Global Atomic (GLO) - Funded to Continue Uranium Development

Global Atomic Corp. is a Canadian resource company advancing the large, high-grade Dasa uranium deposit in the Republic of Niger. The company benefits from the dividend stream generated by its share in the Befasa Silvermet zinc concentrate production facility in Turkey.

Global Atomic is focused on the exploration and development of mineral resources. The company is funded to continue uranium development at the Dasa Project in the Republic of Niger.

Dasa Project

Global Atomic's Dasa project is considered to be one of the top green fields uranium projects in the world. The project was introduced to the world at The Hague and received positive feedback from the nuclear industry. Additionally, the project has potential new business opportunities as it has been put on the bidders list of many utilities.

Funding Progression

The company is progressing with $60 million cash on board and bank financing in process. Although bank financing is slower than expected, the terms should be announced by the end of Q2, 2023. The company has already spent $30-40 million on the project, and an additional $60 million will get them close to the top of equity requirement.

Alternative Plans for Raising Equity

Global Atomic is exploring alternative plans to raise equity without issuing shares. The company has made 700,000 pounds of sales annually until 2014, and banks need 700k-1m pounds more to draw down on debt. Other groups are interested in providing a bridge loan in case of additional capital requirement. The company has enough cash to last the year.

Fundraising for Construction Phase

Global Atomic is raising $25-50 million through alternative financing on top of the $30-40 million already spent. The company is in the construction phase and is making progress towards completing the project.

African Supply and Demand for Uranium

African supply is in demand by utilities for future projects. Utilities want the product in 2025-2026, and some have projects coming up in 2020. The company aims to get enough supply to profitably run the business and start layering in contracts. Utilities are wanting to sign on with people they feel can deliver, as evidenced by the company's signed agreements with North American utilities.

Production of Largest Uranium Deposit in Africa

Global Atomic is continuing to work towards getting the plant turned on and the mine running. The current prices of uranium are due to inflation and difficulty in raising affordable capital for capex. Global Atomic has an outstanding team and is aiming to start production of the largest uranium deposit in Africa in 2025.

JV with Modern Plant - Befasa Silvermet zinc concentrate plant

The joint venture with a modern plant is a long-term cash flowing asset with potential for equity sale. Although the steel industry in Turkey was hit hard, the plant restarted a month ago and is now running at full capacity. The mills need to get back up to 80% for the plant to run full all year round, which may not happen until 2023.

Expansion of Uranium

The uranium market is in expansion mode and prices are expected to rise. Democrats and Republicans both agree on the importance of uranium. Utilities and financial players are entering the market, causing prices to rise.

To find out more, go to the Global Atomic website