Judges at the World Court ruled on Thursday that Chile and land-locked Bolivia now agreed on previous points of dispute over access to the waters of the Silala river and that they would not need to make a decision on Chile's claims before the court.
The judges urged the South American neighbours to work together on issues surrounding the frontier river, which runs through one of driest places on Earth, as such a "shared resource can only be protected through cooperation".
Speaking to reporters from La Moneda presidential palace in Santiago, Chilean President Gabriel Boric said the ruling gave Chile the legal certainty it was looking for.