SANTIAGO - CleanTech Lithium expects to formally launch the search for a strategic partner for its Laguna Verde lithium project after publishing a pre-feasibility study later this month, with the process likely to take nine to 12 months, CEO Ignacio Mehech said.

The timeline gives a clearer sense of how quickly the London-listed company hopes to advance one of a limited number of private-sector lithium projects moving ahead in Chile, where new supply has been slow to emerge despite strong long-term demand expectations.

CleanTech said on Tuesday that it had agreed contractual terms with Chile's mining ministry for a special lithium operating contract, or CEOL, for Laguna Verde, its flagship project in northern Chile.

The decree still requires ratification by Chile's comptroller general before it can be signed.

Mehech, speaking to Reuters after the announcement, said the partner process would begin once the company releases the pre-feasibility study, which he said is expected in the coming weeks.

"That is what really allows a company to seriously review the project," he said, adding the firm was looking for a partner to pitch in with both equity and debt support.

Potential partners could include mining companies, cathode manufacturers, battery makers or automakers, he said.

Mehech said the company's next steps after the CEOL would be to advance environmental permitting and complete a feasibility study, alongside the partner search. He said those processes should run in parallel and could position the company to take an investment decision in the next couple of years.

The terms of the CEOL are in line with others previously awarded in Chile, Mehech said, without giving more details.

Mehech said the company expected the comptroller's review to be relatively straightforward, because the mining ministry had already addressed issues raised in earlier contract reviews. The company has said it expects ratification in the second quarter.

CleanTech has previously reported a resource estimate for Laguna Verde of 1.9-million metric tons of lithium carbonate equivalent, although the company said that figure could be revised in light of an adjusted area outlined in the contract.