Global Atomic's Dasa Uranium Project On Track for 2026 Production Amid Strong Q2 2024 Results

• Global Atomic's Q2 2024 saw extensive earthworks and preparation for processing plant construction.
• Mine development on Dasa mine has progressed with over 1,235 meters of ramp completed.
• The Dasa Uranium Project remains on schedule to produce yellowcake in Q1 2026.
• The company's Turkish Zinc JV shows improved performance with $2.8 million EBITDA share in Q2 2024.
• A successful C$20 million private placement was rececntly completed to support project advancement.

Global Atomic Corporation (TSX:GLO) is at the forefront of uranium mine development, with its flagship Dasa Project in Niger poised to become a significant player in the global uranium market. The company offers a unique investment proposition, combining high-grade uranium mine development with cash-flowing zinc concentrate production through its Turkish joint venture. As the world increasingly turns to nuclear energy as a clean power source, Global Atomic is strategically positioned to meet the growing demand for uranium.

The Dasa Project: A Game-Changer in Uranium Production

The heart of Global Atomic's growth strategy lies in the Dasa Uranium Project, located in the Republic of Niger. As of August 2024, the project remains firmly on track to commence yellowcake production in the first quarter of 2026, a timeline that has investors and industry watchers paying close attention.

Mine Development Progress

The underground development of the Dasa mine has made significant strides since the Opening Blast Ceremony in November 2022. As of the latest update, over 1,235 meters of ramp development have been completed, with 7,000 tonnes of development ore now hauled to the surface. This progress is crucial as it sets the stage for the mine to supply uranium ore to the processing plant by the end of 2025.

Safety First: A Remarkable Achievement

In an industry where safety is paramount, Global Atomic's subsidiary SOMIDA has achieved an impressive 732 days without a Lost Time Injury (LTI) at the Dasa Mine. This record is a testament to the company's commitment to creating a safe work environment and the effectiveness of its safety measures.

Plant Construction: Laying the Groundwork

The second quarter of 2024 saw Global Atomic initiating extensive earthworks to prepare the site for the construction of the Dasa processing plant. This phase also included expanding the Dajy Camp to accommodate the growing workforce, which is expected to increase from 450 to approximately 900 workers as construction ramps up.

Key developments in plant construction include:

• Arrival of a 250-person housing facility on site
• Ongoing civil works for cement pads, water, and sanitary facilities
• Completion and shipping of the Dasa Project Acid Plant
• Significant progress in final engineering and procurement of long-lead items

Private Placement Success

In a move that bolsters investor confidence, Global Atomic successfully completed a non-brokered private placement in July 2024, raising C$20 million. This financing provides crucial capital for the advancement of the Dasa Project and general working capital purposes.

The terms of the offering included:

• Sale of 14,814,815 units at C$1.35 per unit
• Each unit consisting of one common share and one share purchase warrant
• Warrants exercisable at C$1.80 for 24 months, subject to acceleration clauses

While the company continues to work with a U.S. development bank for a significant portion of the project financing, Global Atomic is proactively exploring alternative funding options. This approach ensures that the project's progress remains unimpeded, even in the face of potential delays in the bank's approval process.

Turkish Zinc Joint Venture - Steady Cash Flow Generator

Global Atomic's 49% interest in the Turkish Zinc Joint Venture continues to provide a valuable revenue stream, helping to offset corporate overhead costs. The JV's performance in Q2 2024 showed marked improvement compared to the previous year:

• Processing of 19,162 tonnes of Electric Arc Furnace Dust (EAFD)
• Zinc concentrate shipments totaling 7.4 million pounds
• Global Atomic's share of EBITDA reaching $2.8 million, a significant turnaround from a $1.4 million loss in Q2 2023

This improved performance is attributed to a return to normal steel mill production levels, recovery in zinc prices, and lower input costs.

Positioning for the Future of Energy

The global shift towards cleaner energy sources has put uranium in the spotlight, with nuclear power playing an increasingly important role in many countries' energy strategies. Global Atomic's Dasa Project, with its high-grade uranium deposits, is well-positioned to capitalize on this trend.

Key market factors include:

• Growing global demand for low-carbon electricity generation
• Increasing recognition of nuclear power as a stable, baseload clean energy source
• Potential supply shortages in the uranium market as older mines deplete

Government Support and Stakeholder Relations

The political situation in Niger, while presenting some challenges, has not significantly impacted the Dasa Project's development. The company reports strong support from the Niger government, with the Mines Minister expressing enthusiasm for the project during a recent site visit. This backing is crucial for the long-term success and stability of the operation.

Looking Ahead: Milestones and Expectations

As Global Atomic moves closer to its production target, several key milestones are on the horizon:

• Continued underground development to build ore stockpiles
• Completion of earthworks and commencement of civil works for the processing plant
• Arrival and installation of processing plant equipment starting in Q4 2024
• Hot commissioning of the plant by January 2026
• First yellowcake production in Q1 2026

Conclusion: A Uranium Play Worth Watching

For investors looking at Global Atomic Corporation, the company presents a unique opportunity to gain exposure to the uranium sector with a project on the cusp of production. The Dasa Project's progress, coupled with the cash flow from the Turkish Zinc JV, provides a solid foundation for growth.

The successful private placement and ongoing discussions for project financing demonstrate market confidence and management's ability to navigate the challenges of bringing a new mine online. As the world increasingly turns to nuclear power as part of the clean energy transition, Global Atomic is positioning itself as a key player in the uranium supply chain.

While risks remain, particularly around geopolitical factors and project execution, the potential rewards for investors could be substantial as the company moves closer to its 2026 production target. With a clear timeline, strong government support, and a robust project in a commodity with improving fundamentals, Global Atomic Corporation warrants serious consideration for investors looking to participate in the nuclear renaissance.

As always, potential investors should conduct their own due diligence and consider their risk tolerance before making investment decisions. However, for those bullish on uranium and willing to accept the risks associated with mining development, Global Atomic Corporation represents an intriguing opportunity at the intersection of clean energy and resource extraction.