TORONTO, Dec. 17,
2024 /CNW/ - Global Atomic Corporation ("Global
Atomic" or the "Company"), (TSX: GLO) (OTCQX: GLATF) (FRANKFURT:
G12) is pleased to provide a year-end update. 2024 has been a year
of significant progress in the face of significant challenges.
Global Atomic has continued pre-production development at the
high-grade Dasa Uranium Mine in the Republic of Niger and is targeting Q1 2026 for first
production.
The geopolitical situation in Niger continues to improve as the Government
moves forward with its reform agenda and provides its full and
proactive support for SOMIDA, the Company's Niger operating subsidiary, and its operations
at the Dasa Mine. See highlights below:
Government of Niger Committee to facilitate the efficient
launch of the Dasa Mine
Pursuant to the Letter of Support from the President of
Niger received by SOMIDA in August
(see News Release dated August 19,
2024), a Government Committee was formed consisting of
representatives from all government Ministries that will interact
with SOMIDA management on the development of the Dasa Mine to
facilitate efficient decisions relating to operations, logistics
and tax matters. During Global Atomic's management visit to
Niger in November, three
successful meetings were held with the Committee and progress was
made on all fronts to facilitate ongoing operations at the Dasa
Mine.
Items under discussion with the Committee included
administrative issues and available logistic options since the
Benin border remains closed. The
Government, through a recent initiative launched by Prime Minister
Zeine, is moving forward with Algeria to re-open that important trade route
to the Mediterranean through the Port of Algiers. This positive development has the
potential to accelerate movement of goods on the excellent highway
infrastructure that reaches the Niger border close to Arlit 100 kms north of
the Dasa Mine and provides a third means of supplying the Dasa
Project's requirements.
If successful, the Company will then have access to three viable
shipping routes until the Benin
border re-opens: Togo and
Burkina Faso; Nigeria; and Algeria. Although no official timelines have
been announced there are indications that Niger's border with Benin could re-open as early as January 2025.
The executive team and the Company's Managing Director for
Niger, Moussa Souley, had additional key meetings in
Niamey with Prime Minister Zeine,
Mines Minister Abarchi and the U.S. Ambassador to the Republic of
Niger, Kathleen FitzGibbon, all of whom provided
positive support for Global Atomic and the Dasa Project.
Project Financing
The U.S. development bank (the "Bank") with whom Global Atomic
has been working towards approval of a project finance debt
facility has confirmed it is moving forward with the approval
process. Due to the recent U.S. Presidential election, timelines
have moved to Q1, 2025 as certain administrative changes will take
place post inauguration.
Joint Venture
In parallel with the Bank discussions, Global Atomic has
progressed negotiations on a potential joint venture. Negotiations
are well advanced, such that the Company anticipates receipt of a
Definitive Agreement in Q1 2025. The investment amount under
discussion is sufficient to complete the Dasa Project to
production.
Financing
The Company anticipates the project finance scenarios will be
finalized on the timelines indicated above which will provide
clarity to the Company and its shareholders as to the size, timing
and type of any incremental financing to fund operations for the
period between signing an Agreement and drawdown of capital. This
funding has been discussed with the Company's Investment Bankers
and could take the form of a short term "Bridge Facility", a
uranium "Pre-Payment" or a final equity placement.
Mine Development
The Company's 2025 Mine Plan is to develop the initial 5 mining
levels and begin stoping in Q4 2025. 50,000 tonnes of ore will be
available by the end of 2025 for processing in the Dasa Plant once
cold commissioning is completed in Q1 2026. Development waste that
includes low- and medium-grade ore is currently being hauled to
surface as the ramp progresses to the second mining level in the
Flank Zone area. In addition, the two main ventilation raises have
been completed and fans installed to provide the necessary
ventilation as mining progresses.
Mill Development
The Acid Plant, constructed in India, is now arriving at the Dasa Project
site, and will be the first significant component of the Processing
Plant to be erected once the civil works are completed. Site
preparation is well advanced utilizing local contractors who are
engaged in earthworks, housing development and civil works.
Camp Construction
The Company is currently completing housing and related
infrastructure for 300 people to provide modern accommodations for
the expanded workforce on site during Mill construction and
production. With over 500 employees and contractors currently
working on rotation and much of the plant equipment either
completed or being fabricated, the Dasa Project is on track for
commissioning in Q1 2026.
