Overview
- The Bureau of Natural Resources in Yichun, Jiangxi, plans to cancel 27 mining permits in January.
- Chinese lithium prices jumped 7.6% following the announcement.
- Lithium equities rallied, with Sigma Lithium up 10.6% intraday and SQM rising about 5%.
- Mining.com reported most permits had already expired and were registered for ceramic clay or limestone, and an analyst said none covered operating mines.
- Investors are reacting to the loss of legal restart rights at those sites, even as Sigma remains unprofitable with $33 million in net losses and $24 million in negative free cash flow over the past year.