TORONTO, Aug. 12, 2025 /CNW/ - Global Atomic Corporation ("Global Atomic" or the "Company"), (TSX: GLO) (OTCQX: GLATF) (FRANKFURT: G12) announced today its operating and financial results for the quarter ended June 30, 2025. For more detail, please refer to the Condensed Interim Consolidated Financial Statements and Management's Discussion and Analysis for the three and six months ended June 30, 2025, on the Company's website at www.globalatomiccorp.com.
Stephen G. Roman, President & CEO of Global Atomic, commented, "During the second quarter of 2025, we continued with pre-development work at the Dasa Project with earthworks and civil works well underway at the plant site, and new worker accommodations and support facilities nearing completion."
"We're pleased to report an increased pace of work with the U.S. development bank with a focus on the preparation of documentation to support Credit Committee review. Positive Credit Committee review will mark a significant step forward towards loan approval by the Bank's Investment Committee and Board of Directors. We are encouraged by the Bank's level of engagement and look forward to a successful outcome. In the meantime, we continue to advance other financing options, including a project level minority joint venture investment into our SOMIDA subsidiary in Niger."
"With the closing of our C$24.8 million equity financing at the end of the second quarter we will manage capital spending to conserve cash while maintaining key parameters on the Project's critical path for completion. We will keep investors informed of any material developments in project financing."
OUTLOOK
Dasa Uranium Project
-- The Company is actively engaged with a U.S. Development Bank to establish
a debt facility to finance 60% of Dasa's development costs.
-- The Bank provided its letter of interest in June 2022 and has undertaken
due diligence and financing discussions since that time.
-- In the interim several events, including the recent announcement of the
nationalization of a gold mine, occurred in Niger that served to slow
progress on our file. While development finance loans typically feature a
longer timeline than commercial loans, the geopolitical situation in
Niger has contributed to an even longer review and approval timeline.
-- Notwithstanding, the Bank has continued to work on our project and has
confirmed that their internal process to advance the approval of a debt
facility for our Dasa Project is nearing completion.
-- Once approved by the Credit Committee, the Dasa Project loan will then
move to the Investment Committee and the Board of Directors for final
approval.
-- While working toward completion of the debt facility, the Company has
also been in active discussions regarding a minority project level
investment, representing a potential alternative to finance the Dasa
Project. Any such investment would be based on the intrinsic value of the
Dasa Project as per the Company's most current Feasibility Study plus
investments made by the Company to advance the Project since that date,
and not the current price of the Company's shares.
-- The Company is also pursuing other non-equity funding options.
-- The Company continues to manage its capital spending at the Dasa Project
to provide additional time to finalize project financing on terms best
suited to the Company and its shareholders.
Turkish Zinc Joint-Venture
-- Better availability of this joint-venture's primary raw material,
electric arc furnace dust $(EAFD)$, from area steel mills, and lower input
costs are expected to contribute to profitable operations in the second
half of 2025.
-- Area steel mill productivity has stabilized since the earthquakes in
early 2023 and the preceding COVID pandemic.
-- Zinc prices, like the price of many critical minerals, are expected to be
volatile during the year amid global tariff talks.
Q2 2025 HIGHLIGHTS
Dasa Uranium Project -- Mine Development
-- Underground development, underway since November 2022, is now ramping
down to the third level adjacent to the footwall of the ore zone with
development waste being hauled to surface.
-- Waste development tonnes brought to surface include medium grade (3,000
to 5,000 ppm), low grade (1,300 to 3,000 ppm) and mineralized waste (240
to 1,300 ppm), all of which can be processed during the commissioning of
the plant.
-- Ramping and underground level development will continue to facilitate
stope access on five levels in time for commissioning of the processing
plant.
-- Underground ventilation, electrical services, and water management
infrastructure upgrades are being installed in coordination with the
deepening of the mine.
Dasa Uranium Project -- Plant Construction
-- Selection of long-lead equipment is complete. Manufacturing of many of
these components has been completed and have been delivered to the Dasa
site.
-- Our Engineering, Procurement and Contract Management ("EPCM") contractors
are completing the final detailed engineering and ordering the remaining
components for the Processing Plant.
-- The Company continued earthworks in Q2 2025 to prepare the site for
construction of the Processing Plant. To date, multiple tiers of
earthworks have been completed and handed over to the civil works
contractors who are preparing foundations prior to equipment
installation.
-- A 90-tonne crane is scheduled to arrive at site in August to facilitate
the equipment installation.
-- The Company is completing additional housing for employees and
construction crews including a new 260-person housing facility that
includes recreation facilities.
-- Plant commissioning is subject to the timing of project financing.
Dasa Uranium Project -- Niger Government Support
-- During a recent trip to Niger, President & CEO Stephen G. Roman met with
Mines Minister Abarchi and U.S. Ambassador Kathleen FitzGibbon, both of
whom continue to strongly support Global Atomic, SOMIDA and the Dasa
Project.
Turkish Zinc Joint Venture
-- The Turkish JV processed 10,728 tonnes EAFD and sold 13.2 million pounds
of zinc in concentrate in Q2 2025.
-- The average monthly LME zinc price in Q2 2025 was US$1.18/pound compared
to US$1.31/pound in the same quarter of 2024.
-- The Company's share of EBITDA was $2.6 million in Q2 2025 ($2.8 million
in Q2 2024), and the Company's equity share of net income was $0.6
million ($0.8 million in Q2 2024).
-- The cash balance of the Turkish JV was US$3.7 million at the end of Q2
2025 (end of 2024 - US$4.4 million).
-- The revolving credit facility of the Turkish JV was US$3.1 million at the
end of Q2 2025 (Global Atomic share -- US$1.5 million) down from US$6.5
million at the end of 2024 (Global Atomic share -- US$3.2 million).
Corporate
-- On June 26, 2025, Global Atomic closed a private placement for gross
proceeds of $24.8 million at a price of $0.80 per Unit consisting of one
common share and one common share warrant. Net proceeds from this
financing are being used for the advancement of the Dasa Project and
general working capital purposes.
-- During Q2 2025, Global Atomic received management fees and monthly sales
commissions from the Turkish JV of $0.2 million in Q2 2025 compared to
$0.3 million in Q2 2024.
-- The Company's cash balance as of June 30, 2025 was $25.8 million.
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 targeted for H2 2026. Global Atomic has also identified 3 additional uranium deposits in Niger that may 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.
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