Corporate Presentation - September 2022 - Mining Data Online
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Corporate Presentation
September 2022
Disclaimer
No Offer or Solicitation Regarding Securities
This presentation has been prepared by Sigma Lithium Corporation (“Sigma”) for general information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of Sigma or its affiliates in any jurisdiction, including but not limited to Canada and the United
States. The contents of this presentation should not be interpreted as financial, investment, tax, legal, or accounting advice. Readers should consult their own advisors.
The contents of this presentation have not been approved or disapproved by any securities commission or regulatory authority in United States or Canada or any other jurisdiction, and Sigma expressly disclaims any responsibility to make disclosures or any filings with any securities commission or
regulatory authority, beyond that imposed by applicable laws.
Cautionary Note Regarding Forward-Looking Statements
This presentation contains “forward-looking information” within the meaning of applicable Canadian securities legislation and “forward-looking statements” within the meaning of applicable United States securities laws (collectively referred to herein as “Forward Looking Information”). All such Forward
Looking Information is made under the provisions of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the U.S. Securities Act of 1933, as amended and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact,
may be Forward Looking Information, including, but not limited to, mineral resource or mineral reserve estimates (which reflect a prediction of mineralization that would be realized by development). When used in this presentation, such statements generally use words such as “may”, “would”, “could”,
“will”, “intend”, “expect”, “believe”, “plan”, “anticipate”, “estimate” and other similar terminology. These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date such statements were made. Forward Looking Information
involves significant risks and uncertainties, should not be read as guarantees of future performance or results, and does not necessarily provide accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results
discussed in the Forward-Looking Information, which is based upon what management believes are reasonable assumptions, and there can be no assurance that actual results will be consistent with the Forward-Looking Information.
In particular (but without limitation), this presentation contains Forward Looking Information with respect to the following matters: the lithium sector and long-term outlook thereof; the growth of European electric vehicle (“EV”) demand; anticipated trends relating to lithium structural supply tightness;
development, construction and large scale production at Sigma’s Grota do Cirilo Lithium Project (the “Project”) and the phases and timing thereof; sustainability and environmental initiatives and the continued success thereof; processing production costs and other cost estimates; the quality and
grades of lithium concentrates; publishing of additional pre-feasibility and feasibility studies; expansion of mineral resources and mineral reserves at the Project; intentions to fund construction using debt from commercial and development banks; anticipated start-up costs at the Project; relationships
with engineering and construction companies; anticipated risk mitigation and execution plans; the adherence by Sigma to global environmental guidance; and economic performance, financial projections and requirements, and other expectations of Sigma. In addition, documents referred to in this
presentation and filed publicly by Sigma may contain further Forward-Looking Information with respect to the following matters: anticipated decision making with respect to the Project; capital expenditure programs; estimates of mineral resources and mineral reserves; development of mineral
resources and mineral reserves; government regulation of mining operations and treatment under governmental and taxation regimes; the future price of commodities, including lithium; the realization of mineral resource and mineral reserve estimates, including whether mineral resources will ever be
developed into mineral reserves; the timing and amount of future production; entering into binding offtake arrangements; currency exchange and interest rates; expected outcome and timing of environmental surveys and permit applications and other environmental matters; Sigma’s ability to raise
capital and obtain project financing; expected expenditures to be made by Sigma on its properties; successful operations and the timing, cost, quantity, capacity and quality of production; capital costs, operating costs and sustaining capital requirements, including the cost of construction of the
processing plant for the Project; competitive conditions and anticipated trends post-COVID-19 pandemic and the ongoing uncertainties and effects in respect of the COVID-19 pandemic.
Forward Looking Information does not take into account the effect of transactions or other items announced or occurring after the statements are made. Forward Looking Information is based upon a number of expectations and assumptions and is subject to a number of risks and uncertainties, many
of which are beyond Sigma’s control, that could cause actual results to differ materially from those disclosed in or implied by such Forward Looking Information. With respect to the Forward Looking Information, Sigma has made assumptions regarding, among other things: General economic and
political conditions; Stable and supportive legislative, regulatory and community environment in the jurisdictions where Sigma operates; Stability and inflation of the Brazilian Real, including any foreign exchange or capital controls which may be enacted in respect thereof, and the effect of current or
any additional regulations on Sigma’s operations; Anticipated trends and effects in respect of the COVID-19 pandemic and post-pandemic; Demand for lithium, including that such demand is supported by growth in the EV market; Estimates of, and changes to, the market prices for lithium; The impact
of increasing competition in the lithium business and Sigma’s competitive position in the industry; Sigma’s market position and future financial and operating performance; Sigma’s estimates of mineral resources and mineral reserves, including whether mineral resources will ever be developed into
mineral reserves; Anticipated timing and results of exploration, development and construction activities; Reliability of technical data; Sigma’s ability to develop and achieve production at the Project; Sigma’s ability to obtain financing on satisfactory terms to develop the Project; Sigma’s ability to obtain
and maintain mining, exploration, environmental and other permits, authorizations and approvals for the Project; The timing and possible outcome of regulatory and permitting matters for the Project; The exploration, development, construction and operational costs for the Project; The accuracy of
budget, construction and operations estimates for the Project; Successful negotiation of definitive commercial agreements, including off-take agreements for the Project; Sigma’s ability to operate in a safe and effective manner.
