Sociedad Quimica y Minera de Chile (SQM) said Saturday it has formalized its partnership with Chilean state-owned Codelco through the merger of its SQM Salar unit with Minera Tarar.

The new venture, named Nova Andino Litio, remains subject to a resolutory condition pending a decision by the Chilean supreme court, SQM said.

The partnership will focus on the development of mining, production, commercial, community, and environmental initiatives in the Salar de Atacama.

SQM shares were down 1.5% in recent premarket activity Monday.