Can you detail AKD International’s history in Chile and the main milestones of 2023 and 2024?

AKD International started in Chile in 2012 at Minera Quadra, Sierra Gorda. Despite the copper downturn that year, we secured a contract with Yamana Gold in 2013 at Minera Merida in El Peñón, marking the beginning of continuous growth. Between 2013 and 2016, the company experienced significant expansion, surpassing 90,000 m/y of drilling and expanding contracts with Antofagasta Minerals, Rio Tinto, and others, reaching a peak of 160,000 m/y of drilling.

In 2022, following the loss of the El Peñón contract, the company faced restructuring. In 2023, assets were relocated to a more structured location, but reduced contracts with junior companies led to a decrease in drilling activity.

In 2024, our main objectives are cost control and recovering lost contracts. Fortunately, we secured the contract at El Peñón again, reaffirmed existing contracts, and established strategic partnerships with Pan American Silver and BHP. Additionally, we have been in negotiations for Brownfield projects, anticipating new opportunities in the market, especially in the realm of junior and Greenfield companies. In Chile, is there an increasing prioritization of quality over costs in the market?

There is a growing maturity in the market that values quality over costs. We recognize that the initial investment may be higher, but in the long term, prioritizing quality proves more cost-effective. Safety is our top priority, understanding that the integrity of our employees is paramount. We maintain low accident rates and work daily to uphold these standards. Additionally, we invest in innovative technologies to enhance the execution of our drilling programs. Our focus on operational continuity is reflected in the longevity of our employees, with many surpassing nine years of service. Hiring under indefinite contracts ensures security and experience within our team. What technological innovations and services does AKD International offer?

In Chile technological innovation is a fundamental requirement in technical bids and a key differentiator among companies. At AKD International we stand out for our investment in automated equipment that prioritizes the safety of our employees. For example, underground, we utilize modern equipment like the LM90, equipped with features such as a laser line that prevents entry into the danger zone. Additionally, this equipment can be automated to operate autonomously for short periods. On the surface, all our equipment features similar safety characteristics, such as rod handler and hydraulic arms in cases like SCHRAMM T685 and EDM 2000. By 2024, we are implementing hydraulic equipment that allows for safer and more efficient sample extraction, reducing direct interaction between employees and machines. What are the main challenges and opportunities that Chile faces in the mining sector today?

In recent years, Chile has lost prominence due to the need to attract investment for exploration and development of new deposits. Tax and business policies need to be adjusted to encourage investment in this regard. Additionally, globally, there has been a shift towards Brownfield projects rather than Greenfield, which may limit the search for new deposits. However, the future demand for minerals such as copper and lithium, driven by electromobility and the reduction of fossil fuels, offers opportunities for the sector. What opportunities does Chile's lithium sector present AKD International?

AKD International in Chile has had the privilege of participating in the drilling of prominent salt flats in the country, which has been an invaluable experience that has positioned us as a solid option in the lithium sector. We have learned about the complexities of drilling different types of salt flats, providing us with valuable experience and preparing us for future projects in this field. Currently, we are in negotiations with three major mining companies for the execution of drilling programs in salt flats, demonstrating the confidence that the sector places in our experience and capacity.

We recognize the need for greater technology and logistical support in the field of salt flat drilling, and we are committed to continuing to develop our capabilities in this area. We believe there is a significant opportunity for mining support companies in the lithium sector, and we are focused on maintaining controlled costs while seeking organic growth that ensures the sustainability of our business in the coming years.