Although management believes that the assumptions and expectations reflected in such Forward-Looking Information are reasonable, there can be no assurance that these assumptions and expectations will prove to be correct. Since Forward Looking Information inherently involves risks and
uncertainties, undue reliance should not be placed on such information. Sigma’s actual results could differ materially from those anticipated in any Forward-Looking Information as a result of various known and unknown risk factors, including (but not limited to) the risk factors referred to under the
heading “Risk Factors” in the most recent amended and restated annual information form of Sigma. Such risks relate to, but are not limited to, the following: Sigma may not develop the Project into a commercial mining operation; There can be no assurance that market prices for lithium will remain at
current levels or that such prices will improve; The market for EVs 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 Sigma and its ability to develop lithium
operations; Changes in technology or other developments could result in preferences for substitute products; New production of lithium hydroxide or lithium carbonate from current or new competitors in the lithium markets could adversely affect prices; The Project is at development stage and
Sigma’s ability to succeed in progressing through development to commercial operations will depend on a number of factors, some of which may be outside its control; Sigma’s financial condition, operations and results of any future operations are subject to political, economic, social, regulatory and
geographic risks of doing business in Brazil; Violations of anti-corruption, anti-bribery, anti-money laundering and economic sanctions laws and regulations could materially adversely affect Sigma’s business, reputation, results of any future operations and financial condition; Sigma is subject to
regulatory frameworks applicable to the Brazilian mining industry which could be subject to further change, as well as government approval and permitting requirements, which may result in limitations on Sigma’s business and activities; Sigma’s operations are subject to numerous environmental laws
and regulations and expose Sigma to environmental compliance risks, which may result in significant costs and have the potential to reduce the profitability of operations; Physical climate change events and the trend toward more stringent regulations aimed at reducing the effects of climate change
could have an adverse effect on Sigma’s business and future operations; As Sigma does not have any experience in the construction and operation of a mine, processing plants and related infrastructure, it is more difficult to evaluate Sigma’s prospects, and Sigma’s future success is more uncertain
than if it had a more proven history of developing a mine; Sigma’s future production estimates are based on existing mine plans and other assumptions which change from time to time. No assurance can be given that such estimates will be achieved; Sigma may experience unexpected costs and cost
overruns, problems and delays during construction, development, mine start-up and operations for reasons outside of Sigma’s control, which have the potential to materially affect its ability to fully fund required expenditures and/or production or, alternatively, may require Sigma to consider less
attractive financing solutions; Sigma’s capital and operating cost estimates may vary from actual costs and revenues for reasons outside of Sigma’s control; Sigma’s operations are subject to the high degree of risk normally incidental to the exploration for, and the development and operation of,
mineral properties; Insurance may not be available to insure against all such risks, or the costs of such insurance may be uneconomic. Losses from uninsured and underinsured losses have the potential to materially affect Sigma’s financial position and prospects; Sigma is subject to risks associated
with securing title and property interests; Sigma is subject to strong competition in Brazil and in the global mining industry; Sigma may become subject to government orders, investigations, inquiries or other proceedings (including civil claims) relating to health and safety matters, which could result in
consequences material to its business and operations; Sigma’s mineral resource and mineral reserve estimates are estimates only and no assurance can be given that any particular level of recovery of minerals will in fact be realized or that identified mineral resources or mineral reserves will ever
qualify as a commercially mineable (or viable) deposit; Sigma’s operations and the development of its projects may be adversely affected if it is unable to maintain positive community relations; Sigma is exposed to risks associated with doing business with counterparties, which may impact Sigma’s
operations and financial condition; Any limitation on the transfer of cash or other assets between Sigma and Sigma’s subsidiaries, or among such entities, could restrict Sigma’s ability to fund its operations efficiently; Sigma is subject to risks associated with its reliance on consultants and others for
mineral exploration and exploitation expertise; The current COVID-19 pandemic could have a material adverse effect on Sigma’s business, operations, financial condition and stock price; If Sigma is unable to ultimately generate sufficient revenues to become profitable and have positive cash flows, it
could have a material adverse effect on its prospects, business, financial condition, results of operations or overall viability as an operating business (…)
High Purity Lithium, Responsibly Sourced page 2
Disclaimer
(…) Sigma is subject to liquidity risk and therefore may have to include a “going concern” note in its financial statements; Sigma may not be able to obtain sufficient financing in the future on acceptable terms, which could have a material adverse effect on Sigma’s business, results of operations and
financial condition. In order to obtain additional financing, Sigma may conduct additional (and possibly dilutive) equity offerings or debt issuances in the future; Sigma may be unable to achieve cash flow from operating activities sufficient to permit it to pay the principal, premium, if any, and interest on
Sigma’s indebtedness, or maintain its debt covenants; Sigma has not declared or paid dividends in the past and may not declare or pay dividends in the future; Sigma will incur increased costs as a result of being a public company both in Canada listed on the TSXV and in the United States listed on
Nasdaq, and its management will be required to devote further substantial time to United States public company compliance efforts; If Sigma does not maintain adequate and appropriate internal controls over financial reporting as outlined in accordance with National Instrument 52-109 – Certification
of Disclosure in Issuers’ Annual and Interim Filings or the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”), Sigma will have to report a material weakness and disclose that Sigma has not maintained appropriate internal controls over financial reporting; As a foreign
private issuer, Sigma is subject to different U.S. securities laws and rules than a domestic U.S. issuer, which may limit the information publicly available to its shareholders; Failure to retain key officers, consultants and employees or to attract and, if attracted, retain additional key individuals with
necessary skills could have a materially adverse impact upon Sigma’s success; Sigma is subject to currency fluctuation risks; From time to time, Sigma may become involved in litigation, which may have a material adverse effect on its business financial condition and prospects; Certain directors and
officers of Sigma are, or may become, associated with other natural resource companies which may give rise to conflicts of interest; The market price for Sigma’s shares may be volatile and subject to wide fluctuations in response to numerous factors beyond its control, and Sigma may be subject to
securities litigation as a result; If securities or industry analysts do not publish research or reports about Sigma’s business, or if they downgrade the common shares of Sigma (the “Common Shares”), the price of the Common Shares could decline; Sigma will have broad discretion over the use of the
net proceeds from offerings of its securities; There is no guarantee that the Common Shares will earn any positive return in the short term or long term; Sigma has a major shareholder which owns 47.7% of the outstanding Common Shares and, as such, for as long as such shareholder directly or
indirectly maintains a significant interest in Sigma, it may be in a position to affect Sigma’s governance, operations and the market price of the Common Shares; As Sigma is a Canadian corporation but most of its directors and officers are not citizens or residents of Canada or the U.S., it may be
difficult or impossible for an investor to enforce judgements against Sigma and its directors and officers outside of Canada and the U.S. which may have been obtained in Canadian or U.S. courts or initiate court action outside Canada or the U.S. against Sigma and its directors and officers in respect of
an alleged breach of securities laws or otherwise. Similarly, it may be difficult for U.S. shareholders to effect service on Sigma to realize on judgments obtained in the United States; Sigma is governed by the corporate and securities laws of the Province of Ontario and of Canada, which in some cases
have a different effect on shareholders than U.S. corporate laws and U.S. securities laws; Sigma is subject to risks associated with its information technology systems and cyber-security; Sigma may be a Passive Foreign Investment Company, which may result in adverse U.S. federal income tax
consequences for U.S. holders of Common Shares.
Readers are cautioned that the foregoing lists of assumptions and risks is not exhaustive. The Forward-Looking Information contained in this presentation is expressly qualified by these cautionary statements. All Forward Looking Information in this presentation speaks as of the date of such
statements were made, as applicable. Sigma does not undertake any obligation to update or revise any Forward-Looking Information, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additional information about these assumptions,
risks and uncertainties is contained in Sigma’s filings with securities regulators, including Sigma’s then-current annual information form, which are available on SEDAR at www.sedar.com. and on EDGAR at www.sec.gov.
