SQM to invest in Chilean hybrid EV startup

Chilean lithium producer SQM will invest US$2mn in local startup Movener, which has created a solution to convert diesel trucks into hybrid electric vehicles (EVs).

The investment is part of SQM's decarbonization focus and considered a milestone for VC unit SQM Lithium Ventures. Movener is the second electromobility company that has joined SQM, which controls 20% of the global market for the important metal.

SQM has also invested in leading lithium and water companies, such as the UK's Salinity Solutions and Altilium Clean Technology, and US-based Electric Era, the Chilean firm said in a statement.

Movener's hybrid conversion system is aimed at improving the carbon footprint of transport, reducing fuel consumption and greenhouse gas emissions.

The company's CEO, Gonzalo Pacheco, told BNamericas that although "it is initially focused on the conversion of diesel trucks to hybrid electric trucks for cargo transportation, it has the potential to adapt to other types of vehicles and mobile equipment, including passenger transportation."

Pacheco also said Movener aims to begin the transfer process in the coming months. "We will carry out eight important transformations in collaboration with SQM, applied to the trucks used in its operations in northern Chile."

The initiative will reduce emissions by 20-30%, he claimed. “This range is based on analysis of current operations and the expected efficiency of the new technologies that we will implement, but we want to increase the reduction of emissions through the integration of better technologies.”

SQM's investment will facilitate the commercial expansion of Movener's solution and help generate a positive impact in the global transport industry because Movener's hybrid solution is a viable alternative in the short and medium term, it said in the release.

“Pollution generated by transportation is a global problem that affects all regions of the world, where trucks contribute significantly to this environmental challenge. To achieve a real and effective impact, it is essential to adopt a global perspective,” Pacheco said.