Environmental authority grants Sigma definitive licenses for a period of six years expiring in May 2025
Sigma will host an Annual General Meeting of Shareholders on
Friday June 28th 2019 at 9 a.m. (EST)
Location: The Offices of McCarthy Tétrault LLP
Suite 5300, 66 Wellington Street West, Toronto, ON M5K 1E6
Webcast Link: https://sigmalithium.clickmeeting.com/sigma-lithium-resources
Dial in: Participant Code: 658533# | São Paulo: +55 (11) 3230-2305 | New York: +1 (917) 338-1451 | Toronto: +1 (647) 497-7729
Dial-in from other locations: https://account-panel.clickmeeting.com/dialplan
VANCOUVER, British Columbia, June 11, 2019 (GLOBE NEWSWIRE) -- Sigma Lithium Resources Corporation (“Sigma” or the “Company”) (SGMA.V) (OTC-QX SGMLF) is pleased to announce it has obtained the required environmental licenses for both construction (“LP”) and installation (“LI”) of its Lithium Commercial Production Plant (“Plant”) from the environmental authority of the State of Minas Gerais, the Council of Environmental Policy (“Conselho Estadual de Politica Ambiental – COPAM”) in Brazil. COPAM has issued Sigma’s Dual LP and LI Certificate for a period of six years expiring on May 31, 2025.
Based on the design being considered under the ongoing feasibility study (“DFS”), the Plant will have the capacity to process 1.5 million metric tonnes of spodumene ore per year from its Grota do Cirilo property. The lithium process design is proprietary and includes DMS technology. The Plant design is projected to produce 220,000 tonnes of high quality battery-grade 6% lithium oxide concentrate per annum, with one of the lowest levels of impurities in the world. The Company is in the final stages of the DFS for the Xuxa deposit. At a later stage Sigma has the option to double the Plant capacity to process 3 million metric tonnes of spodumene ore per year, producing an expected 440,000 tonnes of high quality battery-grade 6% lithium oxide concentrate, subject to completion of all related studies and assessments.
The LP will permit the company to initiate construction of the Plant, following the conclusion of the ongoing DFS. The LI will permit the Company to conduct transport, trial mining, and testing of the DMS beneficiation process of spodumene ore from the Xuxa into battery grade lithium concentrate.
“We are honoured by the trust that the State of Minas Gerais government has put into our green mining and clean lithium beneficiation project. It represents a major milestone for Sigma’s project in Brazil. It is one of the first dual LP/LI environmental licenses to be awarded in Minas Gerais. The simultaneous awarding of both the construction and installation licenses for the Plant are fundamental steps to expedite Sigma’s timetable to production in 2020,” says Calvyn Gardner, Sigma’s CEO. “We are very fortunate to be based in the business and mining-friendly State of Minas Gerais where Sigma underwent a very rigorous environmental licensing process by SUPRAM, the Regional Superintendence of the Environment. During this assessment, Sigma was able to demonstrate its deep commitment to sustainable mining by having proactively directed resources towards applying the most environmentally advanced mining and processing techniques in its operations. The Plant will use dry stacking technology to manage tailings and recycle more than 90% of its water used in the processing and beneficiation of the battery grade lithium concentrate. As a result, Sigma will not be building a tailings dam. Additionally, the project’s energy will also be green as it is sourced from a hydroelectric power plant,” he adds.
During the licensing process, Sigma pro-actively presented to SUPRAM a number of sustainability programs focused on the environment, local community and wildlife. Such programs include environmental supervision and management, rainwater draining implementation and management, reuse of waste and reforestation, amongst others. As part of the licensing process, SUPRAM also examined the impact of the Xuxa mine on water, air, fauna and flora as well as Sigma’s plans to benefit the local community; generating jobs, providing health and safety programs, attracting new companies to the region and boosting local business and societal development.
