SIGMA Lithium Signs First $22.4M Deferred Letter of Credit with Banco do Brasil

Sigma Lithium Corporation, a top global producer of lithium focused on delivering carbon-neutral, socially and environmentally sustainable lithium concentrate for the next generation of electric vehicles, is excited to announce the signing of its first deferred $22.4 million letter of credit for export financing with Banco do Brasil, secured at notably low interest rates.

As Sigma Lithium evolves into an industrial producer and proves its capability to reliably deliver Quintuple Zero Green Lithium, it has secured access to low-cost trade finance through Banco do Brasil, a benefit typically available to the country’s largest industrial exporters. These agreements improve Sigma Lithium’s commercial flexibility and market access.

Due to the reduced interest rates on export credit lines, the Company plans to phase out its current trade lines, thereby lowering recurring interest expenses and enhancing its competitiveness.

Ana Cabral, Co-Chair and CEO of Sigma Lithium, remarks, "Reaching this milestone signifies our advancement as a producer, allowing us to access trade financing options reserved for Brazil's top exporters. We are privileged to collaborate with Banco do Brasil, the nation's largest bank, which has offered Sigma Lithium highly competitive interest rates through its Asian balance sheet. Banco do Brasil’s century-long commitment to supporting industrial exporters in Brazil is reinforced by this inaugural transaction with Sigma Lithium, a major global producer of industrial lithium materials. This partnership further solidifies Banco do Brasil’s leadership in advancing Brazil’s green industrialization of future battery materials."

"By maintaining a reliable shipping schedule, showcasing our product quality and cost-effectiveness, and effectively marketing to downstream battery and automotive manufacturers, Sigma has unlocked new credit opportunities. This transaction boosts the Company’s flexibility in marketing its Quintuple Zero Green Lithium, helping to establish a price premium that reflects its superior chemical attributes."

Sigma Lithium is a top global lithium producer focused on fueling the next generation of electric vehicle batteries with carbon-neutral, socially responsible, and environmentally sustainable chemical-grade lithium concentrate.  Sigma Lithium is among the world’s largest lithium producers, with an annual production capacity of 270,000 tonnes of chemical-grade lithium concentrate (equivalent to 36,700 tonnes of lithium carbonate equivalent, LCE). The company leads in environmental and social sustainability within the EV battery materials supply chain, operating its Grota do Cirilo facility in Brazil. Sigma Lithium manufactures Quintuple Zero Green Lithium at its cutting-edge Greentech lithium plant, which produces zero carbon lithium with no use of dirty power, potable water, toxic chemicals, or tailings dams.