Atlas Salt (TSXV:SALT) - C$300M in Lender Interest Secured as Road Salt Prices Nearly Double

Interview with Nolan Peterson, CEO of Atlas Salt

Our previous interview: https://www.cruxinvestor.com/posts/atlas-salt-tsxvsalt-streamlines-permitting-as-financing-process-accelerates-10969

Recording date: 23rd September 2026

Atlas Salt Inc. (TSXV:SALT) is developing the Great Atlantic Salt Project in western Newfoundland, a planned 4 Mtpa underground rock salt mine aimed at de-icing markets in Eastern Canada and the US Northeast. CEO Nolan Peterson outlined how changes in the road salt market, a proprietary distribution model and a growing base of lender interest are shaping the project's next phase.

The most striking change is in pricing. Road salt has historically been sold to municipalities and governments through annual tenders, with prices rising 2% to 3% a year. In 2026 that pattern broke. The company's presentation cites US tenders clearing at US$155-175 per ton against roughly $88 per ton a year earlier, with some jurisdictions receiving no bids in initial rounds. Peterson attributes the shift to depleted inventories after two hard winters, existing mines operating at capacity with limited expansion scope, and higher costs for diesel and ocean freight that affect both domestic producers and importers.

Atlas Salt intends to compete through proximity and analytics. The site sits near a deep-water port, and the company states that shipping to Boston takes about three days compared with more than 14 days from Egypt or Chile. Its in-house Meridian model maps demand across North American jurisdictions and calculates the least-cost supply route for each, allowing the company to target markets where its delivered cost gives it the widest margin. Peterson said back-testing has matched historical tender prices closely. He also noted that an unconstrained run shows profitable demand of up to 6.5 million tons, although this figure has not been studied at feasibility level.

On financing, the 2025 Feasibility Study sets initial capex at C$589 million. Atlas Salt is targeting approximately C$350 million to C$400 million of senior secured debt and holds non-binding LOIs above C$300 million. These include up to C$150 million from EDC, up to C$75 million from a second export credit agency and approximately C$79 million of equipment financing from Sandvik. Peterson sees these LOIs as anchors that make it easier for commercial banks to join with smaller tickets. The equity component has yet to be determined.

On site, early construction is under way, focused on low-cost site preparation during the summer season. The team is expanding, with new site, permitting and safety roles and a new COO. Peterson identified drift development as the main cost and schedule risk, estimating that a 10% slower advance rate could add $10 million to $20 million.

The study outlines a C$920 million after-tax NPV8, a 21.3% IRR and approximately C$188 million in average annual free cash flow. Against an enterprise value of C$174.7