Sigma Llithium receives from glencore a 50% prepayment at premium prices for its third shipment of 20,000 tonnes.
Sigma Lithium Corporation (“Sigma Lithium” or the “Company“) (NASDAQ: SGML, BVMF: S2GM34, TSXV: SGML), a leading global lithium producer dedicated to powering the next generation of electric vehicles with carbon neutral, socially and environmentally sustainable chemical-grade lithium concentrate, announces it has received from Glencore the prepayment for its third shipment of Triple Zero Green Lithium, totaling 20,000 tonnes.
The 50% prepayment reflects a premium pricing at a 9% provisional price of lithium hydroxide at LME (average China, Japan, South Korea) for the Company’s unique Triple Zero Green Lithium.
The shipment is part of a commercial distribution and marketing agreement with Glencore that aims to build a low carbon, environmentally and socially sustainable global lithium supply chain for electric vehicles.
In addition to the prepayment received from Glencore, the Company has access to trade finance green credit lines from both Santander and XP Inc (“ACC/ACE”) that can be drawn down upon delivery of its triple Zero Green Lithium to the Vitoria Port warehouses managed by Multilift. ACC/ ACEs are customary commercial banking trade finance in Brazil provided by commercial banks to exporters with counterparty clients with robust creditworthiness. Glencore is the counterparty client for Sigma Lithium in the third shipment.
Sigma Lithium’s Triple Zero Green Lithium: The foundation of a globally sustainable supply chain
Sigma Lithium effectively lowered its carbon footprint with a series of pioneering initiatives, paving the way forward for the metals & mining sector.
The Company’s Triple Zero Green Lithium is produced at its state-of-the-art Greentech lithium plant at its Grota do Cirilo Project in Brazil, the first lithium project in the world without a tailings dam. With 100% dry-stacked tailings and the absence of hazardous chemical products for processing lithium, the Company is preventing water and soil contamination and contributing to the preservation of rivers and forests in the region.
The Company’s main achievements towards abating its carbon footprint include:
- Zero tailings: 100% dry stacked tailings, with all by-products eliminated through sales or upcycling to pave roads.
- Zero hazardous chemicals: Utilizes Dense Medium Separation (“DMS”) at the Greentech plant, which does not utilize hazardous chemicals.
- Water efficiency: Utilizes 100% sewage water for its plant, fully recirculated.
- Water preservation: Preserves 100% of the Piaui Creek source of drinking water for the communities living around Sigma Lithium.
- Clean renewable energy: Utilizes 100% clean renewable energy for its Greentech Plant via “behind the meter” supply agreements.
- Biodiesel: Utilizes biodiesel fuel in some of its trucking fleet, with plans to increase to up to 50% by 2025.
- Explosives / ANFO: Decreased explosives load with computerized load simulation strategies.
Further, due to the low carbon content of Sigma Lithium’s products, as well as its environmentally sustainable production methods, the Company’s carbon footprint was offset with carbon credits purchased from Carbonext (which are verified through Verra Verified Carbon Standard), making the shipment carbon neutral.
ABOUT SIGMA LITHIUM
Sigma Lithium (NASDAQ: SGML, BVMF: S2GM34, TSXV: SGML) is a leading global lithium producer dedicated to powering the next generation of electric vehicle batteries with carbon neutral, socially and environmentally sustainable chemical-grade lithium concentrate.
Sigma Lithium has been at the forefront of environmental and social sustainability in the EV battery materials supply chain for six years and it is currently producing Triple Zero Green Lithium from its Grota do Cirilo Project in Brazil. Phase 1 of the project is expected to produce 270,000 tonnes of Triple Zero Green Lithium annually (36,700 LCE annually).
If it is determined to proceed after completion of an ongoing feasibility study, Phase 2 & 3 of the project are expected to increase production to 766,000 tonnes annually (or 104,200 LCE annually). The project produces Triple Zero Green Lithium in its state-of-the-art Greentech lithium plant that uses 100% renewable energy, 100% recycled water and 100% dry-stacked tailings.
Please refer to the Company’s National Instrument 43-101 technical report titled “Grota do Cirilo Lithium Project Araçuaí and Itinga Regions, Minas Gerais, Brazil, Amended and Restated Technical Report” issued June 12, 2023, which was prepared for Sigma Lithium by Homero Delboni Jr., MAusIMM, Promon Engenharia; Marc-Antoine Laporte, P.Geo, SGS Canada Inc; Jarrett Quinn, P.Eng., Primero Group Americas; Porfirio Cabaleiro Rodriguez, (MEng), FAIG, GE21 Consultoria Mineral; and Noel O’Brien, B.E., MBA, F AusIMM (the “Updated Technical Report”). The Updated Technical Report is filed on SEDAR and is also available on the Company’s website.
SIGMA LITHIUM RECEIVES FROM GLENCORE A 50% PREPAYMENT AT PREMIUM PRICES FOR ITS THIRD SHIPMENT OF 20,000 TONNES,
