Sigma Lithium Corporation (SGML) Earnings Call Transcript & Summary

Welcome, everyone, to Sigma's 2023 Geology Update Call. The content in this call corresponds to the press release we put out yesterday detailing the results of our updated 43-101 mineral resource estimate. On the call with me today are company CEO and Co-Chairperson, Ana Cabral; and our Co-Lead of Geology, Iran Zan. We will have a Q&A at the end of the call, but we ask that you please keep questions to the topics that are discussed here today. With that, I will pass it over to Ana.

Thank you, Matt. Well, we're delighted to have this call with you today and we're here to present the world's fourth largest operating industrial pre-chemical lithium beneficiation and mining complex that Grota do Cirilo became. The numbers will speak for themselves and I'm joined by my 2 partners here, Matt and Iran. So the purpose of the call is to walk you through the resilience of our business, why Sigma becomes one of the most resilient lithium companies globally, scale, low cost and we are attuned to the 21st century demands of a new generation of electric vehicles built in line with the ethos of the car. So we believe no one is prepared to put in brown and dirty materials in green cars. Here is the complex. The bar chart is pretty straightforward. In brown, you have producers. In dark green, you got Sigma, the only quintuple zero lithium producer. And in brown you have our other producers. We're now the 4 largest integrated industrial lithium beneficiation mining complex. And in fact, we are the only single-owned company, not owned by any strategic investor or we have financial investors. We announced audited mineral resources that back up a very long life of our operations for our operations, subsidizing our expansion plans, 109 million tonnes, mostly measured and indicated, so we drill to mine. And we're going to show you how we're very quickly going to get to 150 million tonnes. The chart also shows that in green, we have the nonoperating companies. So what matters here is who is operating, who is integrated, which are the industrial, mining, beneficiation complexes out there. And as you can see with this announcement, we jumped quite a number of places in the ranking. We're now ranking 4, very proudly the 1 Brazilian behind 3 Australians. So it's very -- it's with great humility and honor that we now join in the Australian club of super mines. Another interesting point on the chart is the average grade. The line there, the dotted line shows you the average grade. So the dots show the grade. We also demonstrate that we are above average, well above average. So what does it mean with precision, with geoscientific precision is going to be explained by Iran and Matt. So my role here is to show you the bigger picture. And what is the bigger picture is that our expansion plans are now support by significant mineral resources, which means we have enormous strategic flexibility. In other words, we are going to do plant 2, plant 3. We can potentially integrate it a little bit further downstream into intermediate chemicals, lithium sulphate, but more importantly, we're going to be competitive, globally competitive. In other words, we could probably be the most competitive intermediate chemical in the world, competing with the best-in-class who are also our customers. Remember, half the world's consumers -- half the world's EVs are produced in China and the other half is produced elsewhere in the world. So competitivity is key, cost competitivity, sale competitivity. So -- and I think to close the slide, the winners in this industry play the long game. And more importantly, by playing the long game, you've got to invest in the downturn. So essentially, that's what we've been doing because of the resilience of the business. So these decisions are made exactly during the downturn. So here, what we need to do is to demonstrate how do we create value to our downstream clients and value that can potentially be captured by taken by itself in the future. But more importantly, how do we today have a value proposition to our clients. Take an average price today of $1,000 per tonne of this pre-chemical lithium concentrate. One needs 7 tonnes of that to produce 1 tonne of chemical of our, Sigma's lithium concentrate, because it's coarse and is high purity and it behaves better at the calcinator, meaning it's more efficient. Then next step, if you compare with one of our peers, sometimes you need 9, sometimes you need 10 tonnes of that material. So that's a cost competitivity advantage right there. And then you move on. When you look at cost to produce this material, what we've got is $3,000. The best-in-class players in China do it at $3,000. This is where gas, sulfuric acid, all the consumables and materials into chemical conversion go. So fine, the profit is around $1,000 today. So you have about $14,000 today of a backward cost base of this on a nonintegrated basis. What we will talk about in our fourth quarter earnings call, but we can give you a preview and Matt can talk about it, let's hypothetically assume that our C1 cash cost at the mine are around $400 a tonne. So think about this Sigma cost advantage today that goes to clients, imagine if somebody, if we do lithium sulphate right here. So this cost advantage, which they transferred free to clients or it becomes a bit of a premium is fully grabbed by ourselves. So hence, we can be the most competitive intermediate chemical globally. And that can only happen in a country such as ours because we have this low-cost raw material. We have low-cost clean renewables. And more importantly, we have a very large population with an industrialized base that can absorb the residues that this operation generates, very toxic residues that are absorbed by the construction industry as concrete binding and by the cleaning products industry as maker of detergents. So with that, I'll pass the word on to Matt to show that nonintegrated combustion is actually a bad business. So Matt?

