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Global Atomic Completes Phase 1 Dasa Project Feasibility Study and Issues a Maiden Mineral Reserve

Global Atomic Completes Phase 1 Dasa Project Feasibility Study and Issues a Maiden Mineral Reserve
Canada NewsWire
TORONTO, Nov. 15, 2021

Feasibility Study Confirms PEA Project Capital and Lowest-Quartile Operating Costs
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Global Atomic Completes Phase 1 Dasa Project Feasibility Study and Issues a Maiden Mineral Reserve

Canada NewsWire

Feasibility Study Confirms PEA Project Capital and Lowest-Quartile Operating Costs

All monetary amounts are in U.S. dollars, unless otherwise indicated.

TORONTO, Nov. 15, 2021 /CNW/ – Global Atomic Corporation (“Global Atomic” or the “Company”), (TSX: GLO) (OTCQX: GLATF) (FRANKFURT: G12) announced today the results of the Phase 1 Dasa Project Feasibility Study (the “Study”) for the Company’s Dasa Uranium Project (the “Project”) in the Republic of Niger. 

The Study confirms that the Project is economically compelling, even at a price of $35 per pound U3O8.   Based on the Study, the strong uranium market and anticipated uranium supply deficits, the Board of Directors have made a production decision to proceed with the Dasa Project.   The Study is focused solely on Phase 1, primarily comprised of the Flank Zone, and represents the initial 12 years of the Project and less than 20% of the Dasa mineralization, which has been delineated through 160,000 metres of drilling since 2010.  The Study is an update from the Preliminary Economic Assessment (the “PEA”) filed in May 2020. 

The Dasa Project is located in Niger’s Tim Mersoï Basin, which has successfully produced uranium for export to France, the United States and other countries for 50 years, contributing to Niger’s status as the 5th largest exporter of U3O8 for use in nuclear power plants.

Highlights

  • Study Base Case price is $35 per pound U3O8
  • After-tax NPV8 of $157 million and after-tax IRR of 22.7%
  • Cash cost(1) of $18.91 per pound
  • All-in sustaining cost(2) of $21.93 per pound
  • Steady-state mill recovery rate of 94.15%
  • Average annual steady-state uranium production of 3.8 million pounds U3O8
  • $208 million capital costs include a 10% contingency
  • Mining reserve of 4.3 million tonnes grading 5,184 ppm U3O8
  • Recovering 45.4 million pounds U3O8 over 12 years

Stephen G. Roman, President and CEO commented, “We are pleased to report our Maiden Reserve and confirm robust economics for the Dasa Project.  We had already decided to move ahead with construction contracts to break ground in January 2022 and begin underground development in April 2022.  We are now ready to negotiate project financing, advance offtake negotiations with utilities, complete detailed engineering and complete the bidding process for an EPCM contract to build and commission our processing plant by the end of 2024.”

“The mining industry has seen significant pandemic-induced increases in input costs since the PEA was completed in 2020.  We are very pleased to have duplicated our previous PEA project capital costs and thank METC Engineering, Bara Consulting, Insight R&D and Process Research Ortech for their excellent work in this regard.  In the event pandemic related cost increases return to historical levels, project economics will be further enhanced.”

(1) Cash cost per pound represents mining, processing, site and offsite general and administrative costs and royalties, divided by recovered uranium of 45.4 million pounds U3O8.

(2) All-in sustaining cost per pound of uranium represents mining, processing,  site and offsite general and administrative costs, royalties  and sustaining capital expenditures, divided by recovered uranium of 45.4 million pounds U3O8.

Feasibility Study Overview and Comparison to the Preliminary Economic Assessment

The objective of the Study was to confirm the findings of the May 2020 PEA, apply detailed design and current costing to the Project, and reduce the risks of the Project thus decreasing the previously applied 20% contingency rates.   The Study proves the viability of the Project and will serve as the basis for the Company to negotiate project financing, advance off-take agreement discussions with utilities, finalize detailed engineering and select an EPCM contractor to build the processing plant.  

Table 1 below compares key metrics from the PEA to the Study.

