SIGMA LITHIUM TO REACH FULL ANNUALIZED PRODUCTION CAPACITY OF 270,000 TONNES OF TRIPLE ZERO GREEN LITHIUM IN THIRD QUARTER
- Sigma Lithium achieves record daily production of 846 tonnes of Triple Zero Green Lithium in August.
- The company expects to achieve 2023 production guidance of 130,000 tonnes of Triple Zero Green Lithium.
- Sigma Lithium plans upcoming shipments of 15,000 tonnes of Triple Zero Green Lithium, 30,000 tonnes of Green Byproducts, and 18,000 tonnes of Triple Zero Green Lithium.
- The Greentech Plant operates at approximately 85% utilization rates and achieves nameplate recovery rates of 65%.
- Sigma Lithium continues to be a leader in social and environmental responsibility, implementing various sustainability programs.
- The company has upgraded its senior leadership at the CFO office to strengthen its financial department and internal controls.
- Sigma Lithium files its Q1 23' financial statements, ending the quarter with C$92.9 million in cash and cash equivalents.
- The company announces a credit facility agreement with Tatooine Investimentos for up to US$12 million.
- None.
Files Q1 23' Financial Statements and plans to file Q2 23' by end of August
PRODUCTION
- Sigma Lithium achieved planned production targets at its Greentech Industrial Plant in
Brazil . - On track to produce 130,000 tonnes of Chemical Grade Triple Zero Green Lithium by December 2023.
- Expects to consistently reach an annualized production of 270,000 tonnes of Triple Zero Green Lithium by the end of Q3 2023 ("designed nameplate capacity").
- Upcoming shipments:
- 15,000 tonnes of Triple Zero Green Lithium planned for end of August.
- 30,000 tonnes of Green Byproducts (tailings) planned for mid-September.
- 18,000 tonnes of Triple Zero Green Lithium planned for end of September.
- Achieved record DAILY production of 846 tonnes of Chemical Grade Triple Zero Green Lithium in August.
95% of production capacity reached in August (month-to-date).- Plant utilization has reached
85% ("designed utilization capacity"). - Successfully calibrated the pioneering dry stack tailings circuit in July, allowing rapid increase of production capacity of the Greentech Plant.
- Innovative adjustment of filtration systems and membranes, and plans for additional filtration equipment.
- Greentech Plant significantly progressed towards reaching "designed recovery rates":
- Achieved nameplate
65% recovery rates of lithium Li2O from spodumene ore during several consecutive days in August. - Greentech Industrial Plant is able to successfully produce
6.3% Li2O Chemical Grade Triple Zero Green Lithium utilizing feedstock from mine.
SUSTAINABILITY
- Sigma Lithium continues to be a leader in social and environmental responsibility, setting new paradigms of sustainability in the battery materials industry:
- Initiated construction of two flagship social initiatives:
- Full renovation of the rural community school in Poco Dantas, implementing full time educational and after school programs and increasing number of classrooms to mitigate "multi-grade" learning.
- Construction of a new bridge over
Piaui creek to ensure shorter rural community access to urban centers through federal highway. - Outstanding success of the homecoming program relocating professionals to the Vale do Jequitinhonha lithium valley ("Brazil Green Lithium Valley") who were "born and bred" in the region:
- Reached the outstanding level of
85% of total employees from Araçuaí and Itinga at Brazil Green Lithium Valley - At Mine reached the outstanding level of
95% from the towns of Aracuai and Itinga. - Significantly advanced "Zero Drought", "Water for All" and "Dona de Mim Microcredit" programs:
- 1,000 rainwater capture basins already constructed and delivered (out of 2,000 planned), supporting over 12,000 subsistence farmers.
- 120 water storage tanks installed so far (out of 3,000 water tanks planned) supporting over 15,000 people.
- 1,600 women enrolled in the entrepreneurship training program, 950 awarded the microcredit loan. Program on track to reach 10,000 women.
- Zero tailings continues to advance: paving rural communities dirt roads with coarse gravel by-products.
MANAGEMENT
- Sigma Lithium significantly upgraded senior leadership at CFO office, advancing its transformation into a producer and operating company by strengthening its financial department and internal controls:
- Caio Araujo has been named Chief Financial Officer. He has 33 years of experience in finance and controlling, having started his career at PwC.
- Mr. Araujo joined Sigma Lithium in June 2023 and has significant experience in companies listed in
the United States with operations inBrazil . Previously he was CFO at a portfolio company of BTG. During several years Mr. Araujo headed the finance department at CSN, one of the first Brazilian metals and mining companies to register an ADR level III in the NYSE, where he implemented the SEC reporting/ SOX compliance. - Raphael Dias has been named Chief Control Officer. He has over 22 years of experience in finance and internal controls.
