax payments in April of the following year. These credits include, among others, credits for training expenses (SENCE), credits for acquisition of fixed assets, donations and credits in Chile for taxes paid abroad. |
(2) | This concept corresponds to the tax loss absorptions determined by the company at the end of the year, which must be attributed to the dividends received during the year. |
F-169 |
Notes to the Consolidated Financial Statements |
25.2 |
Current tax liabilities |
As of December 31, 2021 |
As of December 31, 2020 |
||||||
ThUS$ |
ThUS$ |
|||||||
1st Category income tax | ||||||||
Foreign company income tax | ||||||||
Article 21 single tax | ||||||||
Total |
Income tax |
Income tax |
|||||||
Country |
2021 |
2020 |
||||||
Spain | % | % | ||||||
Belgium | % | % | ||||||
Mexico | % | % | ||||||
United States | % | % | ||||||
South Africa | % | % | ||||||
China | % |
(1) | Additional 12% tax over the VAT calculation |
F-170 |
Notes to the Consolidated Financial Statements |
Notes to the Consolidated Financial Statements December 31, 2021 |
25.3 |
(a) | Deferred tax assets and liabilities as of December 31, 2021 |
Net liability position |
||||||||
Description of deferred tax assets and liabilities as of December 31, 2021 |
Assets |
Liabilities |
||||||
ThUS$ |
ThUS$ |
|||||||
Unrealized loss | ||||||||
Property, plant and equipment and capitalized interest | ( |
) | ||||||
Restoration and rehabilitation provision | ||||||||
Manufacturing expenses | ( |
) | ||||||
Employee benefits and unemployment insurance | ( |
) | ||||||
Vacation accrual | ||||||||
Inventory provision | ||||||||
Materials provision | ||||||||
Others employee benefits | ||||||||
Research and development expenses | ( |
) | ||||||
Bad debt provision | ||||||||
Provision for legal complaints and expenses | ||||||||
Loan acquisition expenses | ( |
) | ||||||
Financial instruments recorded at market value | ||||||||
Specific tax on mining activity | ( |
) | ||||||
Tax loss benefit | ||||||||
Other | ||||||||
Foreign items (other) | ||||||||
Balances to date |
( |
) |
||||||
Net balance |
( |
) |
F-171 |
Notes to the Consolidated Financial Statements |
(b) | Deferred tax assets and liabilities as of December 31, 2020 |
Net liability position |
||||||||
Description of deferred tax assets and liabilities as of December 31, 2020 |
Assets |
Liabilities |
||||||
ThUS$ |
ThUS$ |
|||||||
Unrealized loss | ||||||||
Property, plant and equipment and capitalized interest | ( |
) | ||||||
Restoration and rehabilitation provision | ||||||||
Manufacturing expenses | ( |
) | ||||||
Employee benefits and unemployment insurance | ( |
) | ||||||
Vacation accrual | ||||||||
Inventory provision | ||||||||
Materials provision | ||||||||
Research and development expenses | ( |
) | ||||||
Bad debt provision | ||||||||
Provision for legal complaints and expenses | ||||||||
Loan acquisition expenses | ( |
) | ||||||
Financial instruments recorded at market value | ( |
) | ||||||
Specific tax on mining activity | ( |
) | ||||||
Tax loss benefit | ||||||||
Other | ||||||||
Foreign items (other) | ( |
) | ||||||
Balances to date |
( |
) |
||||||
Net balance |
( |
) |
(c) | Reconciliation of changes in deferred tax liabilities (assets) as of December 31, 2021 |
Reconciliation of changes in deferred tax liabilities (assets) |
Deferred tax liability (asset) at beginning of period |
Deferred tax (expense) benefit recognized in profit (loss) for the year |
Deferred taxes related to items credited (charged) directly to equity |
Total increases (decreases) in deferred tax liabilities (assets) |
Deferred tax liability (asset) at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
Unrealized loss | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Property, plant and equipment and capitalized interest | ||||||||||||||||||||
Restoration and rehabilitation provision | ( |
) | ( |
) | ||||||||||||||||
Manufacturing expenses | ||||||||||||||||||||
Employee benefits and unemployment insurance | ||||||||||||||||||||
Vacation accrual | ( |
) | ( |
) | ||||||||||||||||
Inventory provision | ( |
) | ( |
) | ||||||||||||||||
