Global Atomic Announces Approval of Turkish Plant Expansion
OREANDA-NEWS. May 29, 2018. Global Atomic Corporation (“Global Atomic” or the “Company”), (TSX-V:GLO) is pleased to announce its operating results for the 3 months ended March 31, 2018. Highlights of these results are as follows:
- Net income for Q1 2018 was $3.7 million, up from $2.4 million in Q1 2017.
- A drill program to test the Flank Zone area of the DASA deposit was initiated in January 2018, with 7,854 metres drilled in Q1 2018 with excellent results (see press releases dated February 22nd, April 5th and May 7th, 2018).
- CSA Global Pty Ltd. have been engaged to update the DASA resource, incorporating recent drill results and to provide potential mining scenarios.
- Exploration drilling to expand the DASA deposit to the southwest and to the northeast is continuing.
- Global Atomic continues to work cooperatively with Orano Mines Ltd. (formerly Areva) to evaluate plans to ship DASA material to its nearby mill for processing.
Global Atomic also announced the approval of the expansion and modernization of its electric arc furnace dust (“EAFD”) plant in Iskenderun, Turkey. The project will expand EAFD throughput to 110,000 tonnes per annum, from the current 60,000 tonnes per annum, producing concentrates containing 55 to 65 million pounds of zinc per annum. The new plant has been engineered using the best available technology employed by joint venture partner Befesa Zinc S.A.U. (“Befesa”), a world leader in the processing of EAFD.
Based on improved plant efficiencies, recovery rates are expected to improve and operating costs reduced. The cost of the project is approximately US $26 million, most of which is subject to a fixed price contract. Site construction is expected to begin in February 2019 and completed by September 2019. Existing cash balances and forecasted cash flow through January 2019, together with available bank lines of credit, should be sufficient to cover capital and other costs through to commissioning of the new plant.
Stephen G. Roman, Chairman, President and CEO of Global Atomic, stated, “We are excited about the current steel market improvements in Turkey and our modernization and expansion plans moving forward. In addition, the exceptional results at the DASA Project suggest this asset could generate significant value as Global Atomic continues with its development.”
George A. Flach, Vice President of Exploration, P.Geo. is the Qualified Person (QP) as defined in NI 43-101 and has prepared, supervised the preparation of, and approved the scientific technical disclosure in this news release.
About Global Atomic
Global Atomic is a TSX Venture listed company providing a unique combination of high grade uranium development and cash flowing zinc concentrate production.
Global Atomics’ 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.