Global Atomic (TSX: GLO) said on Tuesday it anticipates securing a project financing loan from the US development bank by early Q1 2025 to advance its Dasa uranium project in Niger.
The company reported that in recent discussions, the bank confirmed its intention to approve a $295 million debt facility, which would cover 60% of the project’s projected costs.
Dasa is the highest-grade uranium deposit in Africa, surpassed only by grades found in Canada’s Athabasca Basin, and is scheduled to achieve commercial production in early 2026.
“The approval timelines outlined by the bank support yellowcake deliveries in 2026 as anticipated in the four off-take agreements we have in place with American and European nuclear power utilities,” said President and CEO of Global Atomic, Stephen G. Roman.
“To help fund the continuing development of Dasa until the bank funds are available, earlier this month we raised C$40 million ($29 million) in an oversubscribed public offering,”
Global Atomic shares traded at C$1.15 apiece on Tuesday morning in Toronto, valuing the company at C$304 million ($218 million).
In addition to the development bank, Global Atomic is in discussions with parties regarding potential joint venture investment in the Dasa Project and other financing solutions.
According to Global Atomic, earthworks and civil engineering are progressing in preparation for the installation of plant equipment, components of which are now arriving at the site. More than 1,200 metres of mine development finished at Dasa.
The main fresh air raise is complete, and the return air raise is underway. Once the fans have been installed, the expansion to the underground ventilation system will allow mining activity to advance beyond the first-level development.
Construction of a 400-person facility is expected to be completed in early Q1 2025.
Earlier this month, the company said 10,000 tonnes of development ore had been brought to the surface.
A military coup in July last year led the US to suspend government funding for Dasa. Still, the company managed to raise C$15 million ($11 million) in January and C$20 million ($14 million) in July by selling stock.
The Nigerien government has pledged its full support for the project, but other uranium developers in Niger faced major setbacks this past summer.
In June, the government withdrew a mining permit for Orano’s Imourare project, and in July, it revoked the mining licence for GoviEx Uranium’s (TSXV: GXU) Madaouela project.
According to the feasibility study, Dasa hosts 73 million lb. in probable reserves of uranium oxide in 8 million tonnes, grading 4,113 parts per million uranium oxide. Global Atomic has signed offtake agreements for 1.3 million lb. of uranium a year.
