ASX-listed C29 Metals on Wednesday announced the acquisition of a high-grade uranium project in Kazakhstan, positioning the company as a potential key player in the global uranium market.
The Ulytau project, located near Lake Balkhash near the Bota-Burum mine, has a non-Joint Ore Reserve Committee resource estimate of 9.85-million pounds of uranium at 2 790 parts per million.
Nonexecutive chairperson David Lees said the project represented a “substantial opportunity” for the company at a time when the industry was experiencing supply pressures.
“Over 2024, we aim to create shareholder value as execute a systematic exploration programme with drilling expected to commence in the third quarter of 2023, dependent on approvals,” said Lees.
The project has demonstrated oustanding drilling intersects, with multiple results showing uranium concentrations greater than 6 000 ppm uranium oxide over 40 m, starting just 3 m below the surface.
C29 also believes the project has significant expansion potential, with the deposit appearing to be open in most directors.
Meanwhile, the company announced key leadership changes with Jeremy King stepping down as executive director and Shannon Green joining as MD.
Kazakhstan is recognised as the world’s biggest and most cost-effective uranium producer.