Global Atomic optimising study on Niger uranium project

30th January 2020 By: Creamer Media Reporter

Toronto-listed Global Atomic has started an optimised preliminary economic assessment (PEA) for the Dasa uranium project, in Niger, incorporating a zone which CEO Stephen Roman says has been a “game changer” for the initial Phase 1 mining plan.

“With high grades of 0.5% U3O8 we envision a small tonnage ramp access mine in the Flank zone, that will produce a meaningful amount of uranium with low capex and opex. 

"Should uranium prices improve and demand increase, the Dasa mine and processing facilities can be scaled up to generate higher throughputs,” said Roman.

The optimised PEA, by CSA Global, will be completed in the first quarter of this year and will form the basis of a final technical report, to be submitted to the Niger government in the fourth quarter in support of an application for a mining permit.

The 2018 PEA determined that Dasa, with a resource of 69-million pounds of U3O8 at 2 380 ppm, could sustain scalable production of four-million to seven-million pounds a year over a 15-year mine life.

It calculated all-in sustaining costs at $28.51/lb and put initial capital costs at $230-million, including $141-million for an on-site mill.

Uranium trades at about $24.60/lb currently.

At a $45/lb uranium price, the 2018 PEA forecasts the net present value to be $342-million and the internal rate of return to be 27%.