I didn't realize Chile was so rich in copper deposits. I've been investing a little in copper the last couple of years, so I probably should have. I was aware the region is very rich in Lithium salts. Should be interesting to watch the economic development in Chile/Argentina/Bolivia over the coming decades.
"1. Escondida. The
Escondida mine is an open-pit mine and without a doubt the world's largest copper mine. The country of Chile produces 23% of the world's copper and the Escondida mine alone accounts for almost a third of that output."
Discover the world’s biggest copper producers as well as the key strategies they use for dust control and soil stabilization to reduce their C02 and water footprint.
abcdust.net
The lithium salts are located very differently:
"The
Atacama in northern Chile is the driest
desert in the world, and may be the oldest. It also holds 40% of the world's
lithium – an ..."
Live science has a bt more context:
Wedged between two mountain ranges along Chile's coast, the Atacama Desert is the oldest and driest desert in the world. It has also provided scientists with a wealth of research opportunities.
www.livescience.com
The BBC David Attenborough epidsode on deserts is quite instructive about the Atacama:\
A look at Earth's most spectacular deserts, revealing the secrets behind desert survival.
www.bbc.co.uk
An optimistically ambitious lithium exploration in the Atacama is in the Bolivian portion:
On Bolivia's Salar de Uyuni, a vast white salt flat that feels almost otherworldly, Karina Quispe is watching from the sidelines a global resource race for the world's largest - and almost untapped - trove of battery metal lithium.
www.reuters.com
Then there is Chile:
About Lithium Chile Lithium Chile (TSX-V: LITH) has ownership in the largest high-grade lithium reserves in the world comprising of 110,000 hectares in Chile and 20,800 hectares in Argentina. The Phase Two Exploration & Development Program is currently underway in Arizaro, Argentina to expand...
lithiumchile.ca
"Bolivia is home to the world’s largest lithium resources. Together with Chile and Argentina, the so-called “lithium triangle” holds almost 60 percent of the planet’s known lithium deposits, according to the U.S. Geological Survey. But while Chile and Argentina are among the top global producers, alongside Australia and China, Bolivia has yet to produce lithium in commercial quantities."
www.wilsoncenter.org
The primary impediments to successful lithium production in these area is really their very remote and not-easy-accessible areas, coupled with the desiccated character of most fo the region. Contributing another major factor is political, logistical and environmental constraints.
Throughout southern South America (Brazil, Argentina, Chile, Peru, Bolivia , because neither Uruguay nor Paraguay has plentiful natural resources) there are gigantic resources of many crucial industrial metals. Hence "Vale do Rio Doce" now called "Vale" is the largest producer of Nickel and iron ore in the world.
FWIW the company is named after a valley in the Brazil State of Minas Gerais (General Mines in English) which is very rich in natural resources.
Tesla has pursued several of these areas and continues to pursue industrial opportunities in the region. Most TMC posts have dealt with Brazil, after all it is more than half of the continent and larger than the 48 US States. Tesla is quite cautious, though, and justifiably sensitive to business and political risk. Nothing in this region is quite so easy as it looks to be. so any Tesla investment will be well considered.
Finally, the largest trading partner for most of the region is China. Brazil, for example, is the only major country which has a trade surplus with China. Since China State Grid is the major electric grid developer, and the Chinese auto industry is making Mercosur headway there si every reason to expect that Tesla could benefit by that through existing Tesla suppliers that already operate in Brazil. CATL and BYD both are now suppliers to Brazil, with CATL supplying batteries for the VW e-delivery built in Rio de Janeiro State:
The vehicle is already available for pre-orders within the LATAM market. According to the manufacturer, some quite important deals have been signed with customers like Ambev, Coca-Cola FEMSA Brasil and JBS. Ambev, in particular, recently placed its first firm order, for 100 units, whose delivery...
www.sustainabletruckvan.com
This is a long post beginning with Lithium for the Atacama. Tesla, however, is certainly weighing all the factors when considering what to do next. Thus, raw materials are an important part fo planning, but so are many other factors.