Table 1.  Summary Phase 1 Dasa Project Metrics @ US $35 / pound U3O8

Project Economics

Units of Measure

2020 PEA

Feasibility Study

Average Royalty rate (based on Mining Code)

%

9.1%

9.3%

After-tax NPV8

$M

$211

$157

After-tax IRR

%

26.6%

22.7%

Undiscounted after-tax cash flow (net of capex)

$M

$437

$332

After-tax payback period

Years

4

5

Unit Operating Costs

Average cash cost(1)

$/lb U3O8

$16.72

$18.91

AISC(1)

$/lb U3O8

$18.39

$21.93

Production Profile

Phase 1 Mine Plan

Years

11

12

Total tonnes processed

M Tonnes

4.0

4.3

Tonnes processed per day

Tonnes/day

1,000

1,000

Mill head grade

ppm/T

5,396

5,184

Steady-state mill recovery rate

%

92%

94.15%

Total pounds U3O8 processed

Mlbs

47.9

48.6

Total pounds U3O8 recovered

Mlbs

44.1

45.4

Average annual pounds U3O8 production

Mlbs

3.9

3.8

Peak annual pounds U3O8 production

Mlbs

5.2

6.0

Capital Costs

Initial project capital costs

$M

$203

$208

Sustaining capital costs

$M

$73

$137

(1)  Average cash costs and AISC are inclusive of royalty payments to the Republic of Niger 

With the issuance of the Dasa Mining Permit and an Environmental Compliance Certificate by the Republic of Niger, the Dasa Project is fully permitted for commercial production. Excavation of the Box-Cut and collaring of the mine Portal are planned for early 2022.

Economics

The Study was completed to Class 3 Standards of the Association for the Advancement of Cost Engineering (“AACE”) and has an accuracy of +/- 9.6%. 

The economic analysis for the Study was done with a discounted cash flow (“DCF”) model based on a uranium price of $35 per pound U3O8. The discount rate used for the base-case analysis is 8% (“NPV8“). Sensitivity analysis was applied at intervals from $35 per pound to $60 per pound, as shown in Table 2 below.  

Table 2. Economic sensitivity with varying uranium prices

Uranium price (per pound)

$35/lb

$40/lb

$50/lb

$60/lb

Before-tax NPV8

$187 M

$309 M

$556 M

$804 M

After-tax NPV8

$157 M

$259 M

$468 M

$676 M

After-tax IRR

22.7%

30.6%

44.6%

57.2%

The DCF includes the current tax regime and royalty requirements in Niger.  Net present value (“NPV”) figures are calculated using a range of discount rates as shown in Table 3. 

Table 3. Economic sensitivity with varying discount rates using base-case uranium price of $35 per pound

Discount rate (%)

5%

8%

10%

12%

Before-tax NPV

$248 M

$187 M

$152 M

$122 M

After-tax NPV

$211 M

$157 M

$126 M

$99 M

The Study is focused solely on Phase 1, which represents the initial 12 years of the Project.   The longitudinal section of the Dasa Deposit (see Figure 1 below) highlights the Flank Zone area being mined in Phase 1 (within the solid red-lined square), representing less than 20% of the Dasa mineralization.   After Phase 1, the Company plans to continue with the underground mining of Phase 2 and after several decades consider an open-pit operation to mine the lower-grade surface mineralization of Phase 3.

Global Atomic Declares Maiden Mineral Reserves

The Mineral Resource Estimate (“MRE”) prepared by CSA Global with an effective date of June 1, 2019 is used as the basis for the Study. Economic analysis, including a cut-off grade of 2,074 ppm U3O8 based on a U3O8 price of $35 per pound, was applied to the Indicated Resources of the MRE, comprising primarily the Flank Zone. A resultant Phase 1 Mine Plan was developed for the Dasa deposit to yield the following reserves:

Probable Reserves

Tonnes Ore

4.25 million tonnes

Grade of U3O8

5,184 ppm

Contained U3O8

48.6 million pounds

Processing

The Project will use operationally proven uranium processing techniques, comprised of dry SAG grinding and classification; pug-leaching and curing; uranium extraction circuit (re-pulping and solid/liquid separation); uranium purification and precipitation circuit; drying and packaging. Based on extensive metallurgical work and a six-month pilot plant study, a steady-state recovery rate of 94.15% is estimated over the12-year mine plan of the Project, which is expected to produce 45.4 million pounds of U3O8  as Yellowcake.

