Sigma Lithium Corporation announced an expansion in the Atlantic Forest Conservation program, aimed to create a "Conservation Belt Against Deforestation" around the Medio Vale do Jequitinhonha by acquiring areas potentially at risk to be deforested to become cattle pastures. The Conservation Belt represents an "environmental protection of tropical forests" encircling the Medio Vale do Jequitinhonha that provides humidity and currently alleviates the high temperatures already experienced by the semi-arid region. Aracuai and Itinga, the towns where the Company is located, are in the "caatinga" bioma (Brazilian semi-arid vegetation).

The Company's affiliates plan to acquire tropical forest land located in a region 250km away from Sigma Lithium, 100% within the Atlantic Forest bioma. If the Conservation Belt were to be suppressed, it would significantly increase adverse climate change impacts in the Medio Vale Jequitinhonha, already experiencing some of the higher temperatures in Brazil. Sigma Lithium (through one of its related parties) will add approximately 350 hectares of Atlantic Forest land to be preserved, in addition to the total of 340 hectares already preserved, as part of its carbon "in-setting" initiatives to decrease emissions and footprint in the region.

This donation is the environmental compensation for future deforestation of "caatinga" (semi-arid low bush-type vegetation) around the Company.