Name of the Project
Salamanca uranium project.

Location
Spain.

Project Owner/s
Berkeley Energia.

Project Description
Salamanca has an overall mineral resource estimate of 89.3-million pounds of uranium. The project is based solely on measured and indicated resources totalling 59.8-million pounds.

An independent study has confirmed the project as one of the world’s lowest-cost producers capable of generating strong after-tax cash flow through the current low point in the uranium price cycle.

The study is based on extracting 61.3-million tonnes of ore at an average grade of 408 parts per million (ppm) uranium to produce 48.6-million pounds of uranium.

The study envisages an initial mine life of 14 years, producing on average 3.5-million pounds of uranium a year. After initial ramp-up, production will average 4.4-million pounds a year over ten years of steady-state operation.

Potential Job Creation
In addition to the creation of 450 direct jobs when the project is in full production, up to 2 000 indirect jobs will be created in the community.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at an 8% discount rate, of $531.9-million and an internal rate of return of 60%.

Capital Expenditure
€82.3-million.

Planned Start/End Date
Not stated.

Latest Developments
Berkeley Energia is one permit away from starting full construction of the Salamanca project.

The municipality of Retortillo has granted its urbanism licence, which is the land-use permit needed for construction works.

The authorisation for construction for the uranium concentrate plant as a radioactive facility (NSC II) is now the only pending approval required to start full construction of the mine, Berkeley has said.

In late March, the company submitted updated official documentation pertaining to the NSC II and has since held a number of meetings with the Nuclear Safety Council’s (NSC’s) technical team.

Berkeley is preparing written responses to some queries of the NSC team and will complete this task in the coming weeks. Following submission of the written responses, the next step in the process will be for the technical team to finalise its report and submit it to the NSC board for ratification.

In July, the NSC issued a favourable report for the extension of the validity of the initial authorisation for the uranium concentrate plant as a radioactive facility (NSC I). NSC I was granted in September 2015, with a five-year validity period.

The Ministry for Ecological Transition and the Demographic Challenge has to approve the authorisation and set its duration period.

Key Contracts and Suppliers
Iberdrola (rerouting of main power line) and Amec Foster Wheeler Group (FEED) and Sandvik Group (primary crusher).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Berkeley Energia, tel +44 207 478 3900 or fax +44 207 434 4450.