Operating Costs

Table 4: Operating Costs

Tonnes mined (millions)

4.3

Pounds mined (millions)

48.6

Grade (ppm)

5,184

Mill recovery rate (including ramp up)

93.4%

Pounds produced (millions)

45.4

$/lb U3O8

Recovered

$/tonne of
Feed

Mining cost

6.17

66

Processing cost

6.01

64

Overhead cost

3.46

37

Cash costs before royalties

15.64

167

Royalties

3.27

35

Total cash costs

18.91

202

Sustaining capital

3.02

32

AISC

21.93

234

The cash cost of $18.91 per pound places Dasa in the lowest quartile of uranium companies.

Capital Costs

Table 5: Capital Costs

($millions)

Initial

Sustaining

Total

Mining

55

114

169

Processing

90

6

96

Infrastructure

18

18

Total Direct Capital Costs

163

120

283

Indirect & Owner’s Costs

27

27

Total Direct & Indirect Capital Costs

190

120

310

Contingency

18

17

35

Total Capital Costs

208

137

345

Project Financing

In April 2021, Global Atomic engaged London-based HCF International Advisers (“HCF”) to assist in project financing.  HCF specializes in financing mining projects in Africa.  With HCF, the Company has short-listed a group of banks and financial institutions  who are interested in funding the Project.   With the application of cash flow from the Company’s Turkish Zinc JV and the potential to Direct Ship Ore (“DSO”) to Orano Mining’s Somaïr processing facility in Niger to generate revenue during the development stages of the Dasa mine, the Company plans to minimize the amount of equity required for project financing.   With the completion of the Study, the Company expects to accelerate these financing discussions and conclude a financing agreement in the first half of 2022.

Value Opportunities

In 2021, the Company has been actively engaged in discussions with Orano Mining regarding the potential of a DSO arrangement with their Somaïr processing plant, situated approximately 100 kilometers north of the Dasa Project.   Orano Mining processed samples of Dasa ore through the Somaïr plant in a series of successful metallurgical tests earlier in 2021. The Memorandum of Understanding signed with Orano in 2017 included the shipment and sale of 500,000 tonnes of ore to Somaïr within the initial five-year period of mining at Dasa. By the end of 2024, Global Atomic intends to commission its own plant to process ore from Dasa. Discussions have since been expanded to include the option of toll milling, combining certain logistics and shipping Yellowcake to Global Atomic customers.   

One of the objectives of the 15,000-meter drilling program that began in September 2021, is to explore extensions of the Flank Zone located close to surface which could result in extending the mining of shallow ore, thereby lowering development and operating costs for the Project.

Currently, the Phase 1 Mine Plan is focused on mining the Flank Zone area which comprises approximately 80% of U3O8 pounds mined. The Phase 1 Mine Plan also took into account more remote locations as depicted in Figure 2.

Figure 2 - Phase 1 Mining Plant Remote Locations (CNW Group/[nxtlink id=

The areas referred to as Zones 3, 4 and 5 had sufficient drill density to be classified as Indicated Resources, thereby enabling them to be converted into Probable Reserves. As further drilling upgrades the Inferred Resources around Zones 1 and 2, Global Atomic expects mining would continue in these areas, which would require less development, thereby reducing costs associated with mining Zones 3, 4 and 5 until mining progressed to these areas in the natural course of mine development over succeeding years. Figure 3 shows the distribution of Indicated and Inferred Resources throughout the Dasa deposit.

Figure 3 - Distribution of Indicated & Inferred Resources (CNW Group/[nxtlink id=

Presently, the Company is infill drilling an area referred to as Zone 2 East, which is above Zone 3. The drilling density in this area was only sufficient to classify it as Inferred Resources. A previously drilled hole adjacent to the current drilling is ASDH 476, which contained a 100 meter section averaging 3,497 ppm, including a higher grade portion with a width of 50 meters and a grade of 5,972 ppm.

A NI 43-101 compliant technical report related to the Feasibility Study will be filed on SEDAR and posted to the Company website (www.globalatomiccorp.com) by December 30, 2021.