Yes. I think the position of the company over time as a low-cost spodumene concentrate producer is such that having the competitive advantage lies with concentration and ownership of the material. I mean, this is just a chart of where downstream margins have been and can be. And oftentimes, the proposition is breakeven and that becomes a difficult backdrop to gain a necessary return on investment, particularly in higher cost jurisdictions, which is where a lot of the CapEx is going. This all supports generally our longer-term view of a more supportive lithium backdrop. But all the same, we think also highlights the benefits to being integrated upstream into the hard rock side and to the mining side, which builds upon what we're about to talk about. So I don't know if the next slide works?

Mute my audio. And I will -- put my video, hold on a second. Try to put my video back on. The next slide. Here you go.

This generally just highlights to -- well, it's in Portuguese, which is a little bit difficult. But Ana, if you want to take this one, it kind of talks about the integration position in the value chain in general and the opportunity set that Sigma as a Brazilian entity can offer and offers the lithium supply chain.

Exactly. Importantly, what we're trying to demonstrate is why is it that one creates a resilient business, such as this one in Brazil. Because you are in the middle of a very highly coveted supply chain. So building an industrial mining complex is key because this integration of lithium concentrate beneficiation with mining production in a low-cost jurisdiction is actually what creates a competitive advantage for -- to go downstream essentially. So when you think about the building blocks of the downstream business, this is why we do believe that Brazil occupies in Sigma, occupies the leading position in the global lithium supply chain industrialization because we have the 3 conditions. In other words, we have low cost. We have a green -- we have a low cost. We have a green product and we have now this monumental scale comparable to Australia. So we're very honored to be now in the Australian monumental category of natural resources, mineral resource that allows us to do what we've always been doing, beneficiating lithium in a green manner. So we gathered the 3 attributes of a resilient business. We're low cost. We have scale and we are completely in line with the 21st century comp, which is we're delivering green lithium or green cars. And this is only possible to get to 0 carbon to be quintuple zero because we are in Brazil, meaning we can acquire green energy, clean energy at USD 0.02 per kilowatt hour. It's that cheap. So we had to -- all we've done, we should take care of our Scope 1 operations so that we could create this incredible competitive advantage, which does not get priced, is a free greening, a free green premium. So without further ado, I'm moving on to geology to show the geological breakthrough that we achieved with this year-long drilling campaign. Matt, on to you.

Thank you, Ana. So look, the reason why the company is excited about the geology update is this slide here. So the company has long believed in the presence of a structural lithium corridor that runs the length of the property. And we're pretty comfortable that we're proving that out. This starts with the north-south band that you see on the left side, but is also kind of building density within the core Grota do Cirilo property. On the right side, you see this J curve where we're focusing on the expansion of NDC and Murial and now with Barreiro. This all goes to building resource density, which allows for scaled mining and mine development and enables shared infrastructure and mining development and the end of that a better NPV on the mining side. So if we go to the next slide, we can show the same kind of view, but underground. This is the research package as it looks from a pegmatite structure perspective. You can see as we go from west to east, the assets run parallel and the density is quite significant. On the left is the Barreiro Extension pegmatite discovery that we have announced as part of today's or yesterday's resource package and 2024 drill campaigns will highlight and work to extend the connectivity between Barreiro, the blue ore body and Barreiro extension. The goal here, again, is to build density. We suspect the extension to Barreiro could add 15 million to 20 million tonnes to an already 30 million tonne resource body at Barreiro specifically. Ana, if you want to progress to the next slide, we can kind of talk about what this looks like. And look, the NDC-Murial strike is a great example of how this resource density has played out. What was 5 individual mines have moved now down to 2. And increasingly, we have the view that NDC and Murial are actually one principal pegmatite. So our plan is to spend some capital to further test the resource density here and bridge on the 2 ore bodies. But as it stands on this 3.2 kilometer strike alone, we have 60 million tonnes of resource. Again, density and synergies in production and synergies in mining ultimately will drive lower cost in a more efficient operation as we work to expand the downstream. From there, I'm going to pass it to Iran, who's going to kind of go through the highlights of the 2023 drill campaign.

Hello.

So let me introduce you. Let me introduce you, Iran. Iran is a Co-Head of Geology and together with [ John Haig ], who's also on the call without Zoom because he is as always on the field. So Iran, without further ado, and Iran, there's an important thing I want to say about Iran. I've been in this company since 2012, first as an investor and then I took a very senior management role when we went public in 2018. Starting here for quite some time in running the business as Co-CEO since 2021. So we've been here for years. Iran was employee number 3, so he knows this area for quite some time now and he grew up with the company, just like all of us in the lithium industry, which is in 2012 was a baby industry. So Iran is now Co-Head of Geology. So without further ado, here is Iran.

Thanks and hello, everyone. So on this slide, we want to highlight our resource package from the consolidate field. So as you see on the block model at the bottom, each of our reserves are concentrated in that yellow and red color, it is 1.5%, average 2.5% of oxide lithium. That is very consistent across of the -- our 5 [indiscernible] resource. What that's driving is our resource is resilience and consistent in terms of rate, tonnes, volume. As you move through the cutoff grade scenarios at the top, that estimate tonnes stay quite constant too. So like our resource are resilient and consistent. We only used 15% of our resource at 1% concentration lose minimal between 0% and 0.5% cutoff rates. This is important when it comes to the mine because a consistent resource allow for a consistent fee that the plant being yes. Our grade doesn't vary, so our quality into the plant doesn't vary much either. So that grade are very -- again, resilience and consistent, all our 5 [indiscernible] resource that we show in the bottom of the slide. So when you comes through the next slide, Matthew.

Yes. And I think the point is there are no tricks. So no matter what the cutoff grade, we've got the tonnage. So that's the point. This is why we wanted to be transparent and show you, there are no tricks here. This is it. Measure indicated you very cut off and this is the tonnage. So it's drill to mine as always. That's what we always do.

Yes. So in 2023 campaign, we are focused to building density along to [indiscernible] of strike like you saw in the slide. So as you can see by the light and green graph, so we drill it a lot again and get volume and tonne consistent along the drill campaign. The total estimated resource across this corridor increased 60%. So we will increase very much resource inside this corridor, inside the GE structural. So -- and almost all of these resources, it's matter indicated like Ana said to us, it means we have a lot of confidence on this resource and that we should move reserve quickly along at the time. So all of this is track, it means 3.2 kilometers long and we are only looking 330 meters between the 2 reserves or the difference between NDC and Murial. So this is structured partly along 3.2 kilometers. It's quite significant in terms of a new cover between NDC and other small bodies into the same structure. So real and in NDC, it's a huge strike and [indiscernible] in terms of new covers pegmatites, bearing pegmatites. So our focus for the next campaign is still going through that is structural to the east, east side to -- in the next slide, you can saw the pegmatites still going open to the same structure. So we believe that we can intercept the interconnectivity between the pegmatite -- those pegmatites in that structural.

And that is the key thing here. This geological breakthrough is this structure of approximately 60 million tonnes that connects Phases 3 and 4 and makes this one very large open pit, low-cost mine, which can see our industrial expansions into the future at a very low cost. In other words, we demonstrated the theory that, first of all, these mineral resources can be very seamlessly converted into mineral reserves because they're going to be incorporated into feasible into mining that's validated by feasibility. It's just basically a matter of producing the mine sequencing and the pit shells encompassing these areas. And the same goes for the place for Murial. So this becomes this one structure, which you typically see in the very large operating complexes in Australia. This is a 60 million tonne structure that you have in front of you.

Next slide.

There you go.

Yes. Next slide, we just have the same view, but in 3D view is track, but we are looking at the wireframe model of the ore bodies. So is the same ore body sold in a 3D model that you can saw pegmatite and parallel in the same structure. This should remain open to the east are very consistent again. So this pegmatite is too long open in this direction. And as we have said, our future drilling campaign can progress along of track, this pegmatite that we can improve it in the future for the long off this year and the interconnectivity between Murial and the north haul NEDC. And we expect to discover more pegmatites in parallel, a structural like we discovered in 2023. So that is important because we confirm that the pegmatite, the shield are in the same structural like we discovered in a few campaigns along the Sigma's live here. So that's important because when you go through the pit, we can talk about a big pit that you can putting together all these pegmatites and the reduced cost goes to the low-cost mining when you have this pegmatite in borewell.

Agreed. So now we're moving forward on how do we go from here to 150 million tonnes, which is further delivery on the connectivity of this structure which is the super pit that's today is 60 million tonnes, which is the integration of Phase 3 and 4 and then the connectivity of the western body out of Barreiro that's on this picture. So John, I'm introducing John Haig, who again a veteran geoscientist of the company. He's been with us for quite some time now. It's 3, 4 years. And John, he lives in [ Adetoi ], and so John, Co-Head of Geology with Iran.

