SIGMA LITHIUM ACHIEVES 1Q25 PRODUCTION TARGET WITH 68,300t OF QUINTUPLE ZERO GREEN LITHIUM, MAINTAINING CASH GENERATION, COSTS IN LINE WITH GUIDANCE

Rhea-AI Summary

Sigma Lithium (SGML) has successfully achieved its Q1 2025 production target, producing 68,300 tonnes of Quintuple Zero Green Lithium. The company maintains strong operational performance with costs aligned with guidance.

The company will load 29,000 tonnes of Quintuple Zero Green Lithium to International Resource Holdings (IRH), owned by the Royal Group of Abu Dhabi, during the week of April 7, 2025. This follows a previous shipment of 47,000 tonnes to IRH on March 4, 2025, bringing total shipments to 76,000 tonnes.

The company reports maintaining healthy margins and consistent cash flows, with all-in sustaining costs (ASIC) remaining in line with guidance. Management emphasizes operational efficiency and a low-cost position as key factors in navigating the current lithium price environment.

Positive

• Met Q1 2025 production target of 68,300 tonnes
• Secured sales of 76,000 tonnes to International Resource Holdings
• Maintaining healthy margins and consistent cash flows
• All-in sustaining costs (ASIC) in line with guidance
• Strong and stable demand for their Quintuple Zero Green Lithium product

Negative

• Operating in challenging lithium price environment

Insights

Financial Analyst

Sigma Lithium's Q1 2025 operational results demonstrate effective execution against production targets in a challenging lithium market. The company delivered 68,300 tonnes of their Quintuple Zero Green Lithium, precisely hitting their guidance while maintaining their cost structure within forecasted parameters.

The company's sales performance is equally solid, with 76,000 tonnes shipped and sold to International Resource Holdings, including 47,000 tonnes shipped on March 4 and an additional 29,000 tonnes scheduled for loading in early April. This consistent offtake relationship provides valuable revenue visibility.

Most significantly, management confirms they're generating positive cash flow despite current lithium market conditions, with all-in sustaining costs (AISC) tracking in line with guidance. This cost discipline is crucial as it suggests the operation maintains margin resilience during a period of industry headwinds.

The ability to deliver on production targets while maintaining cost control indicates operational stability, an essential attribute for resource producers facing commodity price volatility. The company's stated focus on "operational elements we can control" reflects prudent management during challenging market cycles.

While specific financial figures aren't disclosed, the confirmation of continued cash generation with every tonne sold signals that Sigma's production economics remain viable at current price points - a critical factor differentiating producers in the current lithium landscape where higher-cost operations face greater pressure.

SÃO PAULO, April 4, 2025 /PRNewswire/ -- Sigma Lithium Corporation (TSXV/NASDAQ: SGML, BVMF: S2GM34) ("Sigma Lithium" or the "Company"), a leading global lithium producer dedicated to powering the next generation of electric vehicles with carbon-neutral, socially and environmentally sustainable lithium concentrate ("Quintuple Zero Green Lithium"), is pleased to announce the successful completion of the 1Q25, delivering production volumes of 68,000t of Quintuple Zero Green Lithium for the quarter, achieving provided production targets. The Company expects to continue to deliver on the production targets for the year.

During the week of April 7, 2025, Sigma Lithium will load 29,000t of Quintuple Zero Green Lithium, fully sold to International Resource Holdings ("IRH"), a metals and critical minerals trading company, indirectly wholly owned by the Royal Group of Abu Dhabi. On March 4, 2025, the Company also shipped and sold 47,000t of Quintuple Zero Green Lithium to IRH, bringing total shipments to 76,000t (part of this product was sold to IRH through a port transaction at the end of 1Q25).

With this strong production and sales performance, Sigma Lithium expects to continue generating consistent cash flows and maintaining healthy margins, as all-in sustaining costs (ASIC) are also in line with the guidance provided. The Company's operational efficiency and low-cost position gives it the resilience needed to successfully navigate the current lithium price environment.

Ana Cabral, CEO and Co-Chairman of Sigma Lithium, said, "In the first quarter of 2025, we demonstrated our ability to maintain our operational cadence achieving both the targeted production levels of 68,000t and meeting our sales targets. Once again, we have proven our ability to deliver on our projection, remaining focused on the operational elements we can control.

