Bannerman Energy’s total exploration and development expenditure for the March 2025 quarter was about N$139 million (A$11.7 million), primarily directed towards detailed design and early construction works for the Etango mine.
The Etango Uranium Project in the Erongo Region, 30 kilometres south-east of Swakopmund, possesses a world-class uranium mineral resource endowment of 207 Mlbs of contained U3O8 (100ppm U308 cut-off).
The project has benefited from extensive exploration and feasibility activity over the past 15 years.
This includes detailed feasibility work on a large-scale development of Etango that culminated in the 2012 Definitive Feasibility Study (DFS 2012) and 2015 DFS Optimisation Study (OS 2015).
The strong cash balance has enabled Bannerman Energy to fund early construction works, including the construction water supply, access roads, initial site infrastructure, bulk earthworks and long-lead items such as the High-Pressure Grinding Rolls tertiary crusher.
The key elements of these works include the construction of all the permanent 33kV overhead powerlines on the Etango site and the temporary connection to the local electrical distributor in the Erongo Region.
Bannerman Energy has erected all pole infrastructure for the main line across the Etango site while the installation of the conductor stringing and the 22/33kV transformer is ongoing.
Work on areas where the power infrastructure crosses roads is currently progressing.
The manufacture of the High-Pressure Grinding Rolls (HPGR) tertiary crusher, which started in May 2024, remains ahead of schedule with a delivery forecast for the end of 2025.
Bannerman Energy says it has received and accepted the commercial proposal for the permanent operational power supply to the Etango site from NamPower.
Under the proposed arrangement, Bannerman Energy will source power from the 220 kV national grid via NamPower’s Kuiseb substation.
A draft supply agreement is now under commercial and legal review.
Bannerman Energy has also received and reviewed a draft site lease agreement for Walvis Bay port’s proposed acid storage and import/export facility.
The agreement is now under final review by Namport, which has approved Bannerman’s proposal to lease the site.
The associated Environmental and Social Impact Assessment process is currently in progress.
The Walvis Bay facility is intended to support Etango’s sulphuric acid requirements by enabling both local supply and international imports.
An existing Memorandum of Understanding with a local supplier provides acid transport to the port facility, from where it will be trucked to the Etango site.
The facility will also be configured to receive and handle imported sulphuric acid from international sources.
The company has finalised the detailed structural calculations for concrete and steel requirements for the dry process plant.
It says detailed modelling and Issued for Construction (IFC) drawings for the concrete are progressing on schedule, while the plant piping and electrical layout configurations are now final.
Bannerman Energy executive chairman Brandon Munro says despite being at a highly advanced stage concerning all key workstreams, they do not see the appropriate market conditions to warrant finalising offtake and financing arrangements concerning the development of Etango.
Munro says they remain optimistic about the potential for a recovery in broader uranium trading conditions and suitable utility contracting appetite through the second half of 2025.
“Accordingly, we continue to target a positive FID on Etango during 2025, market conditions permitting of course,” he says.
According to Munro, the company’s strong balance sheet and gated approach to project development means they can comfortably progress the early construction works program, putting the company in a stronger position to finalise suitable offtake and financing agreements when right.
*Rate A$1=N$11,86
