/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
TORONTO, Dec. 6, 2023
/CNW/ - Global Atomic Corporation ("Global Atomic" or the
"Company") (TSX: GLO) (FRANKFURT: G12) announced today that
further to the filing of a base shelf prospectus November 21, 2023 it has established an
At-The-Market equity program (the "ATM") which will
allow the Company to issue, at its discretion, common shares (the
"Common Shares") of the Company having an aggregate offering
price of up to C$50 million to the
public from time to time through Cantor Fitzgerald Canada
Corporation and Canaccord Genuity Corp. (collectively, the
"Agents").
Distributions of Common Shares pursuant to the ATM, if any, will
be made in accordance with the terms of the equity distribution
agreement dated December 6, 2023 (the
"Distribution Agreement") entered into by the Company and
the Agents. The ATM will be effective until the earlier of the
issuance and sale of all of the Common Shares issuable pursuant to
the ATM Program and December 21,
2025, unless terminated earlier in accordance with the terms
of the Distribution Agreement. Common Shares issued under the ATM
will be issued from treasury and distributed directly on the
Toronto Stock Exchange (the "TSX"), or such other recognized
marketplaces to the extent permitted, at prevailing market prices
at the time of sale, all in accordance with the terms of the
Distribution Agreement.
The Company intends to use the net proceeds from the ATM for the
continued development of its Dasa Project in the Republic of
Niger and for general corporate
purposes. The net proceeds from the ATM are not determinable in
light of the nature of the distribution. The net proceeds of any
given distribution of Common Shares through the Agents in an
"at-the-market distribution" will represent the gross proceeds
after deducting the applicable compensation payable to the Agents
under the Distribution Agreement and the expenses of the
distribution.
Sales of Common Shares, if any, under the ATM are anticipated to
be made in transactions that are deemed to be "at-the-market
distributions" as defined in National Instrument 44-102 – Shelf
Distributions, as sales made directly on the TSX or any other
recognized Canada "marketplace"
within the meaning of National Instrument 21-101 – Marketplace
Operation. Since the Common Shares distributed pursuant to the
ATM, if any, will be distributed to the public at prevailing market
prices at the time of sale, prices may vary among purchasers and
during the period of distribution. In connection with the ATM, the
Company has filed a prospectus supplement dated December 6, 2023 (the "Prospectus
Supplement") to its Base Shelf Prospectus dated November 21, 2023 (the "Shelf
Prospectus"). Further details of the ATM are set out in the
Prospectus Supplement. The Prospectus Supplement, Shelf Prospectus
and the Distribution Agreement are each available under the
Company's issuer profile on SEDAR+ at www.sedarplus.ca.
Global Atomic President and CEO, Stephen
G. Roman commented "This ATM facility provides the
Company with another tool to potentially contribute to the funding
of the Dasa Project, along with several other options under
consideration."
This press release shall not constitute an offer to sell or
the solicitation of an offer to buy, nor shall there be any sale of
the securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful. The Common Shares have not
been, nor will they be, registered under the United States
Securities Act of 1933, as amended, (the "1933 Act") and may
not be offered, sold or delivered, directly or indirectly, in
the United States, or to, or for
the account or benefit of, "U.S. persons" (as defined in Regulation
S under the 1933 Act), except pursuant to an exemption from the
registration requirements of the 1933 Act.
About Global Atomic
Global Atomic Corporation (https://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 includes four deposits with the
flagship project being the large, high-grade Dasa Project,
discovered in 2010 by Global Atomic geologists through grassroots
field exploration. With the issuance of the Dasa Mining Permit and
an Environmental Compliance Certificate by the Republic of
Niger, the Dasa Project is fully
permitted for commercial production. The Phase 1 Feasibility
Study for Dasa was filed in December
2021 and estimates yellowcake delivery to utilities to
commence in 2025. Mine excavation began in Q1 2022.
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 production 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.
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 the expected sale of Common Shares under the ATM; the
price, volume and timing of the sale and distribution of Common
Shares under the ATM, the anticipated use of proceeds of any
offering under the ATM and statements regarding the anticipated
benefits and impacts of the ATM; completion of any financings;
Global Atomic's 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", "targets", "expects", "does not expect", "is expected",
"budget", "scheduled", "estimates", "forecasts", "intends",
"anticipates", "does not anticipate", or "believes" or variations
of such words and phrases or statements that certain actions,
events or results "could", "would", "might", "will be taken",
"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