Rössing eyes operation beyond 2036

Tuesday, 25 June 2024

The company provided an update on 2023 production as it officially launched its 2023 Sustainability and Performance Report, on 18 June.

"Rössing Uranium has been a feature of the Namibian economy for close to 48 years and is therefore well versed in the nation's mining business making significant contributions to the development of Namibia," Managing Director Johan Coetzee said.

Rössing produced 6.4 million pounds U3O8 (2462 tU) in 2023 and sold 6.9 million pounds U3O8. Around 1.8 million pounds were shipped to western converters and sold to customers in North America, Asia (excluding China) and Europe, Middle East and Africa; 3.7 million pounds were shipped and sold to China. An additional 1.4 million pounds were sold to non-utility customers (traders and funds) on the spot market, capitalising on the sudden price spike during the year. The company said it has benefited from spot market prices under its sales agreement with China National Nuclear Corporation, of which its majority shareholder China National Uranium Corporation is a subsidiary.

In February 2023, Rössing Uranium's board approved extending the operating life of the mine until 2036. A 13-year contract was signed with Beifang Mining to commence with a full contract mining service from 2024 to 2036, and the first blast was taken in the new Phase 4 pushback, ahead of schedule, on 21 December 2023. The Rössing infrastructure and processing plant are also being upgraded, including the construction of a 15 MWe photovoltaic solar power plant, as well as expansion of the tailings storage facility to accommodate ten years of additional tailings from ore processing. The solar plant is targeting completion by the end of 2024, and the tailing expansion by the end of 2025.

Funds have also been allocated for two feasibility studies - both to include the construction of pilot plants - for dewatering of the tailings stream to a higher density (thickened) tailings and for onsite treatment of plant solutions to reduce freshwater consumption. Both studies involve the construction of pilot plants. These studies are targeting completion by the end of this year, to inform an investment decision for full-scale execution by the end of 2026.

"Rössing’s long-term strategy is now focused on identifying an economic pathway for achieving higher production rates from new sources of ore, and extending the LoME [Life of Mine extension] beyond 2036," the company said. "The potential for further expansion of the current SJ Pit is limited and the focus is therefore on development of a new open pit within the mining lease (ML28). The objective is to commence before 2030 and supplement feed from the SJ Pit to achieve higher production rates."

"2024 will be another important year for Rössing Uranium as we begin with substantial pushback work for the Phase 4 extension, while evaluating new opportunities that could potentially extend the life-of-mine beyond 2036," Coetzee said.