Materials provision | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Derivative financial instruments | ( |
) | ||||||||||||||||||
Others employee benefits | ( |
) | ( |
) | ( |
) | ||||||||||||||
Research and development expenses | ||||||||||||||||||||
Bad debt provision | ( |
) | ( |
) | ||||||||||||||||
Provision for legal complaints and expenses | ( |
) | ( |
) | ||||||||||||||||
Loan approval expenses | ||||||||||||||||||||
Financial instruments recorded at market value | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Specific tax on mining activity | ||||||||||||||||||||
Tax loss benefit | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Others | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Foreign items (other) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Total temporary differences, unused losses and unused tax credits |
( |
) |
( |
) |
( |
) |
F-172 |
Notes to the Consolidated Financial Statements |
(d) | Reconciliation of changes in deferred tax liabilities (assets) as of December 31, 2020 |
Reconciliation of changes in deferred tax liabilities (assets) |
Deferred tax liability (asset) at beginning of period |
Deferred tax (expense) benefit recognized in profit (loss) for the year |
Deferred taxes related to items credited (charged) directly to equity |
Total increases (decreases) in deferred tax liabilities (assets) |
Deferred tax liability (asset) at end of period |
|||||||||||||||
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||||||||
Unrealized loss | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Property, plant and equipment and capitalized interest | ( |
) | ( |
) | ||||||||||||||||
Facility closure provision | ( |
) | ( |
) | ||||||||||||||||
Manufacturing expenses | ||||||||||||||||||||
Employee benefits and unemployment insurance | ||||||||||||||||||||
Vacation accrual | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Inventory provision | ( |
) | ( |
) | ||||||||||||||||
Materials provision | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Derivative financial instruments | ( |
) | ||||||||||||||||||
Others employee benefits | ( |
) | ||||||||||||||||||
Research and development expenses | ||||||||||||||||||||
bad debt provision | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Provision for legal complaints and expenses | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Loan approval expenses | ||||||||||||||||||||
Financial instruments recorded at market value | ||||||||||||||||||||
specific tax on mining activity | ( |
) | ||||||||||||||||||
Tax loss benefit | ( |
) | ( |
) | ||||||||||||||||
Others | ( |
) | ( |
) | ( |
) | ||||||||||||||
Foreign items (other) | ( |
) | ||||||||||||||||||
Total temporary differences, unused losses and unused tax credits |
( |
) |
( |
) |
(e) | Deferred taxes related to benefits for tax losses |
Deferred taxes related to benefits for tax losses | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Chile | ||||||||
Foreign | ||||||||
Total |
F-173 |
Notes to the Consolidated Financial Statements |
(f) | Movements in deferred tax assets and liabilities |
Assets (liabilities) | ||||||||
Movements in deferred tax assets and liabilities | As of December 31, 2021 | As of December 31, 2020 | ||||||
ThUS$ | ThUS$ | |||||||
Deferred tax assets and liabilities, net opening balance | ( | ) | ( | ) | ||||
Increase (decrease) in deferred taxes in profit or loss | ||||||||
Increase (decrease) deferred taxes in equity | ( | ) | ||||||
Total | ( | ) | ( | ) |
(g) | Disclosures on income tax (expenses) benefits |
(Expense) Income | ||||||||||||
Disclosures on income tax (expense) benefit | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Current income tax (expense) benefit | ||||||||||||
Current tax (expense) | ( | ) | ( | ) | ( | ) | ||||||
Adjustments to prior year current income tax (expense) benefit | ( | ) | ||||||||||
Current income tax expense, net, total | ( | ) | ( | ) | ( | ) | ||||||
Deferred tax (expense) benefit | ||||||||||||
Deferred tax benefits relating to the creation and reversal of temporary differences | ||||||||||||
Tax adjustments related to the creation and reversal of temporary differences from the previous year | ( | ) | ( | ) | ||||||||