Ana continued, "Our cost structure delivers cash flows with every ton of product sold, strengthening the stability of our liquidity position with every sale. Demand for our Quintuple Zero Green Lithium is strong and stable, and we remain confident in the fundamentals of global lithium demand, which have not changed, with conditions poised to improve going forward."

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 carbon neutral, socially and environmentally sustainable chemical-grade lithium concentrate.

The Company operates one of the world's largest lithium production sites—the fifth-largest industrial-mineral complex for lithium oxide—at its Grota do Cirilo Operation in Brazil. Sigma Lithium is at the forefront of environmental and social sustainability in the electric vehicle battery materials supply chain, producing Quintuple Zero Green Lithium: net-zero carbon lithium made with zero dirty power, zero potable water, zero toxic chemicals, and zero tailings dams.

Sigma Lithium currently produces 270,000 tonnes of lithium oxide concentrate on an annualized basis (approximately 38,000–40,000 tonnes of LCE) at its state-of-the-art Greentech Industrial Lithium Plant. The Company is now constructing a second plant to double production capacity to 520,000 tonnes of lithium oxide concentrate (approximately 77,000–80,000 tonnes of LCE).

For more information about Sigma Lithium, visit our website. 

SIGMA LITHIUM

LinkedIn: Sigma Lithium
Instagram: @sigmalithium
Twitter: @SigmaLithium

FORWARD-LOOKING STATEMENTS

This news release includes certain "forward-looking information" under applicable Canadian and U.S. securities legislation, including but not limited to statements relating to timing and costs related to the general business and operational outlook of the Company, the environmental footprint of tailings and positive ecosystem impact relating thereto, donation and upcycling of tailings, timing and quantities relating to tailings and Green Lithium, achievements and projections relating to the Zero Tailings strategy, achievement of ramp-up volumes, production estimates and the operational status of the Groto do Cirilo Project, and other forward-looking information. All statements that address future plans, activities, events, estimates, expectations or developments that the Company believes, expects or anticipates will or may occur is forward-looking information, including statements regarding the potential development of mineral resources and mineral reserves which may or may not occur. Forward-looking information contained herein is based on certain assumptions regarding, among other things: general economic and political conditions; the stable and supportive legislative, regulatory and community environment in Brazil; demand for lithium, including that such demand is supported by growth in the electric vehicle market; the Company's market position and future financial and operating performance; the Company's estimates of mineral resources and mineral reserves, including whether mineral resources will ever be developed into mineral reserves; and the Company's ability to operate its mineral projects including that the Company will not experience any materials or equipment shortages, any labour or service provider outages or delays or any technical issues. Although management believes that the assumptions and expectations reflected in the forward-looking information are reasonable, there can be no assurance that these assumptions and expectations will prove to be correct. Forward-looking information inherently involves and is subject to risks and uncertainties, including but not limited to that the market prices for lithium may not remain at current levels; and the market for electric vehicles and other large format batteries currently has limited market share and no assurances can be given for the rate at which this market will develop, if at all, which could affect the success of the Company and its ability to develop lithium operations. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether because of new information, future events or otherwise, except as required by law. For more information on the risks, uncertainties and assumptions that could cause our actual results to differ from current expectations, please refer to the current annual information form of the Company and other public filings available under the Company's profile 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.

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SOURCE Sigma Lithium Corporation

FAQ

What is Sigma Lithium's (SGML) Q1 2025 production volume?

Sigma Lithium produced 68,300 tonnes of Quintuple Zero Green Lithium in Q1 2025, meeting their production targets.

How much lithium did SGML ship to International Resource Holdings in early 2025?

SGML shipped 47,000 tonnes on March 4, 2025, with an additional 29,000 tonnes scheduled for loading in the week of April 7, 2025, totaling 76,000 tonnes.

Is Sigma Lithium (SGML) maintaining profitability in the current lithium market?

Yes, SGML reports maintaining healthy margins and consistent cash flows, with all-in sustaining costs (ASIC) in line with guidance.

Who is the main buyer of SGML's Quintuple Zero Green Lithium in Q1 2025?

International Resource Holdings (IRH), indirectly wholly owned by the Royal Group of Abu Dhabi, is the main buyer.