Equipment arrives at Niger mine as government support continues

Monday, 7 October 2024

More than 1200 metres of mine development have now been completed, and some 10,000 tonnes of development ore has been brought to the surface. The mineralised material is being segrated into low, medium and high-grade stockpiles, which will be used for plant commissioning, targeted for late 2025. The ramp to the ore body has been fully paved and the next phase of underground development is now under way. The mine's ventilation system is being expanded to support further mine development, with the boring of a main fresh air raise now more than 90% complete.

Earthworks for the acid plant are nearing completion, and the plant equipment is beginning to arrive at site, having been shipped via Nigeria. The company has shared a video of the final major components of the acid plant, manufactured in India, being prepared for shipment.

With some 450 employees and contractors now on site, the camp at Dasa is being expanded in phases as the workforce grows. The mine development team operates under the SOMIDA banner: SOMIDA (Société Minière de DASA SA) is a partnership between the Republic of Niger and Global Atomic Corporation. The workforce is expected to reach 900 during the height of construction next year.

Global Atomic President and CEO Stephen Roman said the project was making "excellent" progress. "Recent high-level inter-government discussions about the re-opening of the Niger/Benin border have been positive and we are hopeful for a near-term resolution," he said. "In addition, as the Niger Government is keen on supporting new projects in the country, a committee with representatives from several key government ministries is being formed to expedite the resolution of any outstanding issues that may arise relating to mining, finance, transportation and labour within Niger."

He added that, while attending the World Nuclear Association Symposium in London in September, "we held successful update meetings with numerous utilities from across the globe which resulted in the initiation of several active contract discussions for Yellowcake supply from the Dasa Project".

Debt financing discussions with a US development bank are progressing with confirmation of the approval schedule expected in October 2024, with the bank voicing its "intention to approve a debt facility for USD295 million". Global Atomic says this will cover 60% of the planned project costs. The company is also in discussions with parties regarding potential joint venture investment and other financing solutions, it said.

Dasa is scheduled to achieve commercial production in early 2026 and is currently projected to produce 68.1 million pounds U3O8 (26,194 tU) over a 23-year period, based on a throughput of 1,000 tonnes per day. The processing plant has been designed to handle up to 1,200 tonnes per day, and an updated mine plan with higher production rates is scheduled for completion during the current quarter.

Earlier this year the government of Niger - which has undergone a change of leadership since a coup d'etat in July 2023 - withdrew GoviEx Uranium's mining rights for the Madouela uranium project and Orano's operating permit for its Imouraren uranium mine.