TORONTO, Jan. 29, 2020 (GLOBE NEWSWIRE) -- Global Atomic Corporation (“Global Atomic” or the “Company”; TSX: GLO; Frankfurt: G12; OTCQX: GLATF), has a unique combination of high grade uranium development and cash flow from a recycling facility that produces zinc concentrate. We are pleased to provide an update on the Dasa Uranium Project (“Dasa”), in the Republic of Niger and on the BST Joint Venture Zinc Project in Turkey.
- Dasa trade-off studies completed during 2019 have led to the compilation of an optimized Preliminary Economic Assessment (“PEA”), by CSA Global Pty. Ltd., incorporating the high value Flank Zone with a Phase 1 mining plan to be completed in Q1, 2020
- The optimized PEA will form the basis of an NI 43-101, Final Technical Report, to be submitted to the Government of Niger in Q4, 2020, in support of the application for the Dasa mining permit
- The 2020 work program currently underway includes further metallurgical test work, an Environmental Impact Statement (“EIS”), and hydrogeological studies for inclusion in the Final Technical Report
- Improved zinc prices and steady-state production achieved at the new BST plant in Turkey
Mr. Stephen G. Roman, President & CEO of Global Atomic said, “We are pleased with the feasibility study progress at Dasa. The Flank Zone has been a game changer for our initial Phase 1 mining plan. With high grades of 0.5% U3O8 we envision a small tonnage ramp access mine in the Flank Zone, that will produce a meaningful amount of uranium with low Capex and Opex. Should uranium prices improve and demand increase, the Dasa Mine and processing facilities can be scaled up to generate higher throughputs.
Furthermore, we are pleased at the performance of the new BST plant in Turkey that continues to operate well and will provide a valuable source of cash flow for the Company going forward.”
Dasa Uranium Project, Republic of Niger
The Dasa project field work is progressing well on a number of fronts. Art & Genie Environmental Consultants based in Niamey, Niger, have been retained to complete the EIS required for the Technical Report and are currently active in the field. ENYSA Drilling also based in Niamey, have been retained to complete the hydrogeological drilling needed for the optimized PEA. They are currently on site completing this drill program.
In Canada, Project Research Ortech Ltd., based in Mississauga, Ontario, are completing Flank Zone metallurgical test work and flow sheet design under the direction of Insight R&D and Dr. Santiago Faucher. The test work is progressing well and the data will be incorporated into the forthcoming optimized PEA.
CSA Global Pty. Ltd., has overall responsibility for the PEA and has completed the initial mine design for Phase 1 mining of the Flank Zone with all assumptions, parameters and project financial results to be released in due course in line with the PEA scheduled completion mentioned above.
METC Engineering of Johannesburg, South Africa, are currently designing the Dasa process plant and will have Capex and Opex data for inclusion in the PEA.
BST Joint Venture, Iskenderun, Turkey
The newly completed Electric Arc Furnace Dust (“EAFD”) reprocessing facility has had a successful commissioning and ramp up and training of personnel continues. The plant is running on a steady-state basis and final production numbers for the fourth quarter will be released in March, 2020 with the 2019 Audited Financial Statements.
The Turkish steel industry is currently running at 70% capacity which is sufficient to supply adequate EAFD feedstock to the recyclers in Turkey. Should zinc prices remain strong and with adequate feedstock available, debt related to new plant construction is expected to be retired by Q1, 2021.
Global Atomic will be presenting at the Arlington Predaba and the Cape Town Mining Indaba conferences in South Africa from January 31 to February 5, 2020.
Please visit our new website at www.globalatomiccorp.com.
Technical information related to the Dasa Project contained in this news release has been reviewed and approved by Alex Veresezan, P.Eng., a Principal Mining Engineer with CSA Global, who is an independent Qualified Person as defined by NI 43-101, with the ability and authority to verify the authenticity and validity of this data. “We believe that the forthcoming PEA will demonstrate a robust uranium development project at current pricing levels,” said Mr. Veresezan.
About Global Atomic
Global Atomic Corporation is a TSX listed company that provides a unique combination of high-grade uranium development and cash flowing zinc concentrate production.
The Company’s Uranium Division includes six exploration permits in the Republic of Niger covering an area of approximately 750 km2. Uranium mineralization has been identified on each of the permits, with the most significant discovery being the Dasa deposit situated on the Adrar Emoles III concession, discovered in 2010 by Global Atomic geologists through grassroots field exploration. The Dasa deposit is currently undergoing feasibility studies and an EIS prior to applying for a Mining Permit in Q4, 2020.
Global Atomic’s Base Metals Division holds a 49% interest in the Befesa Silvermet Turkey, S.L. (“BST”) joint venture, which operates a processing facility, located in Iskenderun, Turkey, that converts Electric Arc Furnace Dust (“EAFD”) into 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”) listed on the Frankfurt exchange under ‘BFSA’), holds a 51% interest in and is the operator of the BST joint venture. Befesa is a market leader in EAFD recycling, capturing approximately 50% of the European EAFD market, with facilities located throughout Europe and Asia.
The new BST Joint Venture plant is expected to double annual production of zinc from 30 million lbs to 60 million lbs supported by EAFD supply currently available for processing in Turkey.
|Stephen G. Roman||Merlin Marr-Johnson|
|Chairman, President & CEO||Executive VP|
|Tel: +1 (416) 368-3949||Tel: +44 7803 712 280|
|Email: firstname.lastname@example.org||Email: email@example.com|
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 Atomic’s development potential and timetable of its operating, development and exploration assets; Global Atomic’s ability to raise additional funds necessary; the future price of uranium; the estimation of mineral reserves and mineral resources; conclusions of economic evaluation; the realization of mineral reserve estimates; the timing and amount of estimated future production, development and exploration; costs 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" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". All information contained in this news release, other than statements of current and historical fact, is forward looking information. Forward-looking statements 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 as of the date such statements are made. Although management of Global Atomic has attempted to identify important factors that could cause actual results to differ materially from those contained in 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 on forward-looking statements. Global Atomic does not undertake to update any forward-looking statements, except in accordance with applicable securities laws. Readers should also review the risks and uncertainties sections of Global Atomic’s annual and interim MD&As.
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