Brazilian court suspends licences for Sigma lithium mine
2026-09-07 11:23:31 [Print]
A Brazilian judge has ordered the suspension of environmental licences and mining operations at Sigma Lithium's Grota do Cirilo mine, according to a court document seen by Reuters.
The ruling, issued on Friday, stems from a civil lawsuit filed by the Federation of Quilombola Communities of Minas Gerais, which argued that the mining project falls within the direct area of influence of the Bau Quilombola Community.
Quilombolas are traditional Afro-Brazilian communities formed by descendants of enslaved people who escaped. Their territories are legally protected by the state, and any projects that may affect them are subject to more rigorous licensing requirements.
The judge cited studies indicating that the community's territory lies approximately 2.7 kilometres (1.7 miles) from the project's directly affected zone-well within the 8-kilometre threshold that triggers the stricter licensing process.
In addition to suspending existing environmental licences, the ruling prohibits the state of Minas Gerais from issuing new ones and imposes a fine on Sigma should it continue operations.
The Grota do Cirilo mine, Sigma's sole producing asset, has an annualised nameplate capacity of 330,000 tonnes of lithium oxide concentrate.
The ruling, issued on Friday, stems from a civil lawsuit filed by the Federation of Quilombola Communities of Minas Gerais, which argued that the mining project falls within the direct area of influence of the Bau Quilombola Community.
Quilombolas are traditional Afro-Brazilian communities formed by descendants of enslaved people who escaped. Their territories are legally protected by the state, and any projects that may affect them are subject to more rigorous licensing requirements.
The judge cited studies indicating that the community's territory lies approximately 2.7 kilometres (1.7 miles) from the project's directly affected zone-well within the 8-kilometre threshold that triggers the stricter licensing process.
In addition to suspending existing environmental licences, the ruling prohibits the state of Minas Gerais from issuing new ones and imposes a fine on Sigma should it continue operations.
The Grota do Cirilo mine, Sigma's sole producing asset, has an annualised nameplate capacity of 330,000 tonnes of lithium oxide concentrate.

