Brazilian Court OKs Restart of Sigma's Lithium Mine

---

Written by Amir Richani for IIR News Intelligence (Sugar Land, Texas)

---

Summary

An appeals court reinstated environmental licenses to the Grota do Cirilo mine, allowing Sigma Lithium to resume operations. Sigma expects an annual production of 330,000 tonnes of lithium oxide concentrate by year-end 2027. Sigma's lithium growth could pave the way for further lithium mine and manufacturing developments.

---

Back in Business

Brazil's Federal Court of Appeals upheld Sigma Lithium's appeal against a September 8 suspension, which required the company to halt operations at the Grota do Cirilo Mine in Itinga, Brazil, and requested new studies concerning local communities. Following the appeal ruling, the company resumed its operations at the lithium mine.

"This local federal ruling violated Sigma Lithium's constitutional rights to present a legal defence, as the company did not receive any legal communication until almost one week after the local ruling was issued," Sigma said in a statement.

Grota do Cirilo is the largest operational lithium mine in Brazil. According to Sigma Lithium, it is expected to reach an annualized production guidance of 330,000 tonnes of lithium oxide concentrate by year-end 2027, driven by its existing mining and processing capacity.

Industrial Info Resources is tracking six expansion or addition projects, totaling US$180 million of investment, at the Grota do Cirilo mine. Sigma Lithium's planned Phase II and Phase III expansions would increase total annual production capacity to 580,000 tonnes and 830,000 tonnes of lithium oxide concentrate per year, respectively.

Industrial Info Resources offers more information on the mine in its Global Market Intelligence (GMI) Metals & Minerals Plant and Project databases, where readers can find details--including construction schedules, investment values and necessary equipment--in a plant profile and a list of project reports.

Beyond Sigma

Sigma's development could help pave the way for further lithium projects in the near term. According to the U.S. Geological Survey (USGS), Brazil was among the world's top 10 lithium producers in 2025 and has estimated lithium resources of 1.4 million tonnes of lithium carbonate equivalent (LCE).

These resources, together with government measures to diversify Brazil's mining industry beyond iron ore and gold, could support exploration for and production of multiple commodities, including lithium.

According to Industrial Info Resources data, 31 lithium projects in Brazil total almost US$2 billion of investment. Of those, 16 are grassroots lithium projects representing investments of US$1.29 billion, aimed at increasing Brazil's lithium production capacity. Readers can learn more from a detailed list of project reports.

A total of 12 of the 16 grassroots projects have planned completion dates by December 2030, enabling production growth in the mid-term. Readers can learn more from a detailed list of project reports.

In September, President Luiz Inácio Lula da Silva approved Brazil's new national policy for critical and strategic minerals, granting tax credits between 2030 and 2034 for mineral processing and transformation projects. The aim is to develop local supply chains aimed at enabling new industrial capacity that converts raw materials such as lithium into more complex products, like lithium-ion batteries.

In this context, Industrial Info Resources has identified six lithium battery-manufacturing projects comprising new grassroots, expansions and upgrades representing investments of US$246 million. Readers can learn more from a detailed list of project reports.

Key Takeaways

• The appeals court overturned the restrictions on Sigma Lithium's operations at Grota do Cirilo.
• The company expects to reach an annualised production rate of 330,000 tonnes of lithium oxide concentrate by year-end 2027.
• Industrial Info Resources is tracking 16 grassroots lithium mining projects in Brazil, 12 of which have planned completion dates by December 2030.

---

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news, and analysis on the industrial process, manufacturing, and energy-related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified, and verified plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).