Brazil is set to emerge as a significant supplier of high-quality lithium after one of the world’s biggest commodity traders agreed to back a new project in the country. Japanese group Mitsui is to invest $30m in Grota do Cirilo, a hard rock lithium deposit being developed by Canadian miner Sigma Lithium Resources, in return for a quarter of its initial output of 220,000 tonnes. The cash from the Mitsui deal and a $40m debt offering will enable Sigma to start construction of a processing plant at the site in the south-eastern province of Minas Gerais. It plans to ship its material to China, where it will be converted into lithium hydroxide, the type of lithium used by Tesla in its car batteries. It is aiming to be in production by 2020.
FT 5th April 2019 read more »