Second Western utility expresses interest in Dasa uranium – Global Atomic
Canada’s Global Atomic has received a letter of intent (LoI) from a second major western utility for the procurement of 2.4-million pounds of triuranium octoxide (U3O8) from the Dasa project, in Niger.
The contract has a revenue potential of $140-million and will begin in 2025, the company reported on Wednesday.
In June, a North American utility submitted a LoI for the procurement of 2.1-million pounds of U3O8, with a revenue potential of $110-million.
Dasa will recover 45.4-million pounds of U3O8 over 12 years in its initial phase.
"It is becoming clear that the unprecedented geopolitical situation heightens the need for geographical diversity of economic nuclear fuel supply," said president and CEO Stephen Roman.
Utilities are seeking to diversify away from securing nuclear fuel from Russia, after Moscow’s invasion of Ukraine in late February. Should western powers sanction Russian uranium supply, an additional 10 000 t of supply would be needed, Financial Times reported this week, citing an official from the world’s biggest uranium miner, Kazatomprom.
Further, Roman said the landscape for nuclear power was “extremely buoyant” as the drive for energy independence supplemented the global push for low-carbon baseload power.
Phase 1 of Dasa, which represents less than 20% of the deposit’s mineralisation, will produce 3.8-million pounds a year of U3O8, at an all-in sustaining cost of $21.93/lb.
Global Atomic recently entered the engineering, procurement and construction management phase at Dasa, where underground mining is set to begin next month.
The feasibility study showed that Dasa is economically compelling, even at a price of $35/lb. The price of U3O8 breached $50/lb in August and some predictions are that it will surge to $70/lb next year.
Comments
The
functionality
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation