ASX-listed Atomic Eagle has agreed terms of a mining convention with Niger to re-establish its interest in the Madaouela uranium project, which hosts a mineral resource of 116.5-million pounds of triuranium octoxide (U₃O₈).

The addition of the Madaouela project, alongside a 58.8-million-pound U₃O₈ Joint Ore Reserves Committee (Jorc) mineral resource at the company’s flagship Muntanga project, in Zambia, establishes a dual-asset uranium development platform with materially increased scale and portfolio depth.

Supported by extensive historical drilling and prior technical studies, Madaouela provides a good foundation for further evaluation and optimisation, while increasing the company’s flexibility to pursue a range of development, funding and strategic pathways, it avers.

Under the terms of a new Mining Convention, a new exploitation permit has been granted to Madaouela Mining Company (Mamico), with Atomic Eagle holding a 60% interest and operational control and the State a 40% interest (15% free carried plus 25% contributing).

The mining convention contains strong contractual protections including legal and tax stabilisation provisions and clarification on project offtake arrangements.

Madaouela is supported by about 600 000 m of historical drilling, with GoviEx – a subsidiary of Atomic Eagle – having invested about $160-million, providing a good technical foundation.

Madaouela resource verification and technical optimisation has started, with a Jorc mineral resource expected this year.

Muntanga remains Atomic Eagle’s flagship development asset and primary focus, with Madaouela providing additional scale and strategic flexibility.

“Reestablishing our interest in Madaouela represents a transformational outcome for Atomic Eagle significantly increasing our resource base and adding a second advanced uranium project to our project portfolio.

“Madaouela is a large, high-grade uranium asset supported by an extensive body of historical work and we see clear opportunities to further define and optimise the project’s development potential,” says Atomic Eagle CEO Phil Hoskins.

“This agreement has been achieved through constructive engagement with the government of Niger and delivers a strong, commercially balanced outcome following a period of dispute. I would like to thank Niger’s Minister of Mines, His Excellency Colonel-Commissioner Abarchi Ousmane and his team for sharing our commitment to finding a mutually beneficial solution to the historical dispute,” Hoskins adds.