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Study shows Namibia uranium project restart viable

25th October 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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A prefeasibility study (PFS) into the restart of the Langer Heinrich uranium project, in Namibia, has confirmed that $80-million in capital will be required to support a 5.2-million-pound-a-year operation.

ASX-listed Paladin Energy said last week there was an opportunity to increase production to 6.5-million pounds a year through an additional high-return, discretionary capital spend of $30-million, further enhancing access to offtake and financing.

“The . . . mine is a world-class uranium asset and this study confirms Paladin’s key position as a first mover back into production in a recovering uranium market,” said CEO Scott Sullivan.

The PFS estimated that all-in sustaining costs over the mine life would be about $30/lb, with further cost improvements of about $4.50/lb achieved through significant process changes after a restart of operations.

“Achieving production of over five-million pounds at a cost of under $30/lb and with a 12-month lead time on execution were key targets of the board and executive team, and will see Langer Heinrich in an enviable position when uranium prices recover.

“This study continues to demonstrate the high quality and potential of the asset and provides a solid foundation for a confident and successful restart.”

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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