President's Message
Global Atomic President and CEO, Stephen
G. Roman stated, "The Company's long-standing presence in
Niger and adherence to agreements
signed with the Government have provided Global Atomic and SOMIDA
with a strong foundation on which to build important relationships
since 2005. Dasa has complied with the Niger Mining Code and the
Government's expectations for advancing the Project after the
granting of the Dasa Mining Permit. As a Company, we strive to
utilize local talent, which in Niger, with its long history of Uranium
mining, there is an abundance. Currently, from top management to
the mining team and contractors, 98% of the team are local people.
The fact that we are a fully staffed operation is a key operational
advantage for Global Atomic."
"Dasa is the most advanced greenfield uranium project in the
world and the most immediate option in Niger to provide new prosperity for the Agadez
Region. Dasa will also provide meaningful tax revenue and foreign
exchange earnings as it is currently the largest new mining project
in the Country."
Zinc Operations – Türkiye
Operations at the zinc re-cycling plant in Türkiye continue to
perform well as strong inventories of electric arc furnace dust
("EAFD"), higher zinc prices and a return to steady steel plant
operating volumes are poised to deliver a profitable year for 2024
and strong operations through 2025.
About Global Atomic
Global Atomic Corporation (www.globalatomiccorp.com) is a
publicly listed company that provides a unique combination of
high-grade uranium mine development and cash-flowing zinc
concentrate production.
The Company's Uranium Division is currently developing the fully
permitted, large, high grade Dasa Deposit, discovered in 2010 by
Global Atomic geologists through grassroots field exploration. The
"First Blast Ceremony" occurred on November
5, 2022, and commissioning of the processing plant is
scheduled for Q1, 2026. Global Atomic has also identified 3
additional uranium deposits in Niger that will be advanced with further
assessment work.
Global Atomic's Base Metals Division holds a 49% interest in the
Befesa Silvermet Turkey, S.L. (BST) Joint Venture, which operates a
modern zinc recycling plant, located in Iskenderun, Türkiye. The
plant recovers zinc from Electric Arc Furnace Dust (EAFD) to
produce a high-grade zinc oxide concentrate which is sold to zinc
smelters around the world. The Company's joint venture partner,
Befesa Zinc S.A.U. (Befesa) holds a 51% interest in and is the
operator of the BST Joint Venture. Befesa is a market leader in
EAFD recycling, with approximately 50% of the European EAFD market
and facilities located throughout Europe, Asia
and the United States of
America.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:
The information in this release may contain forward-looking
information under applicable securities laws. Forward-looking
information includes, but is not limited to, statements with
respect to completion of any financings; Global Atomics'
development potential and timetable of its operations, development
and exploration assets; Global Atomics' ability to raise additional
funds necessary; the future price of uranium; the estimation of
mineral reserves and resources; conclusions of economic evaluation;
the realization of mineral reserve estimates; the timing and amount
of estimated future production, development and exploration; cost
of future activities; capital and operating expenditures; success
of exploration activities; mining or processing issues; currency
exchange rates; government regulation of mining operations; and
environmental and permitting risks. Generally, forward-looking
statements can be identified by the use of forward-looking
terminology such as "plans", "is expected", "estimates", variations
of such words and phrases or statements that certain actions,
events or results "could", "would", "might", "will be taken", "will
begin", "will include", "are expected", "occur" or "be achieved".
All information contained in this news release, other than
statements of current or historical fact, is forward-looking
information. Statements of forward-looking information are subject
to known and unknown risks, uncertainties and other factors that
may cause the actual results, level of activity, performance or
achievements of Global Atomic to be materially different from those
expressed or implied by such forward-looking statements, including
but not limited to those risks described in the annual information
form of Global Atomic and in its public documents filed on SEDAR
from time to time.
Forward-looking statements are based on the opinions and
estimates of management at the date such statements are made.
Although management of Global Atomic has attempted to identify
important factors that could cause actual results to be materially
different from those forward-looking statements, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance upon forward-looking
statements. Global Atomic does not undertake to update any
forward-looking statements, except in accordance with applicable
securities law. Readers should also review the risks and
uncertainties sections of Global Atomics' annual and interim
MD&As.
The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy and accuracy of this news
release.
SOURCE Global Atomic Corporation