By Tom Daly
BEIJING (Reuters) - China's state-owned Sinochem Group [SINOC.UL] on Tuesday appeared to deny a media report that it was bidding for a stake in Chilean lithium producer SQM (SN:SQMa) being sold by Canada's PotashCorp (TO:POT).
"Up until now, neither Sinochem Group nor our subsidiaries have had such intentions or plans," the company said in response to a request for comment from Reuters.
The Financial Times reported on Monday that Sinochem, a Beijing-based chemicals and oil conglomerate, was among four Chinese bidders for a $4 billion stake in Chile's Sociedad Quimica Y Minera (SQM), one of the world's largest lithium producers. It cited people familiar with the process.
Lithium is a key raw material for batteries in electric vehicles, which are enjoying a massive rise in popularity in China.
The other Chinese bidders named by the Financial Times were Ningbo Shanshan (SS:600884), Tianqi Lithium and GSR Capital.
Ningbo Shanshan also said that it was not participating in a bid to acquire equity in SQM, while Tianqi Lithium (SZ:002466) and GSR Capital did not respond to requests for comment.
Potash Corporation of Saskatchewan Inc was in September reported to have hired Goldman Sachs (NYSE:GS) and BofA Merrill Lynch to explore selling its 32 percent stake in SQM.