- Mr. Dias joined Sigma in July 2023. Previously, he served as Controller, Vice President of Cargill Agrícola S.A., and prior to that, as Controlling Director of Nike do Brasil S.A. Mr. Dias
FILED QUARTERLY FINANCIAL STATEMENTS
- Sigma Lithium filed its quarterly filings for the three-month period ended March 31, 2023, ending the first quarter with
C in cash and cash equivalents.$92.9 million
INVESTOR VIDEO CONFERENCE CALL
August 14, 2023, at 10:00 AM (ET)
Registration Link for Zoom video call below:
https://us06web.zoom.us/j/81291379068?pwd=RXhLYlN0bFRnVUdSby9reW5XVlYrZz09
Zoom Meeting ID: 81291379068
The Company also announces the filing of its unaudited consolidated financial statements and management discussion and analysis ("MD&A") for the three-month period ended March 31, 2023 (collectively, the "Quarterly Filings"). Sigma Lithium expects to file its unaudited consolidated financial statements for the quarter ended June 30, 2023, and the related MD&A, by the end of August 2023.
The Quarterly Filings are available on SEDAR (www.sedar.ca), EDGAR (www.sec.gov) and the Company's corporate website.
Operational Update
Ramp-up of Phase 1 production continues to advance on schedule and the Company remains on track to achieve 2023 production guidance of 130,000 tonnes of Triple Zero Green Lithium with consistent annualized production of 270,000 tonnes of Triple Zero Green Lithium expected to be achieved by the end of Q3-2023.
Recent positive operational achievements include operating the Greentech Plant at approximately
As the Greentech Plant continues to maintain a steady pace of acceleration and is on pace to reach consistent nameplate production in Q3 2023, Sigma Lithium expects to have its second shipment of 15,000 tonnes of Triple Zero Green Lithium by the end of August, 30,000 tonnes of Triple Zero Green Byproducts by mid-September and 18,000 tonnes of Triple Zero Green Lithium by the end of September.
In addition to the the successful ramp-up activities with the current plant equipment, as a contingency plan the Company expects to install a Metso LAROX filter in order to mitigate any potential future bottlenecks.
ESG Update
Sigma Lithium is also proud to provide an update on its significant ESG programs as it continues to be a trailblazer for sustainable Triple Zero Green Lithium production in the Lithium Valley Region of
The Company is thrilled to announce the new "Being a Child" program, where it has committed to help fund a number of infrastructure improvements at the local Poco Dantes community, including renovations to its school.
(serving approximately 30 children), the construction of a bridge to improve connection to the larger Araçuaí and Itinga towns and renovations to outdoors sports facilities.
Sigma Lithium also continues to execute on its "Homecoming Employment Program," with
Sigma Lithium also continued to deliver on its programs focused on water access for local communities, including the "Zero Drought" and "Water for All" programs, and is proud to report that it has now constructed 1,000 rainwater capture basins (of the 2,000 target) and donated 120 water storage tanks (of the 3,000 target).
Sigma Lithium's landmark microcredit program continues to take shape and build, with 1,600 women now enrolled and 950 having completed the training. The program remains on track and the Company continues to work towards reaching its goal of enrolling 10,000 women.
The Company is also maintaining its commitment to its "Zero Tailings" program as it continues stockpile Triple Zero Green By-Products to be shipped to Yahua International Investment and Development Co., Ltd. and pave local roads with coarse gravel tailings.
Financials Update
Sigma Lithium evolves financial reporting responsibilities through its transition from developer to producer, Caio Araujo has been named Chief Financial Officer and Raphael Dias has been named Chief Controls and Human Resources Officer.
Mr. Araujo joined Sigma Lithium in June 2023 and has 33 years of experience in finance and controlling, having started his career at PwC. He has significant experience in companies listed in
Mr. Dias joined Sigma in July 2023. He has over 22 years of experience in finance and internal controls. Previously, he served as Controller, Vice President of Cargill Agrícola S.A., and prior to that, as Controlling Director of Nike do Brasil S.A. Mr. Dias.
Additionally, Sigma Mineração S.A. ("SMSA"), an indirectly owned subsidiary of the Company, has entered into a Credit Facility Agreement with Tatooine Investimentos S.A. ("Tatooine"), for an amount of up to
ABOUT SIGMA LITHIUM
Sigma Lithium (NASDAQ: SGML, TSXV: SGML, BVMF: S2GM34) is a leading global lithium producer dedicated to powering the next generation of electric vehicle batteries with environmentally sustainable and high-purity lithium.
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
Please refer to the Company's National Instrument 43-101 technical report titled "Grota do Cirilo Lithium Project Araçuaí and Itinga Regions,
For more information about Sigma Lithium, visit https://www.sigmalithiumresources.com/
Sigma Lithium
LinkedIn: Sigma Lithium
Instagram: @sigmalithium
Twitter: @SigmaLithium
FORWARD-LOOKING STATEMENTS
This news release includes certain "forward-looking information" under applicable Canadian and
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
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SOURCE Sigma Lithium
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