The Neves Project is designed to establish a sustainable and socially responsible mining operation while creating significant economic value within Brazil. Located in the Jequitinhonha Valley of Minas Gerais State, the project is expected to generate more than 5,000 direct and indirect jobs as operations expand. Atlas Lithium stated that it maintains strong relationships with local communities and remains committed to prioritizing local recruitment and workforce training. The Company added that its existing full-time employees in the Jequitinhonha Valley already receive, on average, twice the prevailing local wage, along with healthcare coverage and employee benefits exceeding regional standards. According to the Company, these measures have strengthened its long-term relationship with surrounding communities and reinforced its ability to operate responsibly.
Atlas Lithium reaffirmed that the Neves Project remains fully permitted through commercial production, eliminating one of the most significant development risks associated with large-scale mining projects. The Company highlighted that its Definitive Feasibility Study projects an after-tax Internal Rate of Return of 145 percent and an estimated payback period of 11 months. The study also forecasts operating costs of approximately USD 489 per tonne, compared with recent market prices of roughly USD 2,300 per tonne for lithium oxide concentrate.
Construction and engineering activities have advanced significantly in recent months through partnerships with leading Brazilian engineering and technical firms. Promon Engenharia is responsible for detailed engineering work, while TSX Engineering is overseeing project management, planning, cost control, and risk management. Cerne Construções has been assigned engineering, procurement, and construction responsibilities for project facilities. RETC Infraestrutura is handling earthworks and civil construction, and Alfa Engenharia is carrying out electromechanical assembly. Atlas Lithium stated that all partner contracts were finalized at or below the budget estimates established in the Definitive Feasibility Study, reflecting disciplined project execution and cost management.
Marc Fogassa, Chief Executive Officer and Chairman of Atlas Lithium, stated that the Neves Project ranks among the most capital-efficient lithium developments globally and that increasing interest from international lithium buyers reflects growing confidence in the project. He said the Company's progress demonstrates disciplined execution across permitting, engineering, and contracting while emphasizing that Atlas Lithium is already creating some of the highest-quality employment opportunities in the Jequitinhonha Valley. He added that continued project expansion is expected to deliver further economic benefits to local communities and strengthen the regional economy.
Atlas Lithium currently holds approximately 557 square kilometers of lithium mineral rights, making it the largest publicly listed company with lithium exploration assets in Brazil. The Company stated that it intends to expand its industrial capacity at the Neves Project over time while developing additional processing facilities across its broader project portfolio. This strategy is intended to position Atlas Lithium for future production growth as global demand for lithium continues to increase, driven by the long-term expansion of artificial intelligence data centers and sustained adoption of electric vehicles.
The Company also confirmed that it currently owns an approximate 20 percent stake in Atlas Critical Minerals Corporation while maintaining its strategic focus on advancing the Neves Project into commercial production.
Atlas Lithium cautioned that the announcement contains forward-looking statements based on current expectations, plans, estimates, and projections. The Company noted that actual results could differ materially because of various risks, including the successful assembly and commissioning of its modular processing plant, achievement of projected production targets, development timelines and operating costs outlined in the Definitive Feasibility Study, differences between estimated and actual mineral resources and reserves, ongoing geotechnical analysis, business conditions in Brazil, broader economic conditions, geopolitical developments, regulatory changes, capital availability, competitive pressures, dependence on key management, and other business risks. The Company also stated that these forward-looking statements represent management's current views and should not be relied upon as reflecting future circumstances unless required under applicable law.
With full regulatory approvals secured, strong projected financial returns, substantial customer interest, and large-scale employment opportunities, Atlas Lithium's Neves Project represents a significant step in strengthening Brazil's position within the global lithium supply chain while supporting the rapidly growing demand for battery materials across electric vehicles, energy storage systems, and emerging artificial intelligence infrastructure.
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