TORONTO, Nov. 14, 2019 (GLOBE NEWSWIRE) -- Global Atomic Corporation (“Global Atomic” or the “Company”), (TSX: GLO, FRANKFURT: G12, OTCQX: GLATF) is pleased to announce its operating and financial results for the third quarter (“Q3 2019”) ended September 30, 2019.

Highlights:

  • Net income for Q3 was $0.8 million ($0.005 per share), including $2.2 million share of income from the Turkish joint venture; for the 9 months ended September 30th, net income was $4.7 million ($0.033 per share), including $7.9 million share of income from the Turkish joint venture
  • The new Turkish EAFD processing plant in Iskenderun was successfully commissioned during August and September, and is now running at design capacity of 15 tonnes per hour
  • Directors and management of Global Atomic officially opened the new plant on November 6, 2019
  • An updated Mineral Resource Estimate (“MRE”) was completed by CSA Global Pty. Ltd. (“CSA Global”) for the DASA Project, highlighting the following increase in Indicated and Inferred Resources:
    • Indicated Resource Increased by 56% to 101.6 million pounds eU3O8 at 1,752 ppm
    • Inferred Resource Increased by 81% to 87.6 million pounds eU3O8 at 1,781 ppm
  • The DASA Deposit remains open along strike and down dip and further expansion drilling is recommended by CSA Global
  • Global Atomic was listed on the OTCQX market under the symbol “GLATF” on October 16, 2019
  • Refer to Global Atomic’s quarterly Management’s Discussion and Analysis dated November 14, 2019 for additional operational and financial results

Outlook:

  • The Turkish EAFD processing plant is expected to operate at between 80% and 100% of throughput capacity in 2020, assuming no significant downturn in steel markets
  • Cash flow from Turkish operations is available to retire joint venture project debt, with dividend payments resuming thereafter
  • Feasibility work is underway on the DASA deposit in order to apply for a Mining Permit by Q4 2020
  • An Environmental Impact Study (“EIS”) is underway as a pre-requisite to receipt of a Mining Permit
  • Discussions continue with the French uranium producer, Orano Mining, on collaboration opportunities, including possible early ore delivery to Orano’s Somair Mill for processing

Stephen G. Roman, President and CEO commented “We are extremely pleased to announce the successful commissioning and official opening of our state of the art expanded zinc plant in Turkey.  A critical component to the Company’s strategy is to generate sufficient cash flow from our zinc business to continue development at DASA.  With expansion now complete, we are well positioned to execute on that strategy.”

About Global Atomic

Global Atomic Corporation is a TSX listed company providing 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 work and an Environmental Impact Study prior to applying for a Mining Permit in Q4 2020.

Global Atomics’ Base Metals Division holds a 49% interest in 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 newly commissioned plant is targeted to double annual production of zinc from 30 million lbs to 60 million lbs and is supported by EAFD supply currently available for processing in Turkey. 

Key contacts: 
Stephen G. Roman Merlin Marr-Johnson
Chairman, President & CEO Executive VP
Tel: +1 (416) 368-3949Tel: +44 7803 712 280 
Email: sgr@globalatomiccorp.comEmail: mmj@globalatomiccorp.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.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.