Sigma Lithium (“Sigma” or the “Company“) (NASDAQ:SGML, TSXV:SGML), dedicated to powering the next generation of electric vehicle batteries with environmentally sustainable and high-purity lithium, is pleased to announce that it mobilizing its workforce and equipment on site for Production Plant (as defined below) pre-construction activities in its Grota do Cirilo lithium project (the “Project“). This pre-construction stage comprises the execution of the earthworks to build the foundation and infrastructure of the Production Plant, involving moving over one million cubic meters of terrain and employing approximately 180 contractors. Completion of this stage of construction is expected within three months.
Following the successful completion of FEED (front-end engineering and design), the Company is releasing a new video with a comprehensive 3D rendering of its Production Plant and adjacent facilities. The video can be accessed on the Company’s web site at www.sigmalithium.ca.
COP26 PARTICIPATION AS REPRESENTATIVE AND VALE DO JEQUITINHONHA
The Company also announces that Sigma’s Co-Chair and Co-CEO Ana Cabral-Gardner, arrived in Glasgow to participate at COP26. She has been nominated by a national focal point (NFP) as a representative to the United Nations Convention on Climate Change. Sigma will speak on the theme “Circular Economy and the 21st Century City: Unlocking the Social & Environmental Benefits of the Sustainable City,” presenting Sigma’s project which recycles tailings from its Greentech plant. Ana will also speak at the COP26 Brazil Pavilion about “The Future of ESG Investing: Enabling the Energy Transition to a Net Zero World.”
Sigma is bringing to COP26 in Glasgow a delegation from Vale do Jequitinhonha to participate in person as guests in the investment track of COP26, hosted by the World Climate Fund from Denmark. The mission of the delegation is to create a plan for the cities of Araçuai and Itinga to achieve
(i) environmentally sustainable development and
(ii) net zero by 2040
The plan will be presented to and is expected to be funded by global multilateral development agencies, introduced by Sigma.
EPCM AND PRE-CONSTRUCTION
The Company is negotiating an EPCM agreement for the engineering, procurement, construction of the Production Plant and associated infrastructure with Promon Engenharia Ltda. (“Promon“) and Primero Group Ltd (“Primero“). Following successful conclusion of FEED, both Promon and Primero remain engaged by Sigma and have been focusing on negotiating and securing the long lead items for the construction of the Production Plant associated with the detailed design for subsequent ordering. The Company is also in negotiations with two procurement finalist mining contractors to build and operate Sigma’s first mine at the Project.
The detailed design of the Production Plant is based on clean technologies including state of the art environmental circuits for water recirculation, dry stacking of tailings as well as six dense media separators (“DMS“), which do not utilize harmful chemicals in the production of high purity lithium materials. The DMS will be automated and digitally controlled electronically by an algorithm, developed to contemplate the specificities of the mineralogy in each of the company’s mines.
FILING OF PRELIMINARY BASE SHELF PROSPECTUS IN CANADA AND U.S.
The Company has filed a preliminary short form base shelf prospectus (the “Canadian Base Shelf“) to qualify the distribution, from time to time over a 25-month period, of up to US$250 million of the Company’s debt and equity securities. The Canadian Base Shelf was filed in each province and territory of Canada, other than the Province of Quebec. The Company also filed a corresponding shelf registration statement on Form F-10 (the “U.S. Base Shelf“) with the U.S. Securities and Exchange Commission (the “SEC“) under the Multijurisdictional Disclosure System. The Canadian Base Shelf remains subject to completion or amendment. The U.S. Base Shelf has been filed with the SEC but has not yet become effective. A copy of U.S. Base Shelf may be obtained on EDGAR at www.sec.govand a copy of the Canadian Base Shelf may be obtained on SEDAR at www.sedar.com.
