Deep Yellow Limited has reported substantial progress across its Namibian operations for the September 2025 quarter, with the flagship Tumas Uranium Project moving steadily toward its targeted first production in the third quarter of 2027.
The company said detailed engineering, power and water infrastructure planning, and site preparation are advancing according to schedule, further de-risking what will become Namibia’s next producing uranium mine.
Key areas of focus during the quarter included the finalisation of process plant design, completion of major off-site infrastructure plans, and the commencement of bulk earthworks at the Tumas site.
Deep Yellow confirmed that engineering design for the process plant is now more than 60% complete, with all major equipment orders placed and the 3D engineering model well advanced.
The company is also updating its capital estimates, project schedule, and financial model as data from various workstreams becomes available.
Bulk earthworks began during the quarter in preparation for civil works, which are expected to start early in 2026. Temporary site facilities, including access roads, construction water supply, offices, and communication systems, have been established.
Meanwhile, negotiations with NamPower and NamWater over long-term supply agreements are progressing, although taking longer than expected due to the need to align infrastructure timelines with project milestones.
Tenders for the design and installation of a water supply pipeline, overhead powerline, and solar farm have been received and are currently under evaluation.
Operational readiness planning has also commenced to ensure a smooth transition from construction to commissioning and ramp-up.
Deep Yellow said this preparatory work will be crucial for achieving a seamless move into production once the plant is completed.
Drilling and sampling programs to support project development also continued during the period. In early July, eight reverse circulation holes totalling 360 metres were drilled to define geology and hydrogeology for a planned below-ground raw water storage facility.
Initial pump tests indicated low water flow within the granite host rock, and results are being assessed by consulting engineers for geotechnical evaluation.
The company continues to work closely with Nedbank, its Mandated Lead Arranger, on project debt financing for Tumas.
A draft report from the Independent Technical Expert was received in October, and finalisation of the documentation is well advanced.
After quarter-end, Deep Yellow announced the completion of an exploration drilling campaign at the S-Bend prospect, located within Exclusive Prospecting Licence 3497 adjacent to Mining Licence 237 in Namibia’s Erongo Region.
The program, which comprised 452 shallow reverse circulation holes for a total of 3,361 metres, identified four clusters of higher-grade uranium mineralisation considered worthy of follow-up work to expand the Tumas resource base.
Best intersections from the program include 8 metres at 332 parts per million (ppm) eU₃O₈ from 1 metre in hole SB0247 and 2 metres at 1,217 ppm eU₃O₈ from surface in hole SB0560.
The company said these findings underline the strong potential to add further mineralisation to the existing Tumas resource and extend the current 30-year life of mine.
Deep Yellow ended the quarter with a cash balance of A$203.5 million, providing it with the financial flexibility to sustain construction, exploration, and project financing efforts simultaneously.
The company also noted that uranium market fundamentals remain favourable, with persistent global supply deficits expected to drive prices higher over the medium term.
This view aligns with the World Nuclear Association’s bi-annual market study released in September 2025, which forecasts growing demand for nuclear fuel amid limited new production capacity.
On the corporate front, long-serving managing director John Borshoff stepped down from his executive role on 20 October 2025, with the process to appoint a new chief executive now underway. Deep Yellow’s Annual General Meeting will be held on 20 November