Cautionary Note Regarding Mineral Resource and Mineral Reserve Estimates
Technical disclosure regarding Sigma’s properties included in this presentation has not been prepared in accordance with the requirements of U.S. securities laws. Without limiting the foregoing, such technical disclosure uses terms that comply with reporting standards in Canada and estimates are
made in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). Unless otherwise indicated, all mineral reserve and mineral resource estimates contained in the technical disclosure have been prepared in accordance with NI 43-101 and the Canadian
Institute of Mining, Metallurgy and Petroleum Definition Standards on Mineral Resources and Reserves (the “CIM Definition Standards”).
Under the SEC rules regarding disclosure of technical information, the definitions of “proven mineral reserves” and “probable mineral reserves” are substantially similar to the corresponding CIM Definition Standards, and the SEC recognizes “measured mineral resources”, “indicated mineral resources”
and “inferred mineral resources” which are also substantially similar to the corresponding CIM Definition Standards. However, there are still differences in the definitions and standards under the SEC rules and the CIM Definition Standards. Therefore, Sigma’s mineral resources and reserves as
determined in accordance with NI 43-101 may be significantly different than if they had been determined in accordance with the SEC rules.
Third Party Information
This presentation includes market, industry, economic data and projections which was obtained from various publicly available sources and other sources believed by Sigma to be true. Although Sigma believes it to be reliable, it has not independently verified any of the data from third party sources
referred to in this presentation or analyzed or verified the underlying reports relied upon or referred to by such sources, or ascertained the underlying economic and other assumptions relied upon by such sources. Sigma believes that the market, industry and economic data is accurate and that the
estimates and assumptions are reasonable, but there can be no assurance as to the accuracy or completeness thereof. The accuracy and completeness of the market, industry and economic data in this presentation are not guaranteed, and Sigma does not make any representation as to the
accuracy or completeness of such information.
Technical Information
Wes Roberts, P.Eng., a member of the technical committee of Sigma, is the “qualified person” under NI 43-101 who reviewed and approved the technical information disclosed in this presentation.
Certain technical information in this presentation was derived from the technical report dated August 4, 2022, with an effective date of May 30, 2022, titled “Grota do Cirilo Lithium Project, Araçuaí and Itinga Regions, Minas Gerais, Brazil, Phase 3 Mineral Resource Estimate” and prepared by Homero
Delboni Jr, B.E., M.Eng.Sc., Ph.D., Marc-Antoine Laporte, P. Geo, Jarrett Quinn, P.Eng., Porifrio Cabaleiro Rodriguez, MEng., and Brian Talbot, FAusIMM, Rtek Pty Ltd. (the “Updated Technical Report”). The Updated Technical Report is available on the SEDAR profile of Sigma at www.sedar.com. Mineral
resources in the Updated Technical Report are reported inclusive of mineral reserves. Readers are advised that mineral resources that are not mineral reserves do not have demonstrated economic viability. Some figures herein have been rounded for presentation purposes. It is noted that Sigma has
not yet made a production decision in respect of the Barreiro deposit. Sigma expects that it will assess the results of a definitive feasibility study before making a production decision in respect of the Barreiro deposit. All statements regarding mine development or production in respect of the Barreiro
deposit in this presentation are expressly qualified by this statement.
Non-GAAP Measures
This presentation and the Updated Feasibility Study Report contain certain non-GAAP measures. The non-GAAP measures do not have any standardized meaning within IFRS and therefore may not be comparable to similar measures presented by other companies. These measures provide
information that is customary in the mining industry and that is useful in evaluating the Project. This data should not be considered as a substitute for measures of performance prepared in accordance with IFRS.
High Purity Lithium, Responsibly Sourced page 3
Sigma Lithium: Near Term Production
Building the world’s next tier-1 lithium operation, sustainably
1 Large-Scale Production of Battery Grade Lithium Concentrate:
• Run-rate production of 531,000 tpa (72,200 t LCE)
2 Ongoing Construction is Fully Funded:
• Greentech plant commissioning initiation planned for 2022
3 Projected to Supply a Tight Market in Deficit:
• Lithium price inelasticity from 2022 to at least 2025
4 “Value-Added” High Quality Lithium:
• Unique direct offtake with LG – global battery producer
5 Global Leader in ESG:
• Recognized at COP 25 & 26 and United Nations
High Purity Lithium, Responsibly Sourced page 4
Sigma Lithium: Greentech Business
Pioneered environmentally friendly high purity lithium production
Green Mining: Greentech Batteries & Aligned
Dry Stacking Transformation Cathodes End-Users
Battery Grade Lithium
Concentrate Spot: US$6,750 (1)
Sigma Lithium EBITDA Margin @
(1) Fastmarkets as of September 15, 2022. US$2,247/t: 82%
High Purity Lithium, Responsibly Sourced page 5
Sigma Lithium: By the Numbers
The largest lithium project in the Americas
PHASE 1 & 2 ONLY HIGHLIGHTS (BASED ON 2P RESERVES) RESOURCE INVENTORY
$5.1 B 589% 13 years $455/t 33.6 Mt 73.6 Mt
P 1 & 2 After- P 1 & 2 After- P1&2 P 1 & 2 AISC 2P Reserves M&I Resources
Tax NPV8% Tax IRR Operating Life (CIF China) (P 1 & 2 Only) (Includes P3)
12.1 Mt
$111 M 270 kt/y $455 M Inferred Resources
Phase 1 (Includes P3)
Remaining P1 8 years P 1 Avg.
(2023) Pre-Production Annual FCF UPCOMING CATALYSTS
Capex
✓ Phase 1 Commissioning by
YE-2022
Phase $76 M 531 kt/y $595 M ✓ Phase 2 Production
1&2 Incremental 13 years P 1 & 2 Avg. Potentially in 2024
(∼2024) P2 Pre-Prod. Annual FCF ✓ Phase 3 PEA H2-2022
Capex
✓ Phase 4 Resource Update
Source: the Updated Technical Report. H2-2022
High Purity Lithium, Responsibly Sourced page 6
Corporate Structure: Concentrated Institutional Ownership
Fully-financed for Phase 1 construction with no current debt following >US$100 million equity financing
completed in December 2021
Capitalization Summary (1,2) USD Share Price (NASDAQ:SGML)
Shares Outstanding (MM) 100.7 SGML Traded Value (Nasdaq & TSXV) SGML Share Price (Nasdaq)
NASDAQ (Indexed to SGML)
52-Week Range (3) (US$) $7.35-$29.50
$30.00 $60.0
Share Price (US$) $24.70
Average 30-D Traded Value (4) (US$ MM) $20.1 $25.00 $50.0
Traded Value (US$ M)
Share Price (US$)
Market Capitalization (US$ MM) $2,488
$20.00 $40.0
Cash & Cash Equivalents (US$ MM) $96
$15.00 $30.0
Total Debt (US$ MM) $0.2
Enterprise Value (US$ MM) $2,392 $10.00 $20.0
Research Coverage $5.00 $10.0
Broker Analyst
- -
Bank of America Matthew DeYoe Sep-2021 Dec-2021 Mar-2022 Jun-2022 Sep-2022
Canaccord Genuity Katie Lachapelle Largest Shareholders
Cormark Securities MacMurray Whale
National Bank Lola Aganga
Family
Offices
Red Cloud David Talbot
(1) F
(2) Share price and trading data as of September 23, 2022.F
High Purity Lithium, Responsibly Sourced Source: Capital IQ, company materials. (3) Based on intraday trading prices. page 7
(1) Balance sheet items and share count as of June 30, 2022. (4) Based on trading on the Nasdaq and TSXV over the last 30 days.
