SIGMA Lithium Corporation, dedicated to powering the next generation of electric vehicles with high-purity lithium environmentally and socially sustainable lithium, has announced the positive economic results of its study (“Production Expansion Study”) for a potential integrated production increase of Battery Grade Sustainable Lithium Concentrate from 270,000 tpa (36,700 tpa LCE) commencing in 2023 to 768,000 tpa (104,200 tpa LCE) in the second year at the Company’s 100% owned Grota do Cirilo Project (the “Project”), currently in construction in Minas Gerais, Brazil.
The Production Expansion Study demonstrated robust Project economics, highlighted by an after-tax NPV8% of US$15.3 billion, incorporating production from Phase 1 (nearing commissioning initiation) combined with Phase 2 and Phase 3.
Battery Grade Sustainable Lithium Concentrate production expansion could be achieved by the addition to the Greentech Lithium Plant of a single larger additional dense media separation module paired with a proportional crushing module. Increase in mining feedstock for the integrated production expansion of the Greentech Lithium Plant shall be achieved by the construction of the Phase 2 and Phase 3 Mines.
Sigma Lithium also announces the signing of definitive agreements for up to US$100 million senior secured pre-export financing (the “Debt Financing”) with Synergy Capital, one of the Company’s current shareholders, based in the United Arab Emirates.
“With Phase 1 rapidly progressing towards production in the near term, we are delighted to share the outstanding achievements of our team towards increasing near-term production of Battery Grade Sustainable Lithium on two critical fronts: completion of technical studies for Project Expansion and debt financing,” says Ana Cabral-Gardner, Co-CEO and Co-Chairperson of Sigma Lithium. “More importantly, we shall be able to remain at the low end of the cost curve.”
Co-CEO and Co-Chairperson Calvyn Gardner adds, “We are very happy with the results of the Phase 2 and 3 expansion plans at Grota do Cirilo, which cements Sigma Lithium as potentially one of the largest lithium producers globally. Further, our ability to continue to maintain the high grades of the mineral resources, as we expand integrated production demonstrates the significant additional growth potential of the Company.”
Sudhir Maheshwari, Managing Partner of Synergy Capital says: “We are extremely pleased that our multi-year partnership with Sigma Lithium has reached a major milestone, as the Company is set to start lithium production in a few months.“