Bannerman Energy has successfully placed 25.8 million shares to raise A$85 million (about N$1.04 billion) for developing the Etango-8 uranium project.
The Etango Uranium Project is in the Erongo Region of Namibia, 30 kilometres southeast of Swakopmund.
The company has sold 25.8 million shares to new and existing domestic and international institutional and sophisticated investors.
Once completed, Bannerman Energy will have cash reserves of A$100 million after costs.
The money will be used for infrastructure construction, earthworks, and general working capital until June 30, 2026.
Bannerman Energy chairperson Brandon Munro said the money will enable the company to progress the Etango-8 Project, following positive outcomes from recently announced front-end engineering and design and control budget estimation processes.
Munro said the processes confirmed the high quality of the technical evaluation design from the December 2022 definitive feasibility study.
“We have commenced detailed design work and early works construction, and the placement will enable us to advance further works, including the procurement and manufacturing of select lead items, product marketing, and project financing activities.”
Munro said.
He added that these activities are directed towards advancing Etango-8 to a targeted favourable final investment decision during the second half of 2024.
Bannerman Energy announced in early June that it had completed the Etango-8 Front-End Engineering and Design (FEED) and Control Budget Estimate (CBE) processes.
The announcement said the definitive feasibility study pre-production capital estimate at Etango-8 had increased by US$36 million from US$317.5 million to US$353.5 million.