Canadian Company With Operations in Brazil: Strategically Located for
the EV Supply Chain
Operation Located in one of the world’s largest mining provinces with existing infrastructure, including roads,
water, clean power and port access
Favourable Atlantic Port Location Nearby Infrastructure
Shipping: Ilhéus Port Water License for River at Property
Intercontinental Seaport
(~500 km NE)
Power: Transmission Road: Existing
Hydroelectricity Lines Highway to Port
Sigma Lithium Operations
High Purity Lithium, Responsibly Sourced page 8
Near-Term Production with Significant Organic Growth Profile
Significant growth profile with 72.2 kt LCE in annual production in the near term and further growth potential
via Phase 3 (growth to leverage Phase 1 infrastructure)
Phase 3: PEA to be Completed in the H2-2022
Potential to production from Phase 3
(M&I resource of 23.3 Mt @ 1.49% Li2O)
Production Forecast
Phase 2: PFS Completed Q2-2022
+261 kt
Additional 261,100 tpa (35,500 t LCE)
Phase 1 + 2 = 72,200 t LCE
Phase 1: In Construction (1)
270 kt
270,000 tpa (36,700 t LCE)
(Based on Updated FS)
4Q22 (1)
2H23
2036
2030
2034
2033
2024
2026
2028
2035
2032
Source: the Updated Technical Report. 2031 page 9
High Purity Lithium, Responsibly Sourced (1) Commissioning forecasted to begin at the end of 2022
Large Scale Operation
Sigma will be one of the largest and highest-grade lithium producers globally
Commissioning Market
Producers (kt LCE) Start Near-Term Producers (kt LCE) Capitalization
Total Deb t
101 202 Q4-2022 $0. 5
37 72 Disconnect US$2.5 B
Total Cas h & Equivalents
92 166 Q4-2022 $2. 4
25 US$1.6 B
Phase 1= 2023 H2-2022 -
18 27 US$3.5 B
37 72
Phase 2=2024
Phase 3= TBD
Next Cycle Producers (kt LCE)
$2. 8
32 56
2024 $0. 2
76 US$2.3 B
30 80
Litigation Volume (TSXV)
41 Halted
30 46
TBD 52-We ek Low
36 US$0.7 B
29 44
TBD 52-We ek H igh
30 US$1.0 B
25 83
TBD 26 US$0.9 B
22 108
TBD 18 US$1.3 B
2021 Production
19 40 2024 10 US$0.9 B
2024E Production
0.0 50. 0 100 .0 150 .0 200 .0
0.0 50. 0 100 .0 150 .0 200 .0
Source: Capital IQ as of September 23, 2022. Peers based on Benchmark Intelligence and company materials; Sigma Lithium based on the Updated Technical Report.
High Purity Lithium, Responsibly Sourced Note: based on attributable production (e.g. Lithium Americas on a 100% basis is 60 kt LCE). page 10Production Re-Rate Potential
Sigma is one of the few near-term producers of scale
Market Capitalization vs. Production Scale
Producers Near-Term Producers Next Cycle Producers
Basic Market Capitalization (US$ Bn)
$35.0
202 200.0
$30.0
Attributable 2021 Production (kt LCE)
166
(1)
Attributable 2024E / Expanded Production (kt LCE)
150.0
$25.0
(1)
Attributable 2023 Production (kt LCE)
101 100.0
92
80 76
$20.0
72
56 50.0
40 27 37 36 41
30 32 30
$1 5.0
$31.6
$26.8 25 26
19 18 18
10
$9.5
0.0
$1 0.0
Disconnect
$6.2
$5.5
-50.0
$3.5
$5.0
$2.5 $2.3
$1.6 $1.3 $1.0 $0.9 $0.9 $0.7
Halted
$0.0 -100.0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
ADTV
(US$ M) (2)
$383 $246 $112 $54 $144 $92 $20 $27 $20 $32 $32 $4 $25 $5 n/a
Source: Capital IQ as of September 23, 2022. Company materials and Benchmark Intelligence; peers (1) Developers based on LOM averages disclosed in technical
High Purity Lithium, Responsibly Sourced based on Benchmark Intelligence and company materials; Sigma Lithium the Updated Technical Report. reports or estimates from Benchmark Intelligence. page 11
(2) Based on the last 30-days.Phase 1 ONLY Technical Report Economic Highlights
Phase 1 Economics Overview
5.5% Li2O Battery-Grade Lithium Concentrate
Annual Average Economics
Estimated Revenue, Operating
(8 Year Operating Life @ 270,000 tpa of Lithium Concentrate)
Costs and After-Tax Earnings
(US$ M) (US$/t Lithium Concentrate Sold)
Gross Revenue $675 $2,499
Net Revenues $656 $2,429
Less: Site Operating Costs $105 $387
(-) Mining $53 $195
(-) Processing $15 $56
(-) Transport $32 $119
(-) SG&A $5 $18
EBITDA $551 $2,041
% EBITDA Margin 84% 84%
After-Tax Earnings $455 $1,686
% After-Tax Earnings Margin 69% 69%
High Purity Lithium, Responsibly Sourced Source: the Updated Technical Report. page 12Phase 1 & 2 ONLY Technical Report Economic Highlights
Phase 1 & 2 Economics Overview
5.5% Li2O Battery-Grade Lithium Concentrate
Annual Average Economics
Estimated Revenue, Operating
(13 Year Operating Life @ 531,000 tpa Lithium Concentrate) (1)
Costs and After-Tax Earnings
(US$ M) (US$/t Lithium Concentrate Sold)
Gross Revenue $915 $2,247
Net Revenues $889 $2,184
Less: Site Operating Costs $159 $390
(-) Mining $79 $194
(-) Processing $23 $57
(-) Transport $46 $114
(-) SG&A $10 $25
EBITDA $730 $1,794
% EBITDA Margin 82% 82%
After-Tax Earnings $596 $1,463
% After-Tax Earnings Margin 67% 67%
Source: the Updated Technical Report.