All right. Good afternoon, everybody. Sorry, I think I have problems with my video feed, but nonetheless. So let's go through this 2024 target zone, the Barreiro extension. Look, this pegmatite that's part of a swarm that we have established up on the western side of our properties. And it was originally mined artisanal in the upper weathered zone in the 1950s just for tin and tantalite. It's only subsequent to our exploration -- our surface exploration works that we established that was spodumene bearings. And since then, it's been -- we have done some reconnaissance drilling on it and we have started resource drilling. Thus far, we've done 4 diamond holes into it and we are busy with the fifth and sixth as we speak. So the -- this pegmatite we actually call it [ bica ] pegmatite. It's part of the Barreiro recent extension. It's about 500 meters west of the Barreiro outcrop and located some 200 meters stratigraphically below Barreiro. We're obviously drilling it down dip and getting it closer and closer to Barreiro. So currently, that's our plan. We're investigating this extension of the Barreiro pits and to build confidence that they will be interconnected. So to-date, our pegmatite -- the pegmatite that we have drilled has varied from 10 to 20 meters thick. And it's dipping eastwards towards Barreiro at a shallow angle of about 35 degrees. The highlights, it's very well mineralized. I'll say that much. For example, the first hole that we drilled gave us 1.8 meters lithium oxide over 14.5 meters. And now the second hole was 1.86% lithium oxide over 11 meters. As I said, the width varies from 10 to 20 meters so far. So it's quite a significant volume of pegmatite and what is remarkable about this pegmatite that we're investigating is the very nice spodumene content. It's running at about 90% spodumene. So much of these lithium oxide results that we're reporting this can be attributed to spodumene that's only a 10% contribution by other lithium phases excluding pit they're mostly [indiscernible], pretty large. There's obviously also all minerals present, tens a lot. The spodumene is coarse to very coarse from 5-millimeter to 40-millimeter diameters and with a 5- to 20-millimeter diameter dominant. If we go on to the next slide. Okay. So this is the -- this is Phase 5. This is a very exciting recent discovery. It's located some 4 kilometers southeast of the Phase 2 to 4 core. And so far, it's been fabulous. There is a cluster of 4 non-spodumene bearing pegmatites and we have only investigated really one of them. And as you can see in this diagram, the second one we just represent as one drill intersection and one very good intersection. So lots of work has yet to be done in this area. So this first pigment type that you can see, we have modeled, it's about 600 meters long. We have mapped on surface and a down dip, but still continues and will continue to be growing. As you can see, there are also a subvertical. They're dipping slightly to the south and our lots of -- we drill 8 holes in the northern body, that main body was modeled and only drilled 2 holes to the south of what one which did a good intersection. Highlights are 1.8% lithium oxide over 20 meters, 1.5% over 15 meters, 1.4% over 20 meters. So this is well-mineralized. Its mineralogy is more typical of the Phase 2 to Phase 4 deposits insomuch that the deportment is 75% spodumene, 25% to other lithium phases. And similarly, the crystals sizes are very similar to Phase 2 and 4 in the 5- to 20-millimeter diameter sizes, which is still considered force. Potentially, this cluster, this dark swarm that we have potentially can contribute 20 million tonnes of the resource excluding the extension eastwards across the [ Pierre ] River. We have mapped it on surface on the other side of the river, but that's still work to be done in the next year, we'll see. Thank you.