Following the regulatory assessment, SUPRAM found that the project would not cause any significant adverse environmental effects and its environmental licenses were approved subject to the implementation of the mitigation measures and monitoring programs. Sigma had proactively put forth during the licensing process many of the sustainability and development programs requested by SUPRAM’s regulatory assessment and conditionalities.
Sigma has maintained a constant dialogue with the local community since the beginning of its activities in the region, proactively putting forward a series of environmental and local community initiatives to positively benefit the region as well as meet environmental license requirements. Before awarding the licenses, SUPRAM conducted extensive studies into Sigma’s project and its impact on the environment and local community. The study involved a public consultation period. Sigma received formal unwavering public support from the community of Itinga in the Vale do Jequitinhonha.
“We are going to build a significant green mining project based on clear environmental, social and governance (ESG) principles and best practices,” says Ana Cabral, Sigma’s Chief Strategy Officer. “We are backed by some of the largest ESG-focused institutional investors in the world and are deeply committed to these principles,” she adds.
Earlier this year, Sigma received the definitive water license for the construction of the Plant granted by the National Water Agency of Brazil (Agência Nacional de Águas), as announced in our press release dated February 20, 2019.
Annual General Meeting
As announced above, Sigma is also pleased to invite its shareholders and the media to its 2019 Annual General Meeting of Shareholders. The corporation will review the activities of the last fiscal year and provide an overview on current activities. Executive Chairman of the Board and CEO Mr. Gardner as well as members of the Board of Directors will be available for media questions after the meeting.
INDEPENDENT QUALIFIED PERSON
The technical and scientific information in this press release has been reviewed and approved by Marc Antoine Laporte, P.Geo., M. Sc., of SGS Canada Inc. Mr. Laporte is a Qualified Person as defined by National Instrument 43-101 and is independent of Sigma.
ABOUT SIGMA LITHIUM
Sigma is a leading lithium company at the forefront of the movement to decrease CO2 emissions globally. Sigma, which is on a fast-track to commercial production in 2020, will produce a highly engineered, low impurities 6% battery grade lithium concentrate to the global supply chain of the fast-growing lithium-ion battery market, driven by the increasing demand for electric vehicles and energy storage worldwide.
Sigma started to produce battery-grade lithium concentrate on a pilot scale in 2018, shipping high quality above 6% Li2O coarse lithium concentrate samples to potential customers. Based on the initial design being considered under the feasibility study, a larger scale lithium concentration commercial production plant will contemplate a capacity of 220,000 tonnes of battery-grade spodumene concentrate annually.
Our corporate mission is to execute our strategy while embracing best in class environmental, social, and governance (“ESG”) principles. Sigma’s shareholders include some of the largest ESG-focused institutional investors in the world.
FOR ADDITIONAL INFORMATION PLEASE CONTACT
Sigma Lithium Resources Corporation
Chief Strategy Officer and Director of Investor Relations
55 11 2985-0089
This news release contains forward-looking statements relating to Sigma’s objectives, the potential for increased resources, concentration plant construction and expected production levels, achieving sustainable production and other statements that are not historical facts. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These assumptions, risks and uncertainties include, among other things: the state of the economy in general and capital markets in particular, the availability of project financing for the construction and operation of the Plant on reasonable terms, investor interest in the business and future prospects of Sigma and the settlement of definitive offtake and other commercial agreements.
The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, Sigma disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additionally, Sigma undertakes no obligation to comment on the expectations of, or statements made, by third parties in respect of the matters discussed above.
The key risks and uncertainties that could cause actual results or the material factors and assumptions applied in preparing forward-looking information to differ materially from predictions, forecasts, projections, expectations or conclusions are discussed in the “Risk Factors” of Sigma’s public disclosed materials and information. We caution that the foregoing list is not exhaustive of all possible factors.
For more information on the risks, uncertainties and assumptions that could cause our actual results to differ from current expectations, please refer to our public filings available at www.sedar.com. 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.