- Atlas Salt (TSXV:SALT) received a letter of interest from Export Development Canada for up to C$150 million in debt financing for the advancement of its flagship Great Atlantic salt project in Newfoundland and Labrador.
- The project’s 2025 feasibility study estimates steady-state production of 4 million tons per year over a 25-year mine life.
- Atlas Salt stock has added 262.79 per cent year-over-year.
Atlas Salt (TSXV:SALT) received a letter of interest from Export Development Canada (EDC) for up to C$150 million in debt financing for the advancement of its flagship Great Atlantic salt project in Newfoundland and Labrador.
The Government of Canada’s expression of interest, complementing engagement from several other export credit agencies, highlights Great Atlantic’s attractive economics as detailed in a 2025 feasibility study estimating an after-tax net present value (8 per cent) of C$920 million, C$188 million in after-tax free cash flow and steady-state production of 4 million tons per year over a 25-year mine life.
This article is a journalistic opinion piece which has been written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
Atlas Salt is aiming to secure between C$350 million and C$400 million in senior secured debt to get the project off the ground, which would make it North America’s first new salt mine in more than 30 years, positioning Canada to ramp up its participation in a US$27.9 billion market expected to cross the US$40 billion mark by the mid 2030s.
EDC will now focus on completing due diligence on Great Atlantic to substantiate a potential definitive financing agreement.
Leadership commentary
“EDC’s letter of interest for up to C$150M of senior debt financing is an important endorsement of the Great Atlantic salt project and the fundamentals set out in our updated feasibility study,” Nolan Peterson, President and Chief Executive Officer of Atlas Salt, said in Thursday’s news release. “Export credit agencies apply rigorous, disciplined diligence, and their engagement at this stage reflects the strength and strategic significance of a long-life, Canadian industrial-salt asset. This key derisking event is one part of a broader financing process that is progressing across multiple counterparties and jurisdictions, and we look forward to advancing that process in a diligent manner alongside our advisor, Endeavour Financial.”
About Atlas Salt
Atlas Salt is focused on developing North America’s next salt mine near St. George’s in Newfoundland and Labrador.
The mining stock (TSXV:SALT) is up by 4.7 per cent on the news trading at C$1.56. Shares have added 262.79 per cent year-over-year.
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