Bannerman advances Etango project
N$1 billion in equity raised
Bannerman says the completion of detailed designs regarding its Etango project will help advance the project.
Bannerman Energy reported strong progress during the quarter, including the completion of front-end engineering and design (FEED) and control budget estimate (CBE) processes for the Etango-8 project, and the successful raising of A$85 million (N$1 billion) in new equity to fund early works and long-lead items. These advancements, along with the commencement of detailed design and early works construction, position Bannerman well as it targets a positive final investment decision (FID) during the second half of 2024.
CEO Brendon Munro said the completion of the FEED and CBE processes allow the Etango project to advance.
"We steadily built project momentum throughout the June quarter, further positioning Bannerman as a forerunner among the small group of companies in advanced development of uranium mines globally. The completion of FEED and CBE processes this quarter represents a significant milestone in the derisking and advancement of the Etango-8 project,” he said.
The company’s ability to raise money on the equity markets would allow it to progress with detailed design and early works construction, Munro noted.
“Our successful capital raise strengthens our financial position, enabling us to progress with detailed design and early works construction. We remain focused on achieving a positive FID later this year, leveraging an improving market outlook for uranium and the underlying quality of the Etango resource to meet growing demand."
Bannerman previously said to fully develop its Etango mining uranium project will require upwards of N$6 billion.
The company is now in the process of a capital raise to fund the construction and development costs of its Etango project, which it plans to start developing this year.