Lithium Ionic Advances Towards Key Permitting Milestone for the Bandeira Lithium Project, Minas Gerais, Brazil
Lithium Ionic Advances Towards Key Permitting Milestone for the Bandeira
Lithium Project, Minas Gerais, Brazil
TORONTO, ON, February 19, 2025 – Lithium Ionic Corp. (TSXV: LTH; OTCQX: LTHCF; FSE:
H3N) (“Lithium Ionic” or the “Company”) is pleased to announce that the Minas Gerais State
Department of Environment and Sustainable Development (“SEMAD”), the regulatory body
responsible for environmental licensing in the state, has issued a favorable technical report
recommending the approval of the Company's Concomitant Environmental, Installation, and
Operational License (“LAC” or Licença Ambiental Concomitante) for its Bandeira Lithium Project
(“Bandeira” or the “Project”).
This positive recommendation represents a major advancement in the Company's permitting
process and is a critical step toward securing the final environmental license necessary to begin
construction and operations at Bandeira.
Regulatory Progress and Next Steps
Lithium Ionic submitted its LAC permit application in late 2023, initiating a thorough environmental
review process that included a c omprehensive site inspection by SEMAD’s technical team ,
detailed review of environmental impact studies and risk assessments, as well as multiple rounds
of regulatory reviews and clarifications, successfully addressed by the Company.
Following this evaluation, SEMAD’s interdisciplinary team formally recommended the approval of
the LAC environmental license, which , when granted, will permit both the construction and
operation of the Bandeira Project . In the report, SEMAD recommends a granting of the
environmental license for the following:
▪ Underground lithium mining of pegmatites;
▪ Mineral Treatment Unit (UTM);
▪ Reject/waste pile management; and
▪ Fuel storage and supply infrastructure for operational use.
Upon final approval, the Installation License (LI) will be valid for 4 years, while the Operational
License (LO) will be valid for 10 years, contingent on compliance with regulatory conditions.
According to the report, a final decision on the issuance of the LAC license is expected to be
made on February 28, 2025, following a meeting by the Câmara de Atividades Minerárias (CMI),
a key decision-making body within SEMAD.
The relevant excerpt from the report is as follows:
“The interdisciplinary team of URA/LM suggests the granting of this environmental license in the
LAC2 modality (LIC and LO) for the MGLIT EMPREENDIMENTOS LTDA. enterprise, for the
activities of A -01-01-5 “Underground mining of pegmatites and gems”; A -05-02-0 “Mineral
Treatment Unit – UTM”, with wet treatment, A -05-04-6 “Reject/waste pile of ornamental and
coating rocks, pegmatites, gems and non -metallic minerals” and F -06-01-7 “Reseller stations,
filling stations or points, retail system installations, floating fuel stations and aviation fuel reseller
stations” carrying out their activities in the municipalities of Araçuaí and Itinga –MG, for a period
of 04 (four) years for the LIC and 10 (ten) years for the LO, linked to complian ce with the
conditions.”
Blake Hylands, P.Geo., Chief Executive Officer of Lithium Ionic, commented , “This positive
recommendation from SEMAD is a pivotal milestone for the Bandeira Project, bringing us
significantly closer to receiving full environmental approval and commencing construction. We
appreciate the diligent work of SEMAD’s technical team in evaluating our studies and operational
plans. With Bandeira positioned as one of Brazil’s most advanced lithium projects, we are eager
to move forward with development and contribute to the global lithium supply chain.”
Project Development Continues on Track
In parallel with the permitting process, Lithium Ionic continues to advance key project
development initiatives. Engineering and logistical preparations are well underway, ensuring the
Company is positioned to begin initial construction activities at Bandeira promptly upon receipt of
the LAC license. The Bandeira Feasibility Study, announced on May 29, 2024 , outlined strong
project economics, including a post-tax NPV8% of US$1.31 billion and an IRR of 40%, reinforcing
the project's potential as a leading lithium operation in the region.
About Lithium Ionic Corp.
Lithium Ionic is a Canadian mining company exploring and developing its lithium properties in
Brazil. Its Itinga and Salinas group of properties cover ~17,000 hectares in the northeastern part
of Minas Gerais state, a mining-friendly jurisdiction that is quickly emerging as a world-class hard-
rock lithium district. Its Feasibility-stage Bandeira Project is situated in the same region as CBL’s
Cachoeira lithium mine, which has produced lithium for +30 years, as well as Sigma Lithium
Corp.’s Grota do Cirilo project, which hosts the largest hard-rock lithium deposit in the Americas.
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This press release contains statements that constitute “forward -statements.” Such forward
looking statements involve known and unknown risks, uncertainties and other factors that may
cause the Company’s actual results, performance or achievements, or devel opments to differ
materially from the anticipated results, performance or achievements expressed or implied by
such forward-looking statements. Although the Company believes, in light of the experience of its
officers and directors, current conditions and expected future developments and other factors that
have been considered appropriate that the expectations reflected in this forward -looking
information are reasonable, undue reliance should not be placed on them because the Company
can give no assurance t hat they will prove to be correct. When used in this press release, the
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statements and information in this press release include information relating to the prospectivity
and development of the Company’s mineral properties, the economic viability of the Project, the
LAC and timing of awarding, the Company’s ability to obtain all requisite approvals for the
construction of the Project and the Company’s future plans . Such statements and information
reflect the current view of the Company. Risks and uncertainties that may cause actual results to
differ materially from those contemplated in those forward-looking statements and information. By
their nature, forward -looking statements involve known and unknown risks, uncertainties and
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