ASX/NSX-listed Bannerman Resources has advised that the section 232 trade investigation into uranium imports into the United States has been resolved with a clear and positive decision by President Trump.
Bannerman’s CEO, Brandon Munro, says:
“We welcome the strong and decisive resolution of the section 232 trade investigation, which has been a distraction to the sector for 18 months.
“This no trade action outcome maintains open access to the US uranium market and is particularly positive for non-US uranium companies.
“With a renewed focus on supply diversity and geo-political risk, Bannerman is particularly well positioned with its Etango Project situated in Namibia, a premier uranium development jurisdiction with good bi-lateral relations with all major consumption markets, including the US, China, Russia and France.
“Bannerman is set to benefit from renewed market activity, with an advanced project of world-class scale in a premier jurisdiction and robust cash balance.”
- Positive section 232 decision announced on 12 July.
- President Trump decided to take no trade action, rejecting quota requiring US utilities to procure 25% of uranium from domestic US sources.
- Highly positive outcome for the sector and non-US companies, as it alleviates concerns that a quota, tariff or other trade action would be imposed.
- Certainty generated by section 232 resolution is expected to increase market activity, which has been suppressed since January 2018.
- New US Nuclear Fuel Working Group established as part of s232 decision.
- Lays the foundation for further positive outcomes as the Working Group is directed to “reinvigorate the entire nuclear fuel supply chain”.
- Bannerman’s Etango Project well positioned to benefit.
- Advanced project with world-class scale leveraged to increases in uranium price.
- Namibia ideal jurisdiction for uranium development as geo-political risk and need for supply diversity becomes more acute.