Direct economic value generated and distributed in Namibia for the year 2023 by Bannerman Energy amounted to nearly N$29 million, the miner revealed recently.
Of this, the biggest spend went to goods and services acquired from Namibian suppliers which totalled approximately N$17 million. This was closely followed by employee costs amounting to N$10 million and social investments of about N$818 000. The company also spent N$429 000 on compliance costs and government duties of suppliers.
In the previous year (2022), Bannerman spent N$22 million on the Namibian economy while in 2021; the company spent N$14.3 million.
Bannerman is developing the Etango project which is one of only a handful of uranium projects globally that is virtually ready for implementation.
The Etango Uranium Project is located in the Erongo Region of Namibia, 30 kilometres south-east of Swakopmund. It possesses a World class uranium Mineral Resource endowment of 207 Mlbs of contained U3O8 (100ppm U308 cut-off).
Etango has benefited from extensive exploration and feasibility activity over the past 15 years. This includes detailed feasibility work on a large-scale development of Etango that culminated in the 2012 Definitive Feasibility Study (DFS 2012) and 2015 DFS Optimisation Study (OS 2015). As part of these processes, we have obtained environmental permitting for the proposed Etango mine (2012) and all associated external infrastructure (2014).
SUSTAINABILITY
In its latest sustainability report, Brandon Munro, Managing Director of Bannerman Energy said that for over 15 years, Bannerman has been committed to Namibia and to upholding outstanding corporate conduct as a guest in our host nation.
“I am proud that Bannerman has diligently managed our project from its first drill holes in 2006, through definitive feasibility studies, to the large and long-life uranium mine that we are seeking to finance and construct in the near future.
“It is widely recognised that nuclear power plays a crucial role in addressing the dual challenges of climate change and enabling a prosperous and dignified future for all people. The Bannerman team is proud to contribute to the global solution while enhancing local benefits and mitigating detriments through our sustainable practices,” he said.
He went on to say they believe that responsible uranium production practices are critical to the future of our industry and to the communities in which we operate.
“We have a long-standing commitment to the environment and are dedicated to establishing the highest environmental standards for all aspects of our operations. Currently in the planning stages for our uranium mine, we aim to develop the most stringent policies and procedures as we move closer to the construction and operation phases. We are committed to ensuring that our operations are sustainable and minimise environmental impacts, from exploration to decommissioning, and beyond.
“We have built our organisational culture around our social leadership in the supply of raw materials for emissions-free power, predominantly uranium. We believe that our business drivers will maintain our social license and secure the future of Bannerman in exploring, developing, operating, and closing mining projects. As a part of this, we rely on the consent of stakeholders, particularly our Communities of Interest, to be successful. This has led us to enhance our ESG contributions in Namibia by establishing decade-long environmental baselines, engaging key stakeholders, supporting community development, and maintaining constructive dialogue within our industry.”
INVESTMENT
As previously reported by Business Express, Bannerman Energy is hoping to take a final investment decision on its Etango project, in Namibia, in the first half of next year.
The company also recently said overall front-end engineering design activities for the Etango project were progressing to plan and on budget, and that all environmental clearance certificates and national heritage consent had been received, with the project now fully permitted.
“I am very pleased with the current progress of our project activities on Etango. The outstanding team we have at Bannerman is ensuring that this world-class project is maximally prepared for strong, low-risk execution upon targeted transition to the development phase,” said Munro.
The company has also started the early phases for the financing process, and is evaluating a number of funding options including conventional project debt, potential off-take, and joint venture opportunities.
A 2022 definitive feasibility study (DFS) estimated that, based on a nameplate capacity of eight-million tonnes a year, the Etango project is expected to have a mine life of 15 years, producing 52.6-million pounds of uranium oxide, averaging 3.5-million pounds a year.
The DFS estimated a pre-production capital expenditure of $317-million, up from the $274-million estimated in the 2021 prefeasibility study (PFS), while all-in sustaining costs for the project have dropped from the $40.3/lb estimated in the PFS to $38.10/lb.
The project’s net present value is now estimated at $209-million, down from the $222-million estimated in 2021, while the internal rate of return has also decreased from 20.3% to 17%.
The DFS was based on a uranium price of $65/lb.
Leave a Reply