A Brazilian judge ordered the suspension of environmental licenses and mining activities at Sigma Lithium’s Grota do Cirilo mine after a civil suit by the Federation of Quilombola Communities of Minas Gerais. The group said the project lies within the direct area of influence of the Bau Quilombola Community, triggering more extensive licensing requirements, including free, prior and informed consultation. Studies cited by the judge place the territory about 2.7 kilometers from the project’s directly affected area, below the 8-kilometer threshold. The court also barred Minas Gerais from issuing new licenses, imposed a fine if Sigma continues operating, and ordered an independent georeferencing review. Grota do Cirilo is Sigma’s only productive asset, with annualized nameplate capacity of 330,000 tons of lithium oxide concentrate.