April 11, 2019 – Representatives of Tianqi Lithium Corporation ( "Tianqi Lithium" ) and of Sociedad de Inversiones Pampa Calichera S.A. and Potasios de Chile S.A. (jointly the "Pampa Group" ) gathered on a 3-day visit from the Pampa Group to Tianqi Lithium's facilities and headquarters in China. Tianqi Lithium's Chairman, Weiping Jiang, and the company's President, Vivian Wu, welcomed the Pampa Group, led by its Vice Chairman Patricio Contesse Fica, on this visit that included tours of Tianqi Lithium's Zhangjiagang and Shehong facilities between April 1st through April 3rd, 2019.
The agenda of activities of the trip included visits to two of Tianqi Lithium's production and processing plants, in Zhangjiagang and in Shehong, and also a visit to Tianqi's headquarters. At Tianqi Lithium's Chengdu headquarters, Tianqi gave the Pampa Group an overview of its operations and explained its rationale behind last year's purchase of a 24% stake in SQM.
The visit of representatives from Pampa Group gave representatives of Tianqi Lithium an opportunity to discuss some governance issues related with the entry of Tianqi Lithium to SQM, and they negotiated and reached an Agreement which was documented in the file attached to this Press Release, which has been executed on April 10th, 2019. The extent of the agreement is reflected therein.
Vivian Wu, President of Tianqi Lithium, commented on the purpose of the visit and expressed her satisfaction with the agreement reached: "We have always said, from the beginning, that we intended to reach out to the Pampa Group and develop a working a relationship so that together, we can all strive towards supporting the ongoing and future growth of SQM", she said. "That's why Tianqi Lithium took the opportunity to invite the Pampa Group to come to China, so that the parties could get to know each other. After this successful first step that culminated in this agreement, it’s clear both parties are committed to building a cordial relationship as we work independently to support the ongoing growth of SQM".
Patricio Contesse, Vice Chairman of the Pampa Group, commented: "Pampa Group appreciates the invitation extended by Tianqi Lithium to visit China to learn more about their vision for SQM. During the visit we had frank and open discussions in respect to our relationship as shareholders and, subsequently, have concluded an agreement which we believe will contribute to the stability of SQM's governance for the benefit of all its shareholders. As shareholders of SQM, we are aware of the challenges and opportunities that lie ahead, and expect this will leave our discrepancies behind as each of us focus our energy going forward in supporting SQM, its Management and its Board".
Tianqi Lithium's Chairman, Weiping Jiang, expressed his appreciation to the Pampa Group for their years' long dedication to the growth of SQM: "SQM is a company that has significantly increased its global reputation and stature in the last two decades. The effort and professionalism of its staff and the high quality of its products, speak volumes on the acumen and talent of the Pampa Group team and especially its main shareholder Julio Ponce, who has dedicated most of his working life to the development of SQM", said Jiang.
After this agreement, Tianqi Lithium will focus its attention to the company's official arrival to the SQM Board, expected to take place during this month's annual general shareholder meeting on April 25th.
Finally, Pampa Group reaffirms, once again, its robust and long-term commitment with SQM and all its shareholders, maintaining its continued support to its ongoing future development.