Atlas Salt's Project Financing LOIs Top C$300 Million With Sandvik & Export Credit Support

• Atlas Salt advanced its Memorandum of Understanding (MOU) with Sandvik into a non-binding Letter of Interest (LOI) for equipment financing of up to approximately C$79 million.
• A new leading export credit agency issued a separate non-binding LOI for up to C$75 million tied to the anticipated supply of Sandvik equipment.
• Combined with the Company's previously announced C$150 million LOI from Export Development Canada (EDC), aggregate financing LOIs for the Great Atlantic Salt Project now exceed C$300 million.
• Atlas Salt is pursuing approximately C$350 million to C$400 million in senior secured debt, anchored by an Updated Feasibility Study (UFS) that delivered a post-tax net present value at an 8% discount rate (NPV8%) of C$920 million and a 21.3% internal rate of return (IRR).
• The Company is building these commitments into a broader financing package, including a commercial bank syndicate, with support from advisor Endeavour Financial.

Company Overview

Atlas Salt (TSXV: SALT | OTCQX: SALQF | FRA: 9D00) is developing North America's next salt mine and is committed to responsible and sustainable mining practices. With a focus on innovation and efficiency, the company is positioned to make significant contributions to the North American salt market while upholding its values of environmental stewardship and community engagement.

Sandvik Equipment Financing Letter of Interest

Building on the Memorandum of Understanding (MOU) previously entered into with Sandvik, a leading supplier of underground mobile mining equipment, Atlas Salt has received a non-binding Letter of Interest (LOI) under which Sandvik would consider providing equipment financing of up to approximately C$79 million for the Great Atlantic Salt Project in Newfoundland and Labrador. Approximately C$45 million of this is attributable to capital equipment forming part of the Project's underground mobile mining fleet, with the balance available to support equipment leasing arrangements during the initial years of operations.

The LOI is non-binding, and any participation by Sandvik remains subject to due diligence, credit approval, and the negotiation of definitive agreements.

Export Credit Agency Letter of Interest

Atlas Salt has separately received a non-binding LOI from a leading export credit agency, wholly owned by its national government, indicating potential financing of up to C$75 million for the Project. The potential financing reflects a qualifying export interest arising from the anticipated supply of Sandvik mining equipment to the Project.

The LOI is non-binding, does not constitute an offer, commitment, or obligation of any kind, and any participation by the export credit agency remains subject to satisfactory due diligence, all necessary internal and credit approvals, compliance with the agency's mandate and eligibility criteria, and the negotiation of definitive documentation.

Project Financing Process

Together with the Sandvik equipment financing LOI, the new export credit agency LOI, and the previously announced LOI from Export Development Canada (EDC), aggregate financing LOIs received for the Project now exceed approximately C$300 million. Atlas Salt continues to advance project financing with the support of its financing advisor, Endeavour Financial.

As previously disclosed, the Company is pursuing approximately C$350 million to C$400 million of senior secured debt, with the potential for additional subordinate debt, anchored by the Updated Feasibility Study (UFS) released on September 30, 2025. The UFS delivered an after-tax net present value at an 8% discount rate (NPV8%) of C$920 million, a post-tax internal rate of return (IRR) of 21.3%, a 4.2-year payback at a steady-state production rate of 4.0 million tonnes per annum, and approximately C$188 million in average annual after-tax free cash flow over a 25-year mine life.

President and Chief Executive Officer of Atlas Salt, Nolan Peterson, commented: 

"Advancing our Memorandum of Understanding with Sandvik into a financing Letter of Interest and adding the support of an additional leading export credit agency brings the financing Letters of Interest for the Great Atlantic Salt Project to more than C$300 million. These are the pillars on which we are building a broader financing package, including a commercial bank syndicate, as we work toward a complete financing package. Vendor and export credit support of this scale reflects the strength and strategic significance of our long-life, industrial-salt asset, and the international export interest it supports. This is one part of a structured process that is progressing across multiple counterparties and jurisdictions, and we look forward to advancing it in a disciplined manner alongside our advisor, Endeavour Financial."

Next Steps

Atlas Salt intends to use the Sandvik and export credit LOIs as pillars for a broader financing package, including a commercial bank syndicate, and continues to engage with prospective lenders, vendor-financing counterparties, export credit agencies, and strategic financing partners across multiple jurisdictions as part of a structured, competitive financing process. Interested parties are working within the Company's established due diligence process. All discussions remain non-binding, and there can be no assurance that any financing will be completed on the terms contemplated, or at all. The Company will provide further updates as material developments occur.

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