Sigma Lithium to evaluate proposals, strategic alternatives

Sigma Lithium and its subsidiary Sigma Brazil announced that the companies board of directors are evaluating potential strategic alternatives for the companies. The companies received several proposals in relation to the Brazilian Company Sigma Mineracao for the Canadian parent Sigma Lithium Corporation as well as for the Grota do Cirilo Project. The proposals from the potential strategic partners differ in nature and structure and are subject to ongoing review and negotiations. The decision regarding the outcome of the strategic process will be made at a shareholders’ meeting of Sigma Lithium, where a “majority of the minority shareholders” of Sigma Lithium will be required for the deciding vote. The company plans to conclude the strategic process this year, but there can be no assurance that it will result in the completion of any specific transaction or outcome. Nor can a definitive timetable be set for its completion. The company does not intend to disclose further developments with respect to this strategic process, unless and until the board of directors has completed its assessment, or the company determines that additional disclosure is required by law or otherwise deemed appropriate. Ana Cabral, co-chairperson of the board and CEO of Sigma Lithium, stated: “Sigma Lithium is humbled and pleased by the strong strategic interest in our businesses from industry leaders in the energy, auto, battery and lithium refining industries. Our success is driven by the relentless commitment and tireless work ethic of our incredibly diverse team, who have been determined from the very beginning to build the most socially and environmentally sustainable producer of industrialized lithium materials in the world. We are all very proud of our unique culture of teamwork and what we have accomplished for Brazil during the last six years. We inserted our country in the global lithium supply chain as one of the most sustainable lithium producers, while helping lift the people of our region, Vale do Jequitinhonha, by delivering and attracting billions of reais in investments. More importantly, our accomplishments reflect the mature regulatory, commercial rule of law and legal security for international investors in Brazil, built over decades of mining success and overall industrialization. Our strategic review process coincides with our industry-first achievement of Triple Zero Green Lithium: zero carbon, zero tailings and zero hazardous chemicals. We recently disclosed the leaps in operational ramp-up at our Greentech lithium plant, including the success of our pioneer environmental tailings and water management industrial plant module, encompassing an innovative dry stacking of tailings coupled with water reuse. Now as a full-fledged global producer, Sigma Lithium’s Board of Directors is conscious of its fiduciary duty and the responsibility involved in selecting our strategic partner, enabling Sigma Brazil to continue to take our country to the next level in securing its vital position within the global lithium supply chain.”