ASX-listed mineral exploration and development company Marenica Energy has purchased the Mile 72 uranium project in Namibia.
Namibia – Marenica Energy acquired the project (EPL3308) from ASX-listed exploration company Metals Australia.
The 2 692 ha Mile 72 project is located in the world class Erongo uranium province in Namibia – which includes the Rossing uranium mine now in its 41st year of operation and the Langer Heinrich and Husab mines.
The project is also located within 100 km of the Marenica Energy’s flagship Marenica uranium project and only 30 km from the coastal town of Henties Bay.
Past exploration trenching indicates uranium mineralisation over 12 km and 2 km wide. The mineralisation at Mile 72 is calcrete hosted, very similar to the Marenica project, Langer Heinrich project (Paladin) and Tumas (Deep Yellow) deposits, all in Namibia.
Past testwork on these projects has confirmed the amenability of Marenica Energy’s proprietary U-pgrade uranium beneficiation process and indicated that the U-pgrade process potentially reduces the project development costs by about 50% and the operating costs by about 50%.
It is expected that the Mile 72 calcrete mineralisation will respond to U-pgrade the same as all other Namibian calcrete deposits tested and produce a low mass concentrate for leaching.
Namibia has a stable, supportive mining culture with excellent infrastructure. The acquisition of Mile 72 strengthens Marenica’s position in this uranium province.
“We are excited about the acquisition of Mile 72 as we build a portfolio of uranium assets at the bottom of the uranium price cycle, assets in which our proprietary U-pgrade process is expected to add significant value,” says Marenica Energy MD Murray Hill.
“Mile 72 has been underexplored for calcrete uranium mineralisation and presents a great opportunity for the company to potentially delineate a high-grade resource, in a world class uranium province,” he adds.
Marenica will pay A$30 000 cash, plus a preferential dividend of 1% of gross production from the project. The agreement to purchase is subject to obtaining any regulatory approvals that will be required in Australia or Namibia.
Metals Australia has completed several exploration programmes since 2007, the latest of which was in 2014. The first stage for Marenica will be data validation of all available exploration data.