Total deferred tax benefits, net | ( | ) | ||||||||||
Income tax expense | ( | ) | ( | ) | ( | ) |
(Expense) Income | ||||||||||||
Income tax (expense) benefit | As of December 31, 2021 | As of December 31, 2020 | As of December 31, 2019 | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Current income tax benefit (expense) by foreign and domestic parties, net | ||||||||||||
Current income tax expenses, foreign parties, net | ( | ) | ( | ) | ( | ) | ||||||
Current income tax expenses, domestic, net | ( | ) | ( | ) | ( | ) | ||||||
Current income tax expense, net, total | ( | ) | ( | ) | ( | ) | ||||||
Deferred tax benefit (expense) by foreign and domestic parties, net | ||||||||||||
Current income tax (expense) benefit, foreign parties, net | ( | ) | ||||||||||
Current income tax benefits, domestic, net | ( | ) | ||||||||||
Deferred tax expense, net, total | ( | ) | ||||||||||
Income tax expense | ( | ) | ( | ) | ( | ) |
F-174 |
Notes to the Consolidated Financial Statements |
(h) | Disclosures on the tax effects of other comprehensive income components: |
As of December 31, 2021 | ||||||||||||
Income tax related to other income and expense components with a charge or credit to net equity | Amount before taxes (expense) gain | (Expense) income for income taxes | Amount after taxes | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Gains (losses) from defined benefit plans | ( | ) | ||||||||||
Cash flow hedges | ( | ) | ( | ) | ||||||||
Reserve for (losses) gains from financial assets measured at fair value through other comprehensive income | ( | ) | ( | ) | ||||||||
Total | ( | ) | ( | ) |
As of December 31, 2020 | ||||||||||||
Income tax related to other income and expense components with a charge or credit to net equity | Amount before taxes (expense) gain | (Expense) income for income taxes | Amount after taxes | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Gains (losses) from defined benefit plans | ( | ) | ||||||||||
Cash flow hedges | ( | ) | ( | ) | ||||||||
Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income | ( | ) | ||||||||||
Total | ( | ) |
As of December 31, 2019 | ||||||||||||
Income tax related to other income and expense components with a charge or credit to net equity | Amount before taxes (expense) gain | (Expense) income for income taxes | Amount after taxes | |||||||||
ThUS$ | ThUS$ | ThUS$ | ||||||||||
Gains (losses) from defined benefit plans | ( | ) | ( | ) | ||||||||
Cash flow hedges | ( | ) | ( | ) | ||||||||
Reserve for gains (losses) from financial assets measured at fair value through other comprehensive income | ( | ) | ||||||||||
Total | ( | ) | ( | ) | ( | ) |
(i) | Explanation of the relationship between (expense) benefit for tax purposes and accounting income. |
F-175 |
Notes to the Consolidated Financial Statements |
(Expense) Benefit |
||||||||||||
Income Tax Expense (Benefit) |
As of December 31, 2021 |
As of December 31, 2020 |
As of December 31, 20219 |
|||||||||
ThUS$ |
ThUS$ |
ThUS$ |
||||||||||
Consolidated income before taxes | ||||||||||||
Statutory income tax rate in Chile | % | % | % | |||||||||
Tax expense using the statutory tax rate |
( |
) |
( |
) |
( |
) |
||||||
Net effect of royalty tax payments | ( |
) | ( |
) | ( |
) | ||||||
Effect of other additional taxes affected by article 21 and passive income | ( |
) | ( |
) | ( |
) | ||||||
Tax effect of revenue from regular activities exempt from taxation | ( |
) | ||||||||||
Tax rate effect of non-tax-deductible expenses for determining taxable profit (loss) | ( |
) | ( |
) | ( |
) | ||||||
Tax effect of tax rates supported abroad | ( |
) | ( |
) | ( |
) | ||||||
Effects of changes resulting from classifying a permanent item as a temporary one | ||||||||||||
Other tax effects | ( |
) | ( |
) | ||||||||
Tax expense using the effective tax rate |
( |
) |
( |
) |
( |
) |
(j) |
Tax periods potentially subject to verification: |
(i) |
Chile |
(ii) |
United States |
(iii) |
Mexico: |
(iv) |
Spain: |
F-176 |
Notes to the Consolidated Financial Statements |
(v) |
Belgium: |
(vi) |
South Africa: |
Note 26 |
26.1 |
26.2 |
F-177 |