Who gains from saving nature
Ledger 1 : 33 — For each dollar financing nature-based solutions in 2023, about $33 financed activities harmful to nature. (UNEP)
Cases / Carbon credits · Brazil · 2025–2026

Brazilian court fines Sigma Lithium over blast damage in Jequitinhonha valley

Short record: the main facts, with sources. A full case file has not been prepared.

Nature's voice · report
No measurement of the harm done to me here is on record.
Did nature suffer? Not measured.
What the record lacks: 4 none on record · 1 not measured · 3 unclear See the gaps

Sigma Lithium marketed its lithium as 'five-zero green lithium', a carbon-neutral claim based on credits from a suspended Amazon scheme. Prosecutors in Minas Gerais found blast-related cracks in about half of inspected homes, and a court imposed a 50 million real guarantee and a daily fine.

What?
Sigma Lithium marketed lithium as carbon-neutral; its first shipment to China relied on credits from a suspended Amazon scheme. Noticias Ambientales
Where?
Jequitinhonha valley, Minas Gerais, Brazil Brasil de Fato
When?
Label and complaints reported November 2025; court fine reported 30 September 2026 Brasil de Fato
Who?
Gained
  • Sigma Lithium — Sold lithium under a 'five-zero green lithium' label, with a carbon-neutral claim based on Unitor credits Noticias Ambientales
Lost
None on record
Harmed
  • Residents of Jequitinhonha valley villages — Blast-related cracks found in about half of inspected homes, per the prosecutors' case Brasil de Fato
Why?
Not stated in the sources reviewed.
How?
Blasting at the mine; the court imposed a 50 million real guarantee and a 500,000 real daily fine. Brasil de Fato
6 of 6 questions answered from the record

What happened

The record, in order.

Noticias Ambientales reported in November 2025 that Sigma's carbon-neutral claim for its first shipment to China rested on 59,000 credits from the Unitor project, which a Federal Police operation suspended; 68 organisations filed complaints.

Brasil de Fato reported on 30 September 2026 that a Minas Gerais prosecutors' case found blast-related cracks in about half of the inspected homes.

Brasil de Fato reported that the court imposed a guarantee of 50 million reais and a daily fine of 500,000 reais, and that a federal court returned three licences to the company.

    In court and with insurers

    Every proceeding and every insurer decision on record.

    Lawsuits and rulings

    1. 2026-09-30Outcome not on record
      Minas Gerais prosecution over blast damage in the Jequitinhonha valley
      Minas Gerais justice system (court not named in sources reviewed) · unknown · Minas Gerais state prosecutors → Sigma Lithium

      Court imposed a 50 million real guarantee and a daily fine of 500,000 reais; a federal court returned three licences, per Brasil de Fato. Brasil de Fato

    Insurers

    No insurer decision on record.

    What we don't know

    Undisclosed, unproven, untried: recorded as data.

    Nature

    • Not measured Harm to nature: The record holds no measurement of harm to nature.

    Court

    • Unclear Minas Gerais prosecution over blast damage in the Jequitinhonha valley: outcome not on record.

    Record

    • Unclear Whether the guarantee has been paid or the fine enforced is not stated.
    • None on record The number of homes inspected is not stated; the source gives the cracks as about half.
    • None on record Dust and noise from blasting are listed in the case summary without a dated source.
    • None on record Sigma's response to the fine and to the complaints is not stated in the sources reviewed.
    • None on record Chinese buyers and the role of the BNDES development bank are listed without a source.
    • Unclear The Federal Police action suspending the Unitor project is reported without its own source.

    Did the harm stop?

    Not stated in the sources reviewed.

    Who paid?

    Not stated in the sources reviewed.

    Sources

    Voices on record: — Company or project— Government and regulators— Courts✓ Press and investigations— Communities and civil society— Researchers

    Press and investigations

    1. 'Green' lithium under suspicion
      Noticias Ambientales · 2025-11-01

    Connected cases

    Related matters, and cases linked to this one through the same organisations, with the role each played in both.

    Bonds and banking

    Guarantee
    A commitment by a third party, often a development bank, to pay if the borrower does not.

    Carbon and conservation finance

    Carbon credit
    A certificate representing one tonne of carbon dioxide (or equivalent) that a project says it reduced, avoided or removed. Buyers use credits to balance their own emissions in climate claims.