PERTH (miningweekly.com) – Uranium developer Boss Energy is poised to make a final investment decision (FID) on its Honeymoon uranium project, in South Australia, after front-end engineering design (FEED) studies confirmed the project’s cost estimates.
Boss on Thursday told shareholders that the FEED had confirmed a capital cost of A$113-million for the project.
Boss MD Duncan Craib said the FEED provided more strong evidence of the outstanding outlook for Honeymoon.
“The planets are aligning perfectly for Boss and Honeymoon in every respect. The FEED shows Honeymoon’s costs are in line with the forecasts contained in last year’s enhanced feasibility study, which is a superb outcome given the wider inflationary environment.
“It also confirms that production is projected to meet our targeted levels,” said Craib.
“These key findings come against a backdrop of significant increases in the uranium price and an exceptionally strong supply:demand outlook.
“Our recently announced A$125-million equity raising, combined with the value of our strategic uranium inventory, means we are fully funded through to production and cashflow.
“All these highly favourable factors have laid exceptional foundations for us to make a final investment decision in coming weeks, ensuring Boss will be Australia’s next uranium producer.”
An FID on Honeymoon is due on the completion of the second tranche of Boss’ A$125-million share placement, which is expected to settle following a shareholder vote in late April.