TSX Venture index falls nearly 4% during Apr. 17-21 trading week 

The S&P/TSX Venture Composite Index fell 23.68 points or 3.7% over the Apr. 17-21 trading period to close at 614.2.   Sigma Lithium […]
Sigma Lithium started production this month at its Grota do Cirilo project in Brazil. Credit: Sigma Lithium

The S&P/TSX Venture Composite Index fell 23.68 points or 3.7% over the Apr. 17-21 trading period to close at 614.2.  

Sigma Lithium fell the most by value, dropping $5.37 apiece to $47.99, after the government of Chile said on Apr. 20 it planned to nationalize the country’s lithium industry.  

While Sigma’s main project is in Brazil, there are concerns other South American countries accounting for some two-thirds of global production could follow suit. Brazil’s leftist President Lula da Silva began serving another term in January.  

Based in Vancouver, Sigma said Apr. 17 it had begun production at its Grota do Cirilo project in Minas Gerais state after completing phase one construction. The first shipment of about 15,000 tonnes of battery-grade 6% lithium oxide concentrate is expected in May as the plant ramps up to full production by July. 

Red Cloud Securities said Sigma’s production start is “a major de-risking event” that should help the stock and provide revenue for expansion where a feasibility study is already underway. The expansion would increase annual output to 766,000 tonnes lithium oxide concentrate, equal to 104,200 tonnes lithium carbonate equivalent, from 270,000 tonnes of concentrate. 

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