Deep Yellow makes progress
Prospective uranium producer has been making progress with its envisaged mining projects despite a slump in the uranium price, having completed amongst others a preliminary economic analysis of its flagship Omahola project as well as preliminary technical and economic trade off studies for its Tubas Sands project.
The outfit also reported positive feedback resulting from test work centred around Marenica’s U-pgrade processing technology for the quarter ended June 2014.
An in-house preliminary economic analysis of the Omahola project indicated benefits arising from developing the project as a heap leach operation. A metallurgical test work program will thus not be carried out in the interim.
Omahola’s declared resource estimate has also been re-defined at a lower cut-off grade, likely to be in the region of 100 parts per million uranium oxide against the current 250 parts per million uranium oxide. Deep Yellow also found that deeper drilling at its MS7 deposit would be economically justified. DRA Mineral Projects completed a preliminary techno-economic trade-off study for the Tubas Sands project. Various operating strategies were evaluated with the option to sell a sand concentrate to an existing Namibian operator found to be the most preferred in the short-term.
Deep Yellow reported that the option for Tubas to incorporate into Omahola project remained an option in the longer term. Further probing of the Tubas Sands project is planned, dependent on funding and market conditions of which results are expected towards the end of 2015 while an offtaker is being sought.
Experimental work was conducted based on Marenica’s U-pgrade processing technology using ore samples obtained from the Tubas Sands project. Deep Yellow reported that while encouraging results were obtained stemming from the trial, results were not conclusive with further test work expected.