So I think now we can take some of these questions. And let me go back to a question from [ Prasad ] here. And it's a very key question on geology. Hold on a second. Let me go back to -- okay, here we go. So if we find ore -- when and if we find ore in this 330-meter area between Phase 3 and 4, whether it doesn't make sense to combine Phase 3 and 4 and then develop Phase 2 for now? That's exactly what the plan is. So Phase 3 and 4 is a combination super pit, which is when you actually deep-dive into the green bushes and the Pilgangooras of the world, that's what these structures are, right? So we have here, Sigma always focused on getting to revenues and getting to cash flow and getting to financial results and proven to be the perfect strategy, look, I mean, we just managed to capture the tail-end of a super cycle with revenue. So we delivered within the tail-end of the super cycle, hence, the rush, but then we never stopped working on getting to scale to validate our further plan. So that's exactly the plan. 3 and 4 are actually a super pit. What we're trying to work on is how we're going to section it into the pit shells that need to be created for that super pit. And so there are a few missing links on geology that we're getting there. 330 meters is nothing, as you all know. And for now this ore body here pits and will become mineral reserve pretty seamlessly, pits into an existing feasible pit of Phase 3 called NDC. The question is, can we actually incorporate this northern block which was Murial into this one super pit as well or not. But that's exactly the point. And then John's point, it's exactly the same. I mean, if you look at the bottom, if you look at underground, it becomes clearer, the same is overground, as we keep on filling in the target zones, I mean, on pit. So that's the goal is the seamless integration of the resource -- these are all open pit reserves feasible. So that's the geology goal. It's targeted to incorporate as much of this resource into reserve as possible given the low-cost open pit mining method that we're going to use to feed this current lithium concentrate beneficiation complex we're building in the region. I think related to geology and I want to thank a compliment we just got here that we've been crushing it as a company. Yes, we've been crushing literally, like, we crush a lot of material regularly. And again, we never stop working. I think one point we ought to say we work hard on what we can control. So almost a year ago, we will put a play and we were a very different business. We were commissioning across it. And so I'm using the analogy. We're now the world's fourth lithium industrial mining in operation beneficiation complex in the world. That's what we control. So we haven't stopped delivering in the aspect of our business that we control, which is execution, execution, execution. We've never missed the beat. And given that this is a commodity and this is cyclical and lithium is rare, the focus is to do this low cost, competitive. And in our case, green, even though by being green, we don't get paid, but we build a sizable competitive advantage. So I think we closed the questions on -- okay. There are a few more questions. With sufficient resource for the expense, that's Joel, thank you, Joel, for the expansion with respect to present day's market cap compared to the increased resource in our view of average price, another tank, an investor. Well, I mean, we control what we control, right? What we do is deliver on fundamental strategic value because that becomes NPV, that becomes resilience and value to investors. And when you think about this industry, it's -- I mean, I've been here 12 years, right? And it's interesting because in insights, it's all perfect, but it's very hard to make decisions such as the decisions we're making now in moments like this, which is we're continuing to deliver. We're continuing to expand, to execute. So we do one by one with discipline, with financial discipline, but we have to do it one by one with discipline, with financial discipline because in 2020, which is just 3 years ago, the concentrate prices hit $450 a tonne and we were initiating detailed engineering and 4 companies are going bankrupt. And there was a rescue package put together for a big player in Australia. And we were at a crossroads. Do we go, do we stop? What do we do? And we accelerated it and we accelerated putting Phases 2 and 3 on feasibility. And this is why we are where we are today. So answering part of the market cap answer, if you guys look at our market cap in December 2020 and look at where we are today, I mean it's taking the long view that you win in this industry. And we've seen it over and over again. 2030 in basic materials and basic industries in mining is today no one -- nothing new will appear in 2030. So the leaders of 2030 are going to emerge from this crowd and so what we are working hard to do is to stay in this group of super leaders now probably joining the Australian contingent of super companies. So that is the focus. And it means we can't stop. Now it's a responsibly -- financially responsibly decision because we are low-cost producers. Matt, do you want to add to that?

I would say, look, the company has made decisions in the past about expanding when it was difficult and what happens is you'd be in a better position when the cycle turns. The other side of that is the company is a growth company. To drive value over time, both for ourselves and potential strategic parties, we have to deliver on that. I would say, I mean, the value proposition we bring as a company is that of a bigger asset base. And then scale also then drives cost down for whoever ends up owning and developing the mine over time because you can leverage things like SG&A. The corporate structure does not need to get bigger as the footprint gets bigger and that's how you ultimately become a more competitively advantaged producer. So...