QP Statement
The scientific and technical disclosures in this news release have been reviewed and approved by Andrew Pooley and John EdwardsAndrew Pooley is the Managing Director of Bara Consulting. He has obtained a B.Eng (Hons) in Mining Engineering from Nottingham University in the UK, he is a Fellow of the Southern African Institute of Mining and Metallurgy, and has over 25 years of experience in the mining industry. John Edwards is a Professional Metallurgist and is the Chief Metallurgist at METC Engineering Pty Ltd. having graduated with a BSc Hons in Mineral Processing Technology in 1985 from Camborne School of Mines, UK. He is a Fellow of the Southern African Institute of Mining and Metallurgy with over 35 years of experience as a metallurgist.

About Global Atomic
Global Atomic Corporation (www.globalatomiccorp.com) is a publicly listed company that provides a unique combination of high-grade uranium mine development and cash-flowing zinc concentrate production.

The Company’s Uranium Division includes four deposits with the flagship project being the large, high grade Dasa Project, discovered in 2010 by Global Atomic geologists through grassroots field exploration. With the issuance of the Dasa Mining Permit and an Environmental Compliance Certificate by the Republic of Niger, the Dasa Project is fully permitted for commercial production.   

Global Atomics’ Base Metals Division holds a 49% interest in the Befesa Silvermet Turkey, S.L. (“BST”) Joint Venture, which operates a modern zinc production plant, located in Iskenderun, Turkey. The plant recovers zinc from Electric Arc Furnace Dust (“EAFD”) to produce 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, with approximately 50% of the European EAFD market and facilities located throughout Europe, Asia and the United States of America.

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 Atomics’ development potential and timetable of its operations, development and exploration assets; Global Atomics’ ability to raise additional funds necessary; the future price of uranium; the estimation of mineral reserves and resources; conclusions of economic evaluation; the realization of mineral reserve estimates; the timing and amount of estimated future production, development and exploration; cost 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”, “is expected”, “estimates”, variations of such words and  phrases or statements that certain actions, events or results “could”, “would”, “might”, “will be taken”, “will begin”, “will include”, “are expected”, “occur” or “be achieved”.  All information contained in this news release, other than statements of current or historical fact, is forward-looking information.   Statements of forward-looking information 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 at the date such statements are made.  Although management of Global Atomic has attempted to identify important factors that could cause actual results to be materially different from those 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 upon forward-looking statements.  Global Atomic does not undertake to update any forward-looking statements, except in accordance with applicable securities law.  Readers should also review the risks and uncertainties sections of Global Atomics’ annual and interim MD&As.

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

 

SOURCE Global Atomic Corporation







global atomic corporation

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Tantalex Resources Corporation Provides Exploration and Corporate Update

 

Toronto, Ontario – TheNewswire – December 3, 2021 – Tantalex Resources Corporation (CSE:TTX) (CNSX:TTX.CN) (“Tantalex” or the “Corporation”),…

 

Toronto, Ontario – TheNewswire – December 3, 2021 – Tantalex Resources Corporation (CSE:TTX) (CNSX:TTX.CN) (“Tantalex” or the “Corporation”), is pleased to provide an update on its exploration and corporate activities.

Manono Lithium Tailings Project

 

Drilling on the Manono Lithium Tailings Project (the “Tailings Project”) is now completed with a total of 9,279m of aircore drilling and 980m of Cobra drilling. Sample preparation is ongoing and being sent to the ALS laboratory in Ireland for assaying. Initial batch of 1080 samples have arrived in Ireland since mid November but results are still pending due to extended delays in customs clearance.

 

Exploration on Pegmatite Corridor

 

Tantalex would also like to confirm that road and drill pad preparation to begin drilling on the near surface pegmatite occurrences along the Corridor are completed and that drilling is expected to commence in the coming days.

 

The objective with this drill program is to test near surface pegmatites in areas of known tin and tantalum occurrences for potential lithium content.

 

As indicated in our press release of November 1st, the pegmatite corridor is downstrike from the historical Manono Kitotolo mine where AVZ Minerals have recently published a 400M ton resource report with average Li2O grades of 1,65%. (AVZ Minerals, Definitive Feasibility Study, Manono Lithium & Tin Project, April 21,2020).

