Gets DFC Approval for US$414.2 Million Dasa Uranium Loan

Global Atomic Gets DFC Approval for US$414.2 Million Dasa Uranium Loan

Global Atomic (TSX: GLO) has cleared a major step in financing its Dasa uranium project in Niger. The board of the U.S. International Development Finance Corporation (DFC) has approved a debt facility of up to US$414.2 million.

The approval doesn’t release any money yet. Signing the facility and drawing on it both depend on “several material conditions,” and the company cautioned that there is no assurance they will be resolved on time or at all.

The conditions attached to the funding package are significant. Global Atomic has to find a viable export route for its yellowcake and extend the project’s mining convention and mining permit. It also needs government approval to make loan repayments out of Niger, a direct agreement with the Nigerien government, and final loan documents with the DFC.

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The export condition could prove the hardest. Niger is landlocked, and uranium shipments out of the country have been disrupted since the 2023 military coup strained relations with neighbouring Benin.

The military government has also revoked uranium licences held by Orano at Imouraren and by GoviEx at Madaouela. Dasa has kept official support so far. Global Atomic owns 80% of the project and the state holds the remaining 20%.

“Today’s announcement is a significant milestone for the Company, and we thank the U.S. Development Finance Corporation for their support,” President and CEO Stephen G. Roman said.

“The Dasa Uranium Mine is the largest highest-grade uranium mine in Africa and is scheduled to begin commercial production H2 2028,” he added.

Global Atomic has signed off-take agreements covering 11% of the current mine plan. Underground development has reached the ore zone,

The company didn’t disclose the facility’s term or interest rate, although it was disclosed that the DFC will receive common share purchase warrants.

Global Atomic last traded at $0.71 on the TSX.

Information for this briefing was found via the sources and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
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