/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
TORONTO, Jan. 23,
2025 /CNW/ - Global Atomic Corporation
("Global Atomic" or the "Company") (TSX: GLO) (OTCQX:
GLATF) (FRANKFURT: G12) is pleased to announce a non-brokered
private placement (the "Offering") for gross proceeds of up
to C$30,000,000 from the sale of up
to 37,500,000 units of the Company (each, a "Unit") at a
price of C$0.80 per Unit. Red Cloud
Securities Inc. will be acting as a finder in connection with the
Offering.
Each Unit will consist of one common share of the Company (each,
a "Common Share") and one common share purchase warrant
(each, a "Warrant"). Each Warrant will entitle the holder
thereof to purchase one Common Share at a price of C$1.00 at any time for a period of 36 months
following the issue date.
The Company intends to use the net proceeds from the Offering
for the advancement of the Dasa Project and for general working
capital purposes.
Global Atomic President and CEO, Stephen
Roman stated "We remain confident that in Q1 2025 we will
have positive news regarding the major component of funding for our
Dasa Project in the form of either a bank financing or a joint
venture agreement. In the interim we will continue to advance the
Dasa Project development and stay on schedule for yellowcake
production in early 2026 while we finalize the major funding
component. We are pleased to have a new, significant US - based
institutional investor whose investment is the lead order in the
private placement and have extended these favourable terms to all
our shareholders both institutional and retail."
Subject to compliance with applicable regulatory requirements
and in accordance with National Instrument 45-106 – Prospectus
Exemptions ("NI 45-106"), up to 12,500,000 Units that may be
sold under the Offering, representing gross proceeds of up to
C$10,000,000 (the "LIFE
Units") will be offered for sale to purchasers in all of the
provinces of Canada (the
"Canadian Selling Jurisdictions") pursuant to the listed
issuer financing exemption under Part 5A of NI 45-106 (the
"Listed Issuer Financing Exemption"). The Common Shares
issuable pursuant to the sale of the LIFE Units are expected to be
immediately freely tradeable under applicable Canadian securities
legislation if sold to purchasers resident in Canada.
All Units sold in the Canadian Selling Jurisdictions but not
under the Listed Issuer Financing Exemption (the "Non-LIFE
Units") will be offered pursuant to the accredited investor
exemption outlined in Part 2 of NI 45-106. The Units may also be
sold in offshore jurisdictions and in the
United States on a private placement basis pursuant to one
or more exemptions from the registration requirements of the United
States Securities Act of 1933 (the "U.S. Securities Act"),
as amended.
The closing of the Offering is expected to occur on or around
January 31, 2025 and is subject to
receipt of all necessary regulatory approvals including the Toronto
Stock Exchange (the "TSX"). Finder's fees will be payable in
accordance with the policies of the TSX.
There is an offering document related to the LIFE Units being
sold pursuant to the Offering that can be accessed under the
Company's profile at www.sedarplus.ca and on the Company's website
at www.globalatomiccorp.com. Prospective Canadian investors
purchasing under the Listed Issuer Financing Exemption should read
this offering document before making an investment decision.
This news release does not constitute an offer to sell or a
solicitation of an offer to sell any of the securities in
the United States. The securities
have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities
Act") or any state securities laws and may not be offered or
sold within the United States or
to U.S. Persons unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such
registration is available.
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 scheduled for Q1, 2026. Global
Atomic has also identified 3 additional uranium deposits in
Niger that can 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.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:
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 completion of any financings; Global Atomics'
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", "is expected",
"estimates", variations of such words and phrases or statements
that certain actions, events or results "could", "would", "might",
"will be taken", "will begin", "will include", "are expected",
"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