 

The Manono region is set to become an important tier one supplier of lithium with AVZ Minerals recently announcing an investment of USD $240 million dollars for a 24% stake in their Manono Lithium project from CATH, a private investment entity jointly owned by Mr. Pei Zhenhua and Contemporary Amperex Technology Co. Limited (“CATL”),

  

MOU with XIMEI

 

Tantalex is also pleased to announce that it is currently in ongoing discussions with Ximei Resources Holding Ltd. (“Ximei”) to enter into a definitive agreement that will replace and supersede the memorandum of understanding (the “MOU”) previously announced on February 18, 2021. Completion of such negotiation shall be subject to XIMEI’s formal confirmation and public announcement. The definitive agreement will provide the framework for a strategic partnership between Tantalex and Ximei, whereby the parties will collaborate in conducting a feasibility study and ultimately establish a tantalum refining plant in the Manono region, Tangyanika Province, in the Democratic Republic of Congo (the “Region”) should all underlying requirements set forth in the definitive agreement be fulfilled. The refining plant will be intended to treat the tantalum concentrate produced by Tantalex and other local cooperatives in the Region with whom Tantalex has established business partnerships.

 

The Region is richly endowed with coltan and cassiterite, which is often closely associated to the numerous lithium pegmatites. Based on Tantalex’s exploration and resource definition activities on the Tailings Project and along the Pegmatite Corridor, Tantalex considers that an annual production of 50-80t of net metal is achievable on its concessions. Given the eluvial and alluvial nature of the coltan and cassiterite, semi-industrial production of tantalum and tin concentrate could potentially start as early as Q3 2022 on Tantalex’s concessions.

 

Corporate update

 

Tantalex is pleased to announce that it intends to amend its articles of incorporation to give effect to a name change of the Corporation to “Tantalex Lithium Resources Corp.”, which will allow for an accurate reflection of the nature of its lithium exploration and development objectives and short-term endeavours. The name change and the amendment of the Corporation’s articles of incorporation will be subject to the approval of the shareholders and will be a matter to be voted upon during the Corporation’s next annual general and special shareholders meeting set to occur no later than as of the 3rd week of January 2022.  

 

The company also confirms that AfriMet Resources has fully exercised their 50,000,000 warrants and, as a result, their current shareholding in Tantalex stands at 28%.

 

An additional 5,000,000 warrants have been exercised and a $100,000 convertible debenture issued in 2018 in consideration of a loan has been converted into 2,520,000 common shares of the Corporation at a per-share price of $0.05, the whole in accordance with Canadian Securities Exchange guidelines.  

 

Qualified Person

 

The scientific and technical content of this news release has been reviewed and approved by Mr. Gary Pearse MSc, P. Eng, who is a “Qualified Person” as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”).

 

Cautionary Note Regarding Forward Looking Statements

The information in this news release includes certain information and statements about management’s view of future events, expectations, plans and prospects that constitute forward looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although TANTALEX believes that the expectations reflected in forward looking statements are reasonable, it can give no assurances that the expectations of any forward looking statements will prove to be correct. Except as required by law, TANTALEX disclaims any intention and assumes no obligation to update or revise any forward looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward looking statements or otherwise.

The Canadian Securities Exchange (CSE) has not reviewed this news release and does not accept responsibility for its adequacy or accuracy.

ON BEHALF OF THE BOARD

Eric Allard

President and Chief Executive Officer

 

For more information, please contact:  

Eric Allard

President & CEO

Email: [email protected]

Website: www.tantalex.ca

Tel.: 1-581-996-3007

 

Copyright (c) 2021 TheNewswire – All rights reserved.







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Critical Elements Closes $30 Million Bought Deal Public Offering of Units

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.MONTRÉAL, QC / ACCESSWIRE / December 3, 2021 / Critical Elements…

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

MONTRÉAL, QC / ACCESSWIRE / December 3, 2021 / Critical Elements Lithium Corporation (TSXV:CRE)(FSE:F12) (“Critical Elements” or the “Corporation“) announces that it has closed today its previously announced bought deal financing (the “Offering“). Pursuant to the Offering, Critical Elements issued 17,152,250 units of the Corporation (the “Units“) at a price of $1.75 per Unit (the “Offering Price“) for gross proceeds of $30,016,437.50. This includes 2,237,250 Units issued in connection with the exercise in full of the over-allotment option granted to the Underwriters (as defined below) under the Offering.

