Niger – CSE-listed uranium junior GoviEx Uranium has filed its mining permit application for its Madaouela uranium project in the Arlit uranium-mining district of northern Niger with the government of Niger.
“Filing the mining permit application is a key step in the mine development process,” says Daniel Major, GoviEx’s CEO.
“We are maintaining a bullish long-term view for nuclear reactor builds as part of the solution required to combat global air pollution, particularly in Asia, and the Madaouela project has the potential to supply the market when market conditions improve.”
GoviEx Uranium hopes to start construction of its USD$340 million Madaouela uranium mine and plant in north Niger (located on one of its seven licences – Madaouela I) sometime between 2016/2017, ideally positioning it to benefit from predicted higher uranium prices when production starts.
“Our initial focus (based on current reserves and resources) aims at mining 4 020 tpd (ROM) to produce approximately 2.5 Mlbpa of uranium oxide (U3O8) for between 18 and 20 years. And we have focused extensively on ensuring a viable and robust project with a cash cost forecast of just $26.39/lb,” says Major.
The mine will be a combination of open pit/underground (room and pillar) mining operation, ranging in depth from 30 m to 130 m. Underground comprises a 1 m-thick, flat-lying ore body. “A pancake flat ore body is easy mining – once you’re in the ore body, you can mine in 360 degrees,” Major notes.
Marianne and Marilyn, which are the biggest of the deposits with nearly half the total resource, stretches 7 km in length and 3 km in width but is still open in many directions.
Madaouela offers an attractive resource grade as well – by comparison with its peer uranium mines in Africa. “Our resource grade is 0.14% which only seems low until compared to operations such as Rossing’s 0.03% or Langer Heinrich’s 0.05%.”