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Vote Marks First Step in Long Potential Path to Nationalizing Mines

CHILE
  • Markets attributing the move higher in USDCLP (+0.42%) today to the following headline:
    • Chile Constitution Committee Approves Mine Nationalization Plan (BBG)
  • From the report: A proposal that opens the door to nationalizing some of the biggest copper and lithium mines in the world was approved in first instance by a committee as part of the drafting of a new constitution in Chile.
  • It is worth noting that Tuesday’s vote by the environmental committee is the first of several hurdles that the controversial proposal would need before becoming a reality.
    • It would also then require support from two thirds of the full assembly to become part of the draft charter that will be put to a referendum later this year.

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