Each Unit consists of one common share in the capital of the Corporation (a “Common Share“) and one-half of one Common Share purchase warrant (each full warrant, a “Warrant“). Each Warrant entitles the holder thereof to acquire one Common Share at an exercise price of $2.50 for a period of 24 months following the closing of the Offering.

The Offering was completed through a syndicate of underwriters co-led by Cantor Fitzgerald Canada Corporation and Stifel Nicolaus Canada Inc. (the “Lead Underwriters“), Paradigm Capital Inc., Beacon Securities Limited and Red Cloud Securities Inc. (collectively, with the Lead Underwriters, the “Underwriters“).

As consideration for the services provided by the Underwriters in connection with the Offering, the Underwriters received: (a) a cash commission of $1,699,923.75 equal to 6% of the gross proceeds of the Offering (reduced to 3% for certain subscribers on the “President’s List“); and (b) 1,029,135 broker warrants (the “Broker Warrants“) equal to 6% of the number of Units issued under the Offering. Each Broker Warrant is exercisable to acquire one Unit of the Corporation at a price equal to the Offering Price for a period of two years after the closing of the Offering.

The vast majority of the net proceeds will be used by the Corporation to fund development of the Rose Property and also for general corporate purposes, as more fully described in the short form prospectus of the Corporation dated November 29, 2021.

The Units have been offered by way of short form prospectus in each of the provinces of Canada, pursuant to National Instrument 44-101 – Short Form Prospectus Distributions. The Units, Common Shares and Warrants have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any U.S. state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the “United States” or “U.S. persons” (as such terms are defined in Regulation S under the U.S. Securities Act) absent registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities to, or for the account or benefit of, persons in the United States or U.S. persons, nor will there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Critical Elements Lithium Corporation

Critical Elements aspires to become a large, responsible supplier of lithium to the flourishing electric vehicle and energy storage system industries. To this end, Critical Elements is advancing the wholly owned, high purity Rose lithium project in Quebec. Rose is the Corporation’s first lithium project to be advanced within a land portfolio of over 700 square kilometers. In 2017, the Corporation completed a feasibility study on Rose for the production of spodumene concentrate. The internal rate of return for the Project is estimated at 34.9% after tax, with a net present value estimated at C$726 million at an 8% discount rate. In the Corporation’s view, Quebec is strategically well-positioned for US and EU markets and boasts good infrastructure including a low-cost, low-carbon power grid featuring 93% hydroelectricity. The project has received approval from the Federal Minister of Environment and Climate Change on the recommendation of the Joint Assessment Committee, comprised of representatives from the Impact Assessment Agency of Canada and the Cree Nation Government; The Corporation is working to obtain similar approval under the Quebec environmental assessment process. The Corporation also has a good, formalized relationship with the Cree Nation.

For further information, please contact:

Jean-Sébastien Lavallée, P. Géo.
Chief Executive Officer
819-354-5146
[email protected]
www.cecorp.ca

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is described in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

This press release contains “forward-looking information” within the meaning of applicable securities laws, including statements with regard to our objectives and the strategies to achieve these objectives. Forward-looking information involves known and unknown risks and uncertainties, many of which are beyond the Corporation’s control, that could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. Forward-looking information is based on management’s beliefs and assumptions and on information currently available to management. Although the forward-looking information contained in this press release is based upon what management believes are reasonable assumptions, you are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained in this press release is provided as of the date of this press release, and the Corporation does not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.

SOURCE: Critical Elements Lithium Corporation

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Giyani Closes Bought Deal Public Offering Raising Gross Proceeds of $11.5 Million

Not for distribution to U.S. newswire services or for dissemination in the United States TORONTO, Dec. 03, 2021 (GLOBE NEWSWIRE) — Giyani Metals Corp….

Not for distribution to U.S. newswire services or for dissemination in the United States

TORONTO, Dec. 03, 2021 (GLOBE NEWSWIRE) — Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) (“Giyani” or the “Company“), is pleased to announce that it has today closed its previously announced bought deal equity public offering (the “Offering“). A total of 26,136,395 units of the Company (the “Units“) were issued at a price of $0.44 per Unit for gross proceeds of approximately $11.5 million, which included the exercise in full of the over‐allotment option granted by the Company to the Underwriters (as defined below). Each Unit consists of one (1) common share (each, a “Common Share“) and one half of one (½) Common Share purchase warrant (each whole Common Share purchase warrant, a “Warrant“). Each Warrant entitles the holder to purchase one Common Share at an exercise price of $0.60 until December 3, 2023.

The Offering was co-led by Cormark Securities Inc. and Beacon Securities Limited (together, the “Underwriters“). In connection with the Offering, the Underwriters received a cash commission equal to 5.5% of the gross proceeds of the Offering, other than in respect of sales of Units to certain purchasers on a president’s list, as agreed upon between the Company and the Underwriters (of which a cash commission of 2.0% of the gross proceeds realized from such sales was paid). Giyani also issued an aggregate of 1,381,241 broker warrants to the Underwriters that entitle the holders thereof to purchase Common Shares until December 3, 2023 at a purchase price of $0.44 per Common Share. The Units were qualified for distribution by way of a short‐form prospectus dated November 30, 2021 (the “Prospectus“) filed with the securities commissions in each of the provinces of Canada, except Québec.

The net proceeds of the Offering will be used for the advancement of the Company’s manganese oxide projects in Botswana, including the K.Hill Project, and for working capital and general corporate purposes, all as further described in the Prospectus.

The Offering is subject to the final acceptance of the TSX Venture Exchange.

About Giyani Metals Corp.

Giyani is a mineral resource company focused on becoming one of Africa’s first low-carbon producers of high-purity electrolytic manganese precursor materials, used by battery manufacturers for the expanding electric vehicle market, through the advancement of its manganese assets in the Kanye Basin in south-eastern Botswana (the “Kanye Basin Prospects“), through its wholly-owned Botswana subsidiary Menzi Battery (Pty) Limited. The Company’s Kanye Basin Prospects consist of 10 prospecting licenses and include the past producing Kgwakgwe Hill mine and project, referred to as the K.Hill Project, the Otse manganese prospect and the Lobatse manganese prospect, all of which have seen historical mining activities.

Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals Corp. website at https://giyanimetals.com/

On behalf of the Board of Directors of Giyani Metals Corp.

Robin Birchall, CEO

Contact:

Robin Birchall CEO, Director
+44 7711 313019
[email protected]

George Donne
VP Business Development
+44 7866 591 897
[email protected]

Judith Webster
Corporate Secretary and Investor Relations
+1 416 453 8818
[email protected] 

Neither the TSX Venture Exchange (the “TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and accordingly, may not be offered or sold to, or for the account or benefit of, persons in the United States or “U.S. persons,” as such term is defined in Regulation S promulgated under the U.S. Securities Act (“U.S. Persons”), except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company’s securities to, or for the account of benefit of, persons in the United States or U.S. Persons.

Forward Looking Information

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements in this news release, other than statements of historical fact, that address events or developments that Giyani expects to occur, are “forward-looking statements”, including but not limited to statements in respect of the final acceptance of the TSX Venture Exchange and the use of the net proceeds of the Offering. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “does not expect”, “plans”, “anticipates”, “does not anticipate”, “believes”, “intends”, “estimates”, “projects”, “potential”, “scheduled”, “forecast”, “budget” and similar expressions, or that events or conditions “will”, “would”, “may”, “could”, “should” or “might” occur.

All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date such statements are made and are subject to certain assumptions, important risk factors and uncertainties, many of which are beyond Giyani’s ability to control or predict. Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. In the case of Giyani, these facts include their anticipated operations in future periods, planned exploration and development of its properties, and plans related to its business and other matters that may occur in the future. This information relates to analyses and other information that is based on expectations of future performance and planned work programs.

Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Giyani’s ability to obtain funding; commodity price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks in how the world-wide economic and social impact of COVID-19 is managed; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Giyani’s forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information or statements.

Giyani’s forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective management on the date the statements are made, and Giyani does not assume any obligation to update forward looking information if circumstances or management’s beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements, please refer to Giyani’s Annual Information Form and the Prospectus, all of which are filed on SEDAR at www.sedar.com.





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