Name of the Project
Honeymoon uranium project.

Location
South Australia.

Client
Boss Resources.

Project Description
A prefeasibility study (PFS) has confirmed the technical and financial robustness of the Honeymoon project.

The project has a total mineral resource of 43.5-million tonnes grading 660 parts per million of uranium oxide (U3O8).

Based on the mineral resources located within the mining lease, and incorporating a small portion of the mineral resources associated with the exploration leases (Jasons and Gould’s Dam), an initial seven-year life-of-mine has been developed, with a maximum production of 3.2-million pounds a year after the construction of Stage 3.

A staged development approach has been adopted to derisk the project, define the wellfield operations and progressively increase the processing plant capacity.

The study is based on restarting the operation using existing facilities (modified to achieve nameplate capacity) in conjunction with the construction of the first stage of the ion-exchange (IX) plant. After successfully ramping up and verifying the new process, a further ion-exchange upgrade is planned.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Value
The PFS has estimated that the restart will require a capital investment of $68-million.

Duration
Stage 1 production is planned to start in 2018, Stage 2 production in the first half of 2019 and Stage 3 production the second half of 2020.

Latest Developments
Boss Resources has started a three-tiered restart strategy for its Honeymoon uranium project.

During Phase 1, Boss Resources will generate the final input data required for the definitive feasibility study (DFS), including the drilling programme to deliver a measured and indicated resource, an optimisation programme to deliver cost savings and process improvements, and a preliminary execution plan.

Phase 2 will comprise the DFS and permitting updates, while Phase 3 covers the detailed execution planning and operational readiness.

“The company will provide ongoing updates as the restart strategy progresses, with Phase 2 planned to start in early 2019, and Phase 3 starting later that year,” Boss Resources MD Duncan Craib has said.

Once the strategy has been completed, Boss Resources will be able to decide whether to proceed to mine, assuming a specified global uranium price has been achieved to satisfy the targeted internal rate of return and net present value return to maximise shareholder value.

Honeymoon was placed on care and maintenance in 2015, and has about A$170-million of established infrastructure in place.

In addition to the current mineral resource estimate of 43.5-million tonnes, containing about 63.3-million pounds of uranium, Honeymoon also has an exploration target of between 32-million tonnes and 78-million tonnes with grades of between 450 parts per million and 1 400 parts per million.,

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Boss Resources, tel +61 8 6143 6730 or email admin@bossresources.com.au.