Slide 1: Global Atomic Corporation
Global Atomic Corporation ADVANCING THE LARGE, HIGH-GRADE DASA URANIUM DEPOSIT IN THE REPUBLIC OF NIGER Stephen G. Roman, President & CEO November, 2020
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by the Global Atomic Corporation (“Global Atomic” or the “Company”) and includes information from sources believed by management to be reliable. No representation or warranty, expressed or implied, is made as to the accuracy of the information set forth
Slide 3: Global Atomic has a unique business model for success
Global Atomic has a unique business model for success: URANIUM ZINC RECOVERY Processing Electric Iskenderun, Turkey Arc Furnace Dust to produce zinc oxide PROVIDING STABLE CASH-FLOW WHILE WE BRING URANIUM TO MARKET PROFITABLE ZINC RECYCLING IS FUELLING OUR LOW-CARBON FUTURE 3
Slide 4: A unique model of two complementary businesses: creating value and limiting dilution
A unique model of two complementary businesses: creating value and limiting dilution URANIUM Dasa Uranium, Republic of Niger Stand alone, high grade, high margin, underground operation, in Phase 1 plan FUELLING A LOW-CARBON FUTURE OF CLEAN ENERGY 4
Slide 5: The Dasa Project is high grade and long life
THE DASA PROJECT IS COMPELLING The Dasa Project is high grade and long life: Dasa Project schematic long-section and hypothetical underground infrastructure PHASE I DEFINES THE INITIAL 12 YEARS OF THIS LARGE, HIGH-GRADE DASA PROJECT 5
Slide 6: Dasa is an impressive project as per the May 2020 PEA
THE DASA PROJECT IS COMPELLING Dasa is an impressive project as per the May 2020 PEA (Preliminary Economic Assessment) using a uranium price of $35/lb 5,396 ppm + 12 years ➞ 44 Mlbs U3O8 Mine life LOM production Compelling project economics after-tax $203M + $18.39/lb ➞ $210.7M Start-Up CapEx AISC C
Slide 7: The Dasa Project has strong base case economics at $35/lb that improve with higher prices
THE DASA PROJECT IS COMPELLING The Dasa Project has strong base case economics @ $35/lb that improve significantly using higher uranium prices Economic sensitivity with varying uranium prices* Uranium price (per pound) $25/lb $30/lb $35/lb $40/lb $45/lb $50/lb Before-tax NPV @ 8% $41 M $139 M $260 M
Slide 8: Global Atomic has already met significant milestones
THE DASA PROJECT IS COMPELLING Global Atomic has already met significant milestones 2020 • Published new PEA for Phase I 2018 • The Environmental • Discovered Impact Statement the high- was completed 2017 grade Flank and filed in Niger • Signed MOU Zone • Hydrogeology and with Orano • Published geot
Slide 9: There are significant catalysts ahead in each of the next four years
THE DASA PROJECT IS COMPELLING There are significant catalysts ahead in each of the next four years 2024 • Commercial Production 2023 • Commission plant and ramp 2022 up mining • Develop mine and construct mill 2021 • Arrange off-take agreements • Complete Bankable Feasibility Study • Arrange projec
Slide 10: Niger is an ideal jurisdiction to mine uranium
THE DASA PROJECT IS COMPELLING Niger is an ideal jurisdiction 4th largest global uranium producer to mine uranium • 50 years of uranium mining • Established markets for uranium including France & U.S. • Excellent infrastructure, including paved roads, power and water • Excess milling capacity if nee
Slide 11: ESG is an integral component of the Global Atomic culture
ESG IS AN INTEGRAL COMPONENT OF THE GLOBAL ATOMIC CULTURE Since the Company became active in Niger in 2005, the Company has focused its support of the people of Niger with: • Food during periods of drought • Medical supplies • Infrastructure projects such as water wells & roads • Environment • Educa
Slide 12: Cash flow from zinc recycling underpins uranium development
Cash flow from zinc recycling underpins uranium development URANIUM ZINC RECOVERY Processing Electric Iskenderun, Turkey Arc Furnace Dust to produce zinc oxide PROVIDING STABLE CASH-FLOW WHILE WE BRING URANIUM TO MARKET 12
Slide 13: Zinc from BST helps fund the Dasa Project
ZINC RECYCLING Joint venture with (51%), a market leader in zinc recovery Zinc from BST helps • Processing Electric Arc Furnace Dust (“EAFD”) fund the Dasa Project. containing 25% to 30% zinc sourced from local steel mills • Produces a 70% zinc oxide concentrate, which is sold to smelters • Recoveri
Slide 14: Plant expansion completed in 2019 means no major capital needed for the zinc business
CASH FLOW FROM ZINC RECYCLING UNDERPINS DASA PROJECT DEVELOPMENT The plant expansion and modernization completed in 2019 means no major capital needed for the zinc business 80,000 $2.00 • Capacity to process 110,000 tonnes 70,000 $1.80 EAFD p.a., up from 65,000 tonnes $1.60 previously 60,000 $1.40 •
Slide 15: Tight shareholder structure, dilution protected by cash flow
EXCELLENT CAPITAL STRUCTURE Tight shareholder structure, dilution protected by cash flow C$97 M C$0.64 151.8 M Market Capitalization TSX Share Price Shares Issued Shareholding composition (approx.) Average Share Capital Exercise Price Shares (M) 30-day Management/ VWAP High Board Shares 151.8 Instit
Slide 16: Experienced team of mine development and uranium veterans
EXCELLENT CORPORATE STRUCTURE Experienced team of mine development and uranium veterans • Stephen G. Roman • Paul Cronin Founder, Chairman, President and CEO Non-executive Director • Rein Lehari, CPA • Richard Faucher Chief Financial Officer Non-executive Director • George Flach, P.Geo • Derek Rance
Slide 17: This is the optimum time to invest in uranium
URANIUM IS A WORTHY INVESTMENT This is the optimum time to invest in uranium. SUPPLY: -30% DEMAND: +40% since 2015 by 2020 Uranium supply is constrained. Uranium demand is growing. • 3 top-ten mines forecast to close before • 50 nuclear reactors under 2030 (Rossing, Cominak, Ranger) construction in
Slide 18: 80% of new projects need uranium price above current spot to breakeven
URANIUM IS A WORTHY INVESTMENT 80% of new projects need uranium price > current spot to breakeven The Dasa Project Total Operating Cash Costs and AISC are estimated at $16.72/lb and $18.39/lb respectively in the May 2020 Preliminary Economic Assessment. 18
Slide 19: Investment Case
IN CONCLUSION Investment Case Uranium is a worthy investment A Unique model of two complementary businesses Our Dasa Project is compelling ESG is an integral component of Global Atomic’s culture Cash flow from Zinc recycling underpins project development Excellent corporate structure 19
Slide 20: Contact
8 King St E, Suite 1700 Toronto, ON M5C 1B5 Tel: +1 416 368 3949 info@globalatomiccorp.com globalatomiccorp.com