High Purity Lithium, Responsibly Sourced (1) Run-Rate production of 531,000 tpa vs. LOM average production of 407,000 tpa. page 13High Quality and Low Cost Battery Grade Lithium Concentrate
Unique high grade, high purity and coarse-grained concentrate enables low cost lithium chemical production
and cost savings
Illustrative CIF Cash-Cost (1) Low Impurities Coarse Spodumene
Hard-Rock Producers Iron Oxide Content (%) Sigma’s Dry Coarse Australian Wet Fines
2.0%
$373
(Greenbushes)
1.2%
1.0%
0.9% 0.9%
$454 0.8% 0.8%
Phase 1 & 2 0.5% 0.5%
0.4%
$494
(Pilgangoora)
$529
(Mt. Marion)
Mica Content (%)
$530
(Ngungaju) 10.0%
$588
(Finiss 7.2%
6.5%
$628 4.5%
4.0%
(Mt. Catlin) 3.1%
2.7%
$681
(Bald Hill)
Frontier Rock tech Livent Piedmont Livent Sigma Critical
Lithium Lithium Lithium Lithium Elements
Source: Company materials.
High Purity Lithium, Responsibly Sourced (1) Benchmark Mineral Intelligence C3 Cash Cost Curve for peers. Sigma Lithium based on the Updated Technical Report. page 14Commercial Offtakes
Partnerships established with global leader in advanced battery
manufacturing
✓ Take-or-pay contracts with prices
linked to the lithium hydroxide price (1)
Typical Producers Long Route
to Batteries (end users) Direct with Battery Producer
Lithium Concentrate Lithium Concentrate
Chemical Chemical
Tollers Tollers
Precursor Cathode
Producer
Battery Battery &
Makers Cathode Maker
High Purity Lithium, Responsibly Sourced (1) Company announcement as of October 5, 2021. page 1515
pagePhase 1 Construction
~47% Project Progress Complete
Targeting initiation of commissioning in December 2022
Detailed Engineering Progress (%)
Procurement 100%
Safety 100%
90%
Overall Concentre 100%
Completion Mechanical 100%
Platework 99%
Process 99%
Piping 99%
Structural 92%
Electrical & Instruments 90%
General Engineering 86%
Control Systems 68%
Civil 67%
Planing 50%
H2-2022 Workstreams
• Pre-stripping to prepare for mining
• Civil and electromechanical construction
• Erection of plant equipment
High Purity Lithium, Responsibly Sourced page 17Detailed Engineering Completed
Phase 1 Feasibility Study completed to FEL3 level to minimize execution risk
Junior Detailed
Mining Cos Pre- Feasibility Feasibility
Engineering
✓ ✓
Definitive IPA Front End
Feasibility Study FEL1 FEL2 FEL3
Loading
Initial Capex
Status Study or Feasibility
Authorization
✓ ✓
Basic
Engineering
Estimating
Factored Calculated Detailed
Methodology
✓
Detailed
Engineering Contingency 15% to 20% 10% to 15% 5% to 10%
Project
Execution Plan
✓ Extensive
experience building
Best-in-Class Engineering Partners
processing plants
FEL3 Accuracy
of Capex ✓
High Purity Lithium, Responsibly Sourced page 18Timeline to Phase 1 Plant Commissioning
Proceeding on schedule and on budget
Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23
Pre-
Geotech Foundation Structural
Construction
Drilling Modeling Calculations
Plant
Final
Trade-Off Design Designs
Studies Confirmations Trade-Off
Studies
Process
Layout
Design
Detailed
Criteria
Engineering
Equipment
Data Sheet
3D Model
Implementation Capex
(FEL3)
PEP
WE
Procurement Long Lead Items
are
here
Earthworks / Drainage
Construction Civil Construction
Electromechanical
Production Commissioning
High Purity Lithium, Responsibly Sourced page 19Timeline to Phase 1 Mining
Proceeding on schedule and on budget
Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23
Geotech Mine
Model
Drilling Schedule
Pre-
Construction
Mining
Ongoing
Hydrogeological Piezo- Hydro-
Drilling meters geological
Monitoring
WE
are
here
Pre-
Construction Biding Mobilization
Stripping
Mining Ongoing
Mining
(ROM) Mining
High Purity Lithium, Responsibly Sourced page 20Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 21
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 22
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 23
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 24
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 25
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 26
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 27
Phase 1 Plant Construction High Purity Lithium, Responsibly Sourced page 28
Phase 1 Pre-Stripping High Purity Lithium, Responsibly Sourced page 29
Phase 1 Pre-Stripping High Purity Lithium, Responsibly Sourced page 30
Phase 1 Pre-Stripping High Purity Lithium, Responsibly Sourced page 31
Phase 1 Pre-Stripping High Purity Lithium, Responsibly Sourced page 32
Phase 1 & 2 Operations
Fully Funded Phase 1 Capex
Phase 1 will produce 270,000 tpa with US$111 M in remaining initial capex, making it one of the lowest capital
intensity lithium projects globally
Sources (US$ millions) (1) Remaining Phase 1 Initial Capex (US$ millions) (2)
Mine $8.5
Current Plant $105.6
$95.7
Cash Position
Substation $7.4
Opex & ESG During
$9.8
Construction
Working Capital &
$6.1
Spares
Project Finance
$60.0 Estimated VAT Tax
(Term Sheet) ($5.9)
Incentive
Capex Disbursed ($20.7)
Sources $155.7 Remaining Initial Capex $110.9
(1) Company Q2-2022 financial statements.
High Purity Lithium, Responsibly Sourced (2) The Updated Technical Report (remaining initial capex as of Phase 1 Feasibility Study Technical Report filing on May 25, 2022). page 34Phase 1 & 2 Economics
Updated Technical Report presents robust economics for the combined operation
Economic Highlights @ 5.5% SC After-Tax NPV8% Sensitivity to Lithium Prices (US$ B)
Economic Analysis $8.0
After-Tax Net Present Value (@ 8% Discount Rate) US$5.1 billion
$7.0
After-Tax Internal Rate of Return 589%
$6.4
Payback Period 3 months
$6.0 $5.7
Revenues, Cash Flow and Capex
After-Tax NPV (US$ billion)
$5.1
Operating Life 13 years $5.0
$4.4
Phase 1 Remaining Initial Capex US$111 million
$4.0 $3.8
Phase 2 Growth Capex US$76 million
Run-Rate Lithium Concentrate Production 531,000 tpa
$3.0
Average LOM Lithium Concentrate Price (2) US$2,247/t
Average Annual Revenue US$915 million $2.0
Average Annual After-Tax Free Cash Flow US$595 million
$1.0
Costs per Tonne of Lithium Concentrate (20%) (10%) Base 10% 20%
(US$1,798/t) (US$2,023/t) (US$2,247/t) (US$2,472/t) (US$2,697/t)
Cash Cost at Production (FOB) US$340/t
Lithium Concentrate Price Change (%)
AISC (CIF China) US$455/t
(1) The Updated Technical Report.
