Atlas Salt's Financing Letters of Interest Exceed $300 Million Following Further Export Credit Agency and Sandvik Support
Atlas Salt's Financing Letters of Interest
Exceed $300 Million Following Further Export
Credit Agency and Sandvik Support
St. George's, Newfoundland and Labrador--(Newsfile Corp. - September 1, 2026) - Atlas Salt Inc.
(TSXV: SALT) (OTCQX: SALQF) (FSE: 9D00) ("Atlas Salt" or the "Company") announces two
additional milestones in the financing of its Great Atlantic Salt Project (the "Project") in Newfoundland
and Labrador:
1
.
C$79 Million Sandvik Equipment Financing:
The Company has advanced its previously
announced Memorandum of Understanding with Sandvik into a non-binding Letter of Interest for
equipment financing of up to approximately C$79 million; and
2
.
C$75 Million LOI From a New Leading Export Credit Agency:
Atlas has separately received a
non-binding Letter of Interest from a new leading export credit agency for up to C$75 million.
Together with the Company's previously announced Letter of Interest from Export Development Canada
("EDC") for up to C$150 million, aggregate financing Letters of Interest for the Project now exceed
C$300 million.
Nolan Peterson, President & CEO of Atlas Salt Commented:
"Advancing our Memorandum of Understanding with Sandvik into a financing Letter of Interest and
adding the support of an additional leading export credit agency, brings the financing Letters of
Interest for the Great Atlantic Salt Project to more than C$300 million. These are the pillars on
which we are building a broader financing package, including a commercial bank syndicate, as we
work toward a complete financing package. Vendor and export credit support of this scale reflects
the strength and strategic significance of our long-life, industrial-salt asset, and the international
export interest it supports. This is one part of a structured process that is progressing across
multiple counterparties and jurisdictions, and we look forward to advancing it in a disciplined
manner alongside our advisor, Endeavour Financial."
Summary of Key Points:
Sandvik, a leading supplier of underground mobile mining equipment, has advanced its previously
announced Memorandum of Understanding with the Company into a non-binding Letter of Interest
for equipment financing of up to approximately C$79 million, including approximately C$45 million
for capital equipment, with the balance available to support equipment leasing during the initial
years of operations.
The Company has separately received a non-binding Letter of Interest from a leading export credit
agency indicating potential financing of up to C$75 million for the Project, supported by qualifying
export interest arising from the anticipated supply of Sandvik mining equipment.
Together with the Company's previously announced Letter of Interest from EDC, aggregate
financing Letters of Interest for the Project now exceed approximately C$300 million.
Sandvik Equipment Financing Letter of Interest
Building on the Memorandum of Understanding previously entered into with Sandvik, the Company has
received a non-binding Letter of Interest under which Sandvik would consider providing equipment
financing of up to approximately C$79 million in support of the Project. Approximately C$45 million is
attributable to capital equipment forming part of the Project's underground mobile mining fleet, with the
balance available to support equipment leasing arrangements during the initial years of operations. The
Letter of Interest is non-binding and any participation by Sandvik remains subject to due diligence, credit
approval, and the negotiation of definitive agreements.
Export Credit Agency Letter of Interest
The Company has separately received a non-binding Letter of Interest from a leading export credit
agency wholly owned by its national government, indicating potential financing of up to C$75 million for
the Project. The potential financing reflects a qualifying export interest arising from the anticipated supply
of Sandvik mining equipment to the Project. The Letter of Interest is non-binding, does not constitute an
offer, commitment or obligation of any kind, and any participation by the export credit agency would
remain subject to the completion of satisfactory due diligence, all necessary internal and credit
approvals, compliance with the agency's mandate and eligibility criteria, and the negotiation of definitive
documentation.
Project Financing Process
With the Sandvik equipment financing Letter of Interest and the Letter of Interest from a leading export
credit agency, together with the previously announced Letter of Interest from Export Development
Canada, aggregate financing Letters of Interest received for the Project now exceed approximately
C$300 million. Atlas Salt continues to advance project financing for the Great Atlantic Salt Project with
the support of its financing advisor, Endeavour Financial.
As previously disclosed, the Company is pursuing approximately C$350 million to C$400 million of
senior secured debt, with the potential for additional subordinate debt, anchored by the Updated
Feasibility Study ("UFS") released on September 30, 2025. The UFS delivered an after-tax NPV
₈
of
C$920 million, a post-tax IRR of 21.3%, a 4.2-year payback at a steady-state production rate of 4.0
million tonnes per annum, and approximately C$188 million in average annual after-tax free cash flow
over a 25-year mine life.
The Company intends to use these export credit and vendor financing Letters of Interest as pillars on
which to build a broader financing package, including a commercial bank syndicate, and continues to
engage with prospective lenders, vendor-financing counterparties, export credit agencies and strategic
financing partners across multiple jurisdictions as part of a structured, competitive financing process.
Interested parties are working within the Company's established due diligence process. All discussions
remain non-binding, and there can be no assurance that any financing will be completed on the terms
contemplated, or at all. The Company will provide further updates as material developments occur.
For further information and ongoing updates, please visit
https://atlassalt.com
.
About Atlas Salt
Atlas Salt Inc. (TSXV: SALT) (OTCQX: SALQF) (FSE: 9D00) is developing the Great Atlantic Salt
Project, a wholly-owned, high-purity rock salt project on the west coast of Newfoundland, Canada,
uniquely positioned to become North America's first new salt mine in nearly three decades. The Project
is expected to produce 4.0 million tonnes of road salt annually for the import-dependent Eastern
Canadian and U.S. Northeast markets. The 2025 Updated Feasibility Study outlines robust economics,
including a 25-year mine life, C$188 million in average annual after-tax free cash flow, C$920 million of
after-tax NPV8, a 21.3% post-tax IRR, and a 4.2-year payback. Designed as a highly electrified, low-
emission operation, Great Atlantic's annual Scope 1 emissions are anticipated to equal just four
Newfoundland households. Atlas is committed to responsible mining, environmental stewardship, and
community engagement.
For information, please contact:
Nolan K. Peterson, CEO and Director
(709) 275-2009
We seek safe harbour.
Cautionary Statement
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking
information includes, but is not limited to, statements with respect to: the advancement of the Great Atlantic Salt Project towards production; the
Company's development plans, operational readiness and construction planning; the Company's salt marketing and distribution strategies; vesting
of compensation securities ; and analysis and assumptions related thereto. Forward-looking information is generally identifiable by use of the
words "believes", "may", "plans", "will", "anticipates", "intends", "could", "estimates", "expects", "forecasts", "projects" and similar expressions,
and the negative of such expressions. Forward-looking information is subject to known and unknown risks and uncertainties that may cause
actual results to differ materially from those anticipated or implied in the forward-looking information. The Company's forward-looking information
is based on the assumptions that: the Company will be able to obtain all required approvals for the Great Atlantic Salt Project; general business
and economic conditions will not change in a materially adverse manner; the Company will be able to obtain financing as required. Risk factors
that could cause actual results to differ materially include, but are not limited to: failure to obtain necessary financing; changes in general
economic, business and political conditions; changes in applicable laws and regulations; compliance with extensive government regulation; and
other risks described in the Company's public disclosure documents filed on SEDAR+. The Company cautions that the foregoing list of risk
factors is not exhaustive. The forward-looking information contained in this news release is made as of the date hereof and the Company is not
obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as
required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue
reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.
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