Dual-listed GoviEx Uranium says the results of an updated prefeasibility study (PFS) achieves key objectives set by the company to advance the Madaouela uranium project, in Niger, towards project financing and development.
The updated PFS is based on openpit mining in the early years, with capital expenditure (capex) 15% lower and operational expenditure (opex) 20% lower than previous estimates.
Owing to a captive water source, consumption is reduced by 66%.
The PFS indicates a straightforward industry standard process design, which reduces construction and operational risks.
GoviEx has already secured the mining permit and environmental certificate.
The company says there is also potential to fast-track the feasibility study this year to target rapid development.
For its next steps, GoviEx will aim to accelerate project financing and offtake options.
The company says the updated PFS succeeded in delivering a project that is technically robust and significantly simplified, reducing development and operational risk.
“We are delighted with the series of elegant engineering solutions our technical team has achieved under the leadership of our CEO Daniel Major to place the Madaouela project in pole position and to potentially bring Madaouela online as one of the first new mines developed in this exciting new uranium cycle,” says GoviEx executive chairperson Govind Friedland.
The updated PFS further indicates the technical strength of GoviEx’s main uranium project in Africa. Lower costs, lower technical risk and financing potential are the main results from this study.
The current structural deficit in the uranium market requires that new mines are developed in the near term to continue the generation of carbon-free nuclear power.
"GoviEx has taken another important step towards further developing our mining plans through completing this updated PFS,” says Major.