High Purity Lithium, Responsibly Sourced (2) Based on Benchmark Mineral Intelligence’s Q1-2022 lithium hydroxide price forecast. page 35Phase 2 to be Fully Integrated with the Phase 1 Operations Streamlined construction of Phase 2 production line expected with certain infrastructure being built as part of the Phase 1 initial capex (Phase 3 could be added as a third parallel line) High Purity Lithium, Responsibly Sourced page 36
Phase 2 Update
Phase 2 could be added as early as 2024 and would increase total capacity to 531,000 tpa of 5.5% lithium
concentrate (72,200 tpa LCE)
Phase 2 PEA
Filed July 2021
✓ Maiden Reserve and
Resource Update
✓ Phase 2 PFS
Filed May 2022
✓ Phase 2 DFS /
Construction
Announced April 2022
✓• Increased production
capacity from ✓ 2P Reserves of 21.8Mt
@ 1.37% Li O (732Kt
✓ DMS testwork
completed 2
✓• DMS Metallurgy
34,000t LCE to LCE)
✓• Plant Design
67,000t LCE
✓ M&I Resources of
✓ Geotechnical
drilling field work • Geotechnical drilling
✓ • 13-year mine life 25.1Mt @ 1.38% Li O 2 field work
✓• Positive economics
(857Kt LCE)
✓ Hydrogeology
work
field
• Hydrogeology field work
to be updated in
✓ Inferred Resource of
upcoming PFS 3.8Mt @ 1.39% Li O
(131Kt LCE)
2
✓ Groundwater
measurements
level • DFS to be published in
H2-2022
✓ Mining Plan • Construction earthworks
could commence as
✓ Published PFS early as 2022
High Purity Lithium, Responsibly Sourced page 37Additional Growth Potential (Including Phase 3)
Phase 3 Deposit Located Nearby Phase 2
Phase 3 M&I mineral resource of 23.3 Mt @ 1.49% Li2O and Inferred mineral resource of 3.5 Mt @ 1.48% Li2O
located nearby the Phase 2 pit and suggests further high-grade prospectivity in the region (e.g. Phase 4)
Phase 3 Overview
Phase 2
(Barreiro)
800m
5km
Phase 3
(NDC)
High Purity Lithium, Responsibly Sourced page 39Phase 3 Update
Phase 3 could be added as early as 2025 (if not earlier) as a third parallel line in the production plant and could
increase total capacity to firmly place Sigma Lithium as one of the world largest producers of lithium
Maiden Mineral Resource
Announced June 2022
✓ Phase 3 PEA
Phase 3 PFS & Maiden
Mineral Reserve
Phase 3 DFS /
Construction
✓• M&I Resources of
23.3 Mt @ 1.49%
✓
• HLS testwork
completed
• DMS testwork
completed
• DMS Metallurgy
Li2O • Plant Design
✓
• Preliminary mining plan • Geotechnical drilling
✓• Inferred Resources
of 3.5 Mt @ 1.48%
completed field work
• Geotechnical drilling field
work
Li2O • Optimized mining plan • Hydrogeology field
to be evaluated work
• Hydrogeology field work
• Publish PEA and • Groundwater level
optimize acceleration measurements • DFS to be published in
study 2023
• Mining Plan
• Construction could
• Published PFS
commence in 2023 or
2024 (depending on
permitting)
High Purity Lithium, Responsibly Sourced page 40Licensing Update
Phase 1 fully licensed for construction, including the approval of simultaneous mining of the North and South
Pits; Phase 2 licensing process on track, enabling the Project's rapid expansion to match robust lithium demand
Phase 1 Licensing North Pit
EIA / RIMA
✓ LP / LI
✓ LO
Completed Completed (administrative inspection when
Filed June 2019 Received June 2019 construction is completed)
Phase 1 Licensing South Pit
EIA / RIMA
✓ LP / LI
✓ LO
Completed Completed (administrative inspection when
Filed June 2022 Received June 2022 construction is completed)
Phase 2 Licensing
EIA / RIMA
Completed
✓ LP / LI LO
In Progress (administrative inspection when
Filed August 2022 Filed construction is completed)
EIA / RIMA = Environmental Impact Studies / Environmental & Social Impact Assessment Report
LP / LI = Preliminary and Installation Licenses
High Purity Lithium, Responsibly Sourced LO = Operating Licenses page 41Significant Potential for Growth as EV Demand Accelerates
Current focus is on just one part of the broader land package and only 4 of the 9 former operating lithium
mines have NI 43-101 mineral resource estimates to date
Phase 1
Phase 2 Phase 4
Phase 3
High Purity Lithium, Responsibly Sourced page 42Significant Potential for Growth as EV Demand Accelerates (continued)
Additional exploration potential beneath the Piaui “seasonal stream” and with all deposits open
Phase 1 UG potential Phase 1 remains open at depth Phase 2 remains open at
and to the west / east depth and to the northeast
Phase 3 remains open at depth Phase 4 remains open at
and to the north / south depth and to the north / south
High Purity Lithium, Responsibly Sourced page 43Sigma 3.0: the Next Level of Social & Environmental Sustainability ANA CABRAL-GARDNER Co-Chairperson & Co-CEO
Delivered Significant Environmental & Social Impact Programs
UN SDGs drive all business decisions, lead by the ESG Committee
Corporate Mission Guidance (UN SGDs) UN Case Study on “Green Mining”
Scope 1 Impact Scope 2 Impact
✓ Minimal water impact ✓ 100% green hydro
power used
✓ No hazardous chemicals
Global Thought Leader on Sustainability ✓ Tailings are 100% dry stacked
✓ Potential to upcycle tailings
✓ Seasonal “stream” preserved for
local communities
Focused on the Sustainable Development Where We Operate
ESG Committee Members
ANA CABRAL- MARIA JOSE MARCELO
GARDNER SALUM PAIVA
Chairperson
High Purity Lithium, Responsibly Sourced page 45UN SDGs Guiding Sigma Lithium’s Corporate Mission “UN Energy Compact” member with 100% of business decisions made with sustainable development in mind Lithium is desperately needed for EV Transition Jequitinhonha Valley to become part of global supply chain Promoting sustainable economic development & employment opportunities in the Jequitinhonha Valley region where we operate High Purity Lithium, Responsibly Sourced page 46
Global Thought Leader Driving Change Speaking at the UN COP-25 and COP-26, participating at the UN High Level Energy Dialogue with Vale and participating in Tailings Working Group of Swedish Pension Board / Church of England Pension Board High Purity Lithium, Responsibly Sourced page 47
Recognized Nationally in Brazil for ESG Leadership Awarded for making an ESG difference in the mining, metallurgy and steel category High Purity Lithium, Responsibly Sourced page 48
“Green Mining” Case Study: Water & Chemicals Committed to operating in an environmentally-friendly way (scope 1) Water sourced is non-drinkable and needs to be Piaui “seasonal stream” preserved for local communities treated for industrial use (Phase 1 mined as two pits instead of one) Zero hazardous chemicals used in the production process (1) High Purity Lithium, Responsibly Sourced (1) 3D rendering of the Phase 1 Production Plant (which will leverage DMS technology). page 49
“Green Mining” Case Study: Tailings Committed to operating in an environmentally-friendly way (scope 1) Tailings to be dry stacked (no tailings dams), enabling the potential to upcycle tailings High Purity Lithium, Responsibly Sourced page 50
“Green Mining” Case Study: Power
Committed to operating in an environmentally-friendly way (scope 2)
100% of power needs to be sourced from clean and cheap hydroelectricity from the 360 MW Irape Hydroelectric
Power Plant (transmission lines run directly to site) and net zero carbon emissions targeted for 2024 (1)
(1) Net zero to be achieved by replacing 50% of the diesel used in Sigma’s mining fleet with biodiesel and pursuing carbon- in-setting strategies.
High Purity Lithium, Responsibly Sourced (2) Compensation of the Co-CEOs and Co-Chairpersons is partially tied to achieving this goal. page 51Microcredit Program for Female Entrepreneurs
Fostering sustainable development of the Jequitinhonha Valley region, where we operate
500
female entrepreneurs
empowered
R$2,000
lent to each female
entrepreneur
10,000
female entrepreneurs to be
empowered (ultimate goal)
High Purity Lithium, Responsibly Sourced page 52Zero Hunger Action
Fighting hunger and poverty in the Jequitinhonha Valley region, where we operate
2021 Program: Completed
7,000 >3,000
food baskets people in
delivered need fed
1.2 million
meals provided
2022 Program: In Progress (1)
14,000 >3,000
food baskets people in
delivered need fed
2.4 million
meals provided
High Purity Lithium, Responsibly Sourced (1) Cummulative numbers (including 2021 program). page 53COVID-19 Prevention & Relief
Fighting to keep people safe in the Jequitinhonha Valley region, where we operate
12,000 liters
of disinfectant delivered to 16
local hospitals
840 kg
of alcohol gel hand sanitizer
delivered to 16 local hospitals
20,000
medical appointments enabled
per month
High Purity Lithium, Responsibly Sourced page 54Disaster Relief During Unprecedented Flooding
Supporting families in the Jequitinhonha Valley region during the Holiday Season
11,000 liters
of potable water distributed
400
families supported that lost
their homes during the Holiday
Season of 2021
High Purity Lithium, Responsibly Sourced page 55Homecoming Employment Program
Fostering sustainable development of the Jequitinhonha Valley region, where we operate
>440
workers on site for
construction
~60%
of workforce local to the
Jequitinhonha Valley region
ANA CABRAL-GARDNER
Co-Chairperson & Co-CEO
“Reconstitution of the social fabric of
the region by reuniting families, bringing
back home to the municipalities in which
we operate, the qualified workforce that
previously migrated out of the region
due to lack of employment opportunities”
High Purity Lithium, Responsibly Sourced page 56Education Program for Mining Technicians Established
Fostering sustainable development of the Jequitinhonha Valley region, where we operate
Partnership with
creating first program to
prepare mining technicians in
the region
ANA CABRAL-GARDNER
Co-Chairperson & Co-CEO
“Sigma Lithium is contributing to
transform the Jequitinhonha Valley
region into a knowledge hub for
innovation and training of qualified
professionals in lithium materials and
mining”
High Purity Lithium, Responsibly Sourced page 57Childcare Center Sponsorship
Enabling the mothers of the Jequitinhonha Valley region resume gainful employment
two
local childcare centers
sponsored (one in each of the
municipalities where we operate)
560
children in need supported
ANA CABRAL-GARDNER
Co-Chairperson & Co-CEO
“The childcare centers serve children
under the age of three years old and are
integral to enabling their mothers rejoin
the workforce during the economic
reopening following the Omicron Covid-
19 wave”
High Purity Lithium, Responsibly Sourced page 58Appendix
Engaged, Diverse and Accountable Board of Directors
Seasoned Board of Directors combining technical, operations and capital markets expertise
ANA CABRAL-GARDNER CALVYN GARDNER
Chairperson Gender Co-Chairperson & Co-CEO Co-Chairperson & Co-CEO
Diversity • Co-Founder and Managing Partner at A10 • Former CEO of Trans Hex Diamonds and General
Investimentos Manager of Operations of Anglo American’s Highveld
• Former Head of Latin America Capital Markets at Steel & Vanadium group
Goldman Sachs in New York
Male Female
50% 50%
Board of Directors Gender GARY LITWACK DANA PERLMAN
Diversity Independent Director & Chairperson of the Audit Independent Director
Committee • Director of O’Reilly Automotive Inc.
Female • Canadian lawyer and Counsel at McCarthy Tétrault • Former Chief Strategy Officer and Treasure, EVP of
33% LLP in Toronto PVH Corp. and Investment Banking Director of
Male • Adjunct Professor of Advanced Securities Law at Barclays
50% Osgoode Hall Law School
LGBTQ
17%
Committee Chair FREDERICO MARQUES MARCELO PAIVA
Independent Director & Chairperson of the Director
Independence Compensation Committee • Co-Founder and Managing Partner at A10
• Director of 4B Mining Corp. and Head of the Canadian Investimentos
Independant operations of the Brazilian law firm Cescon, Barrieu, • Former Portfolio Manager at the Mittal Family Office in
60% Flesch & Barreto Advogados in Toronto São Paulo and Vice President at Millennium Global in
• Former Partner and Foreign Consultant at McCarthy London
Non-
Tétrault LLP and Chairman of the Brazil-Canada
Independant
Chamber of Commerce
40%
Board of Directors WES ROBERTS VICENTE LOBO
Average Tenure (1) Co-Chair Technical Committee Co-Chair Technical Committee
• Professional mining engineer • Professional mining engineer
with >35 years of experience with >30 years of experience
~4 years (2018 IPO)
High Purity Lithium, Responsibly Sourced (1) Excludes Dana Perlman who was appointed to the Board of Directors in September 2022. page 60Diverse Leadership Team Focused on Delivering Stakeholder Value
Experienced senior leadership team focused on creating stakeholder value, in a sustainable way
Chief Executive Officer
Gender Diversity ANA CABRAL-GARDNER CALVYN GARDNER BRIAN TALBOT
Co-Chairperson & Co-CEO Co-Chairperson & Co-CEO Chief Operating Officer
• >25 years of experience • >20 years of experience • >25 years of experience
Male Female
50% 50%
Head Office
Gender Diversity MARIA JOSE SALUM FELIPE PERES REINALDO GOMES
Chief Sustainability Officer Chief Financial Officer Head of Mining Operations
Female • ~40 years of experience • >20 years of experience • >20 years of experience
41%
Male
59%
Geology Team
Gender Diversity JAMIE FLEGG RODRIGO ROSO MARINA BERNARDINI
Chief Development Officer Chief Legal Officer Chief Commercial Officer
• >10 years of experience • ~15 years of experience • >10 years of experience
Male
42%
Female
58%
Construction Team Construction
Regional Breakdown Workforce at Site JAMES NEAL-ELLIS KESSIANE LIMA SILVA
VP, Corporate Development & Senior Geology Coordinator
Non-Local Investor Relations • ~15 years of experience
• ~7 years of experience
43%
Local >440 workers
57%
High Purity Lithium, Responsibly Sourced Recent Additions page 61Inflation Reduction Act of 2022
The United States towards a net zero pathway
IRA Summary Electric Vehicles and EV Infrastructure
On August 16th, the IRA was signed, allocating ~$369 B in federal
funding over the next decade to combat climate change ~$23 B allocated to EVs and EV infrastructure
✓ Mobilize investments, production and infrastructure ✓ Tax credit for new EVs placed in service before 2033
✓ Support jobs and communities in net zero transition ✓ Credit reduced by 50% if the battery is not primarily sourced
from North America
Two Key Components ✓ Benefits OEMs building plants in North America, such
as our partner
1) Climate Provision 2) Energy Security Provision
✓ Tax credit also applicable for used EVs
Focused on funding and Funding Allocation
Focused on securing
providing incentives tied
domestic energy supplies
to de-carbonization ~$234bn Funding Selected Energy
400
78
350
300
37 Technologies
34
250
200
369 30 23
Main Industries Incentivized 150
100
9 8 8 3
50 135
Industrial &
0
Transportation Real Estate Energy
Hydrogen
Efficiency
Infrastructure
Grid Resilience
CCUS & DAC
Wind
Storage
Solar
Total
Nuclear
Non-Technology
Manufacturing
Energy
Energy Tx &
EV & EV
Specific
High Purity Lithium, Responsibly Sourced Source: Inflation Reduction Act of 2022 and BCG Discussion Deck: US Climate Policy. page 62EV Battery Demand Disrupted Lithium Market Entirely
Electric Car Sales (Million of EVs)
51.0
China
Decarbonization Trends Underpinning the
Europe 44.7 6.6
Future of Mobility
United States 5.1
38.0 9.1
Others
3.8 8.2 Market Share of EV Increased Exponentially
31.8 Post Pandemic
2.8 7.2
25.8 14.3
6.0
2.1 13.0
20.8 Electrification was Chosen by Governments as
4.6 11.8
1.5 The Quick Path to Decarbonization to Solve
16.3 3.3 10.3 Climate Change
1.1
12.9 2.2 8.5
10.5 0.7
1.5
7.1
0.5 5.7 21.1
0.9 18.3
6.5 4.6 15.3
0.4
0.6
3.5
12.7 Governments Accelerated Targets as Part of
10.6
2.3
6.1 7.4 8.8 Green Recovery Economic Plans Post-
5.6
3.3 Pandemic
2021 2022E 2023E 2024E 2025E 2026E 2027E 2028E 2029E 2030E
High Purity Lithium, Responsibly Sourced Source: Benchmark Mineral Intelligence and UBS Evidence Labs page 63Agnostic to Battery Technology
Sigma Lithium will deliver material before chemical conversion, enabling technological flexibility
Lithium Weightage in Different Li-ion Batteries Chemistry Type
Lithium Manganese Phosphate Cobalt Nickel Iron
11% 6% 8% 11% 11% 11% 11% 11% 11% 11%
LCO LMO LFP NCM NCM NCM NCM NCM NCA NCA+
111 442 532 622 811
Not All Lithium Are the Same
Brine Li Carbonate Nickel & Cobalt Free
Batteries
Spodumene Li Hydroxide Nickel Rich Batteries
High Purity Lithium, Responsibly Sourced page 64Agnostic to Battery Technology
Sigma Lithium will deliver material before chemical conversion, enabling technological flexibility
✓ Sigma Lithium is not constructing a hydroxide conversion plant
• Reduced capex and operational complexity
✓ Strategy provides technological flexibility
• Material can be delivered to hydroxide or carbonate-based cathodes
Source: Benchmark Mineral Intelligence.
High Purity Lithium, Responsibly Sourced Note: LCO = Lithium Cobalt Oxide; NCA = Lithium Nickel Cobalt Aluminum Oxide; NCM = Lithium Nickel Manganese Cobalt Oxide; LMO = Lithium Manganese Oxide; page 65
LMNO = Lithium Manganese Nickel Oxide; LFP = Lithium Iron Phosphate.Lithium Carbonate (2011-Today)
Asian Metals as of September 09, 2022
(USD/t)
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Maximum $6,045 $7,036 $7,177 $6,945 $19,626 $25,944 $27,283 $26,441 $26,441 $8,160 $43,544 $78,402
Median $5,989 $6,899 $7,036 $6,607 $7,837 $21,975 $21,927 $17,190 $17,192 $6,358 $13,890 $70,893
Minimum $5,841 $5,978 $6,403 $6,274 $6,939 $17,861 $18,251 $11,356 $11,356 $5,781 $8,208 $43,649
Mean $5,987 $6,670 $6,903 $6,558 $8,933 $21,759 $22,492 $17,435 $17,458 $6,432 $18,957 $69,656
$90,000
$80,000
$70,000
$60,000
$50,000
$40,000
$30,000
$20,000
$10,000
$-
Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Jun-16 Jun-17 Jun-18 Jun-19 Jun-20 Jun-21 Jun-22
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