Global Atomic Announces ATM Facility

/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.