Deep Yellow is yet to determine how much debt it will seek to finance its Tumas uranium mine in Namibia, with Nedbank waiting for the company to settle the size of the facility before approaching lenders ahead of a final investment decision targeted for the fourth quarter of 2026.
The Australian-listed uranium developer says Tumas is being prepared for the investment decision, subject to market conditions, while project financing remains one of the key issues to be settled.
Nedbank has been appointed Mandated Lead Arranger for the Tumas financing, while an Independent Technical Expert completed initial due diligence on the project in December 2025 and found no material issues.
“Nedbank Limited, the Mandated Lead Arranger for the Tumas project financing, is now waiting on Deep Yellow to confirm a debt facility size before going to market,” Deep Yellow said in its 2026 annual report.
The financing requirement comes against a sizeable capital bill to develop Tumas.
Deep Yellow’s 2025 definitive feasibility study estimated pre-production capital at US$474 million, although that figure is being updated as the company prepares for FID.
The company said the project execution schedule, capital estimate, mining schedule and financial model continue to be updated as improved information becomes available.
Its most recent market updates for capital and operating costs were expressed in 2024 real terms and are now being updated to reflect current market conditions.
Deep Yellow ended June 2026 debt-free with A$159.6 million in cash and cash equivalents, down from A$217.4 million a year earlier.
The company acknowledges that its existing funding is not sufficient to develop both Tumas in Namibia and its Mulga Rock uranium project in Australia.
“The Company does not currently have adequate funding available to develop the Tumas Project or the Mulga Rock Project and will be required to access capital markets,” Deep Yellow said.
The company says its ability to meet future funding requirements depends on raising equity, debt, or other external capital because it does not currently generate sufficient operating cash flows to meet those requirements.
Deep Yellow has not disclosed in the annual report how much of the Tumas development cost it intends to finance through debt, how much could come from its existing cash reserves, or whether it will raise additional equity specifically for the Namibian project.
The Board’s decision on Tumas will, however, not depend on financing alone.
Deep Yellow says the Board will consider uranium market conditions, project economics, capital and operating costs, financing availability, customer offtake arrangements, project readiness, regulatory approvals and broader macroeconomic and geopolitical conditions before committing to full development.
The company previously delayed the investment decision rather than commit Tumas to construction under market conditions it considered insufficient to capture the project’s value.
Chairman Chris Salisbury said in the annual report that the strengthening uranium market during the 2026 financial year supported the Board’s decision to delay the Tumas FID so shareholders could receive full value for the company’s uranium resources.
Meanwhile, Deep Yellow has continued spending on Tumas and undertaking early works while preparing the project for a possible investment decision.
Bulk earthworks were completed by the end of June, detailed engineering had reached 79%, and the 3D engineering model was 81% complete.
More than 76% of major process plant equipment had been tendered, and most long-lead equipment packages had been awarded, while civil and concrete works commenced in August.
Deep Yellow continues to anticipate a Tumas final investment decision in the fourth quarter of 2026, subject to market conditions.