Exactly, exactly. And more importantly, the infrastructure doesn't have to get bigger as the company gets bigger. It's a big point, meaning our Phase 1 cost $134 million total. We published that in our last quarter. Our Phases 2 and 3, these are lines that do not need to rebuild a substation, a water treatment plant. So there's about $34 million of CapEx here that can be saved and shared. So roughly, I'm giving you guys rough numbers, right? So there's scale on fixed costs, on infrastructure that has to be put together when we built 1 square kilometer industrial complex to process one mine only. Now we're going for 2 and then as [ Prasad ] mentioned 3, 4. So we have enormous strategic flexibility. And the reason why I talked about intermediates because the cost advantage of intermediates is in integration. That business is not a great business unless you're fully integrated into your own mines and integrated into your own low-cost mines. And if you want to be in the 21st century and deliver to the leaders of the industry, to the top sellers of electric vehicles who are delivering to very discerning consumers, especially in the West, they don't want dirty brown lithium into their green cars. It's coherence, it goes into the entire consumer industry. And car is a consumer durable, it goes through the same consumer-driven top process. And it happened across the board. So what we're doing is delivering without missing a beat. There's not one thing we have promised and not delivered, that's within our control from an execution and management standpoint. So there's another question I'd like to take, Joel, sorry, with your question. With sufficient resource for expansions, what's the plan even at 1,000 spodumene to fund expansions? When should we now expect feasibility for Phases 2 and 3? That's a great question. With that feasibility a while ago, we're now -- we've been doing detailed engineering for quite some time. We spent quite a lot on detailed engineering just throughout 2023. So what we're going to do is what we always do. And that's the reason why we never fail on timing and CapEx. We're going to deliver what we call FEL3 fully quoted CapEx, which gives us control of our timetable and control of our costs. So there's no surprises given the feasibility comes out of a databank of a QP when FEL3 quoted comes out of quotes or pre-purchase or pre-deposit arrangements made with suppliers is exactly the same well -- successful path we followed when we built Phase 1, which is how the majors -- the global major companies build it. So now that's the plan, we're going to announce Phase 2. And again, we wanted to order this cohesively, meaning so the behemoth of a mineral resource we've got to back up these expenses because one of the pushbacks we used to get on Phases 2 and 3, it was the reduction of project lives. While your operations then go from 25, 30 years to 30 will no longer and that's the conversation here. Now we got the J-shape corridor to back up the expansions that we decide to do and that's what we wanted to show you. We got this. It's a J. It's all hours. It's there. It's Australian scale. So we can go 2 and 3 and we got that back off. And I think that's another important point as far as funding. There's no shortage of funding for low-cost, resilient industrial critical minerals projects in the world. In fact, that's never been an issue and it's debt financing and is low-cost financing because it's a resilient business. I mean, it's a very different situation than '19, 2021 when the very proposition of ED uptake was questions. And I think all of you veterans will remember when we -- in 2020, we had to make those decisions. I mean, the total global amount of EVs in the world was 2.8 million cars global. Today, China alone is doing 1 million EVs a month. That was just 3 years ago. So this just shows that cheap debt capital, not an issue. However, a business needs to be low cost and resilient. And that's something that's gotten forgotten during the boom. Nothing grows to the skies. You need to be low cost, you need to be resilient in our case. We happen to be keen to pull 0, which nobody is and it's free. So that's a tremendous competitive advantage on top of being low cost and having scale.

I think from there, we're at the top of the hour. I know there was a lot of questions about the strategic review -- look, from the perspective of...

This case question -- [indiscernible] case question, the funding strategy, yes, funding strategy is development funding. I mean, it's long-term, low-cost development funding bridged by commercial funding because these are -- this is funding backing up industrial expansion. In fact, today, I'm announcing here, I'm having the honor sitting in the office, in the chair of the President of Brazilian's branch of ICMM because in the last 2 days, we visited authorities and the leaders of our country who are incredibly proud of what we do because we literally put Brazil on a map, competing with the best and brightest, like, we're now Australian-scale and we're green and we're low cost. So we literally inserted Brazil into a global supply chain for the world that we were not on. So yes, the strategy is low-cost sovereign debt. And that's kind of how the industrial part of this country was built.

Okay. So I guess from there, the strategic review and I don't know if you want to make any specific comments, but...

No. We can't. We can't.

It remains ongoing.

We are going to make comments about what we control. And I think what we've shown here is the fundamental importance and the fundamental value of Sigma. If you look at this chart, it's single -- is the only large player that is owned by one company, controlled by financial sponsors, resilient with a very long operating life and fit for this new generation of electric vehicles, especially with the discerning Western consumers and consumers in China and all over the world will now think through what kind of materials go into their vehicles. It's green materials for green vehicles.

With that, we'll bring it to a close. I'm around as well for any questions or any follow-up anybody might have. Thank you for joining us today.

Thank you, everyone. Thank you for joining. And I apologize for the restrictions, but we really wanted to give you this update call, but we're very bound and constrained about what we can say and when we can say. So we hope we've been able to just make you as enthusiastic as we are about this phenomenal, phenomenal demonstration of our thesis that we were able to achieve with the 2023 drilling campaign. This is accountability to you investors of how well we used your funding and how well we use our cash flow. We literally placed ourselves as the 4 largest industrial mining complex in the world. So this is sustainable, permanent competitive advantage.

Thank you.

Thank you.

Thank you.

Thank you.