The company, headed by former Gold Fields executive John Munro, was created through the sale of certain of Harmony’s uranium and gold assets.
Harmony said that a capital expenditure of R2,3-billion on the West Rand would create major employment and business opportunities.
It would have to build a uranium plant with a throughput of 500 000 t/m and a new dump site at an estimated cost of R1,7-billion.
The venture was expected to produce 2,2-million pounds a year of uranium at a cash cost of between $30/lb and $35/lb, excluding gold production coming from the tailings operations.
This level of production would establish Rand Uranium as the ninth-biggest uranium producer in the world, accounting for 2% of world production, behind uranium One.
PRF and Harmony jointly hold Rand Uranium, the result of a $420-million transaction between the two companies in December last year. PRF has a 60% stake and Harmony a 40% shareholding.