SQM Maintains Upbeat Outlook

Chile’s Sociedad Quimica y Minera maintains an upbeat assessment of the outlook for its market, despite global financial meltdown. “Based on the sales we have accomplished so far, our current projections indicate that we will achieve record results in the third quarter,” says SQM CEO Patricio Contesse. “This trend will continue into the fourth quarter and next year, considering that market fundamentals are expected to be strong in the medium and long terms.” The official adds that sales volumes of iodine and lithium have exceeded initial projections. SQM has a $1bn capex plan for 2008-2010, mainly to boost production levels. This will be financed primarily through SQM’s internally-generated cash flow, says a spokeswoman, declining to elaborate. SQM predicts a year-end 2008 ratio of net financial debt to Ebitda under 0.5x.