Atlas Lithium (US:ATLX)2024-05-15 20:31Financial Performance - Total revenue for the three months ended March 31, 2024, was $186,707, compared to $0 for the same period in 2023[12]. - Gross loss for the same period was $84,639, with total operating expenses amounting to $13,266,460, up from $4,479,368 in the prior year[12]. - Net loss attributable to Atlas Lithium Corporation stockholders was $12,963,467, compared to a net loss of $3,965,938 in the same quarter of 2023[12]. - Basic and diluted loss per share for the current quarter was $(1.29), compared to $(0.60) in the prior year[12]. - For the three months ended March 31, 2024, Atlas Lithium Corporation reported a net loss of $13,184,196, compared to a net loss of $4,465,353 for the same period in 2023, representing an increase in losses of approximately 195%[25]. Assets and Liabilities - Total current assets decreased to $17,707,027 as of March 31, 2024, from $29,714,656 as of December 31, 2023[10]. - Total assets decreased to $37,698,653 as of March 31, 2024, from $43,682,659 as of December 31, 2023[10]. - Total liabilities increased to $35,098,243 as of March 31, 2024, compared to $34,368,415 as of December 31, 2023[10]. - Cash and cash equivalents decreased to $17,529,465 as of March 31, 2024, from $29,549,927 as of December 31, 2023[10]. - The total stockholders' equity as of March 31, 2024, was $2,600,410, a decrease from $9,314,244 as of December 31, 2023, indicating a decline of approximately 72%[20]. - The company’s accumulated deficit increased to $(114,627,986) as of March 31, 2024, compared to $(101,664,519) at the end of 2023, marking an increase of approximately 13%[20]. Cash Flow and Expenses - Cash used in operating activities for Q1 2024 was $(6,103,264), compared to $(3,663,428) in Q1 2023, indicating a worsening cash flow situation[25]. - The company recorded stock-based compensation and services amounting to $6,840,202 for Q1 2024, a significant increase from $1,128,845 in Q1 2023[25]. - The company experienced a $5 million increase in stock-based compensation expense compared to the prior period, attributed to new management team members[162]. - Net cash used in investing activities for Q1 2024 was $6,055,535, representing an increase of 375% compared to $1,275,972 in Q1 2023[164]. Capital Expenditures and Investments - The company invested $5,672,571 in capital assets during Q1 2024, compared to $5,790 in the same period of 2023, reflecting a substantial increase in capital expenditures[25]. - Total capital expenditures for the initial production and ramp-up are estimated at $49.5 million, which includes costs for modular DMS plants and tailings management[151]. Stock and Equity - The Company amended its articles of incorporation to decrease the number of authorized common stock shares to 200,000,000 to improve financing perceptions[65]. - As of March 31, 2024, the Company had 200,000,000 authorized shares of common stock with a par value of $0.001 per share[66]. - During the three months ended March 31, 2023, the Company sold 675,000 shares of common stock at a public offering price of $6.00 per share, generating gross proceeds of $4,657,500[71][73]. - The Company issued 640,000 restricted shares of common stock at a purchase price of $6.25 per share, totaling gross proceeds of $4,000,000 in a private placement[74]. - The Company recorded $3,315,822 in stock-based compensation expense from common stock options for the three months ended March 31, 2024, compared to $121,925 for the same period in 2023[81]. Exploration and Development - Atlas Lithium is focused on developing a modular plant with a target production of 150,000 tons of lithium concentrate per annum, with plans to double capacity to 300,000 tons in Phase II[128]. - The ongoing drilling campaign at the Neves Project has identified four confirmed pegmatite bodies with spodumene mineralization[134]. - A systematic exploration campaign has been initiated, involving geological mapping and sampling, with 4,599 soil samples taken to highlight lithium anomalies[142]. - The Company has engaged SGS Canada Inc. to produce a Maiden Resource Report for the Neves Project, ensuring compliance with Regulation S-K 1300[137]. - The appointment of Brian Talbot as COO is expected to enhance the development of the lithium mine and processing plant[138]. Agreements and Commitments - The company entered into Offtake and Sales Agreements to sell 60,000 dry metric tonnes of lithium concentrate per year for five years, with each buyer pre-paying $20.0 million[110]. - An agreement was reached with Mitsui for the sale of 1,871,250 shares for $30,000,000, representing a 10% premium to the 5-day VWAP, along with an offtake agreement for 15,000 tons of lithium concentrate from Phase 1 and 60,000 tons per year for five years from Phase 2[161]. - The company had total commitments of $5,281,365 related to lithium processing plant construction and land acquisition as of March 31, 2024[104].