Organic Lithium Statute for Mexico (LithiumMX)

By Santamarina Steta

Executive Summary:

Lithium MX was created on August 23, 2022, to achieve the energy transition goals under the Energy Transition Law.
On March 17, 2023, CONAMER published the Organic Statute of Litio MX, which establishes the bases that will govern the said organization, as well as its hierarchical organization, operation, and attributions.
Its main objective is the exploration, exploitation, benefit, and use of lithium located within the national territory, as well as the administration and control of the lithium economic value chains.

On March 17, 2023, the Organic Statute of Lithium for Mexico, with the acronym "Lithium MX," was published on CONAMER's website, establishing the bases that will govern the said organization, as well as its hierarchical organization, operation, and attributions, as well as the functions, organization, and powers of its Board of Directors and General Director.

Likewise, on the same day, its address was published, which is located at Avenida Insurgentes Sur, Number 890, Colonia del Valle Centro, Delegación Benito Juárez. C.P. 03100, Mexico City.

Legal Nature and Purpose of Lithium MX

Lithium MX was created as a decentralized public body through the Decree published in the DOF on August 23, 2022, sectored to the Ministry of Energy with legal personality and its assets, as well as technical, operational, and management autonomy.

Its main objective is the exploration, exploitation, benefit, and use of lithium located within the national territory, as well as the administration and control of the economic value chains of lithium, subject to the provisions of the Political Constitution of the United States. Mexicans, the Mining Law, the Federal Law of Parastatal Entities, and other applicable regulations, force themselves to comply in the same way with the legislation and international treaties on the environmental protection and the rights of native peoples, indigenous and Afro-Mexican communities.

It is noteworthy to consider that this Agency was created to achieve the objectives in terms of energy transition following the Energy Transition Law and will be coordinated with the Sub-Secretary for Energy Planning and Transition of the Ministry of Energy (“SENER”).

Lithium MX Heritage

The assets of this body will be integrated with:

The income obtained from the exploitation, use, and benefit of lithium, its value chains, and any derivative.
The resources assigned to it in the Federal Expenditure Budget for the corresponding fiscal year.
The movable and immovable property that the government contributes to them.
Other income, assets, rights, or resources that it receives, acquires, is transferred, assigned, donated, or awarded by another title.

Administration and Organic Structure

Attributions of the Administrative Council

According to the Organic Statute, the Board of Directors has various powers, among which are:

Clarify the policies, guidelines, and strategic vision for the exploration, exploitation, benefit, and use of lithium, as well as its value chains.
Approve the Strategic Program that will be presented annually by the General Director of Litio MX, as well as the corresponding reports.
Analyze and approve the annual lithium management report prepared by the Director.
Know and authorize matters that, due to their importance or transcendence, must be submitted to the consideration of this Council or the Director.
Appoint or remove public servants from the two lower hierarchical levels at the proposal of the General Directorate.
Know the Report of actions and results presented by the Director.
Appoint a Technical Secretary at the proposal of the President of the Council, as well as the Assistant Secretary.
Invite with a voice, but without a vote, people who have activities related to the object of Lithium Mx.
Approve the Organic Statute and Lithium Organization Manual for Mexico, as well as other administrative and internal regulatory instruments.
Approve the Regulations of the Board of Directors of Lithium for Mexico and its amendments.

The Organic Statute of Litio Mx will come into effect as of March 17, 2023. In addition, it is worth mentioning that the General Director will have to register this Statute in the Public Registry of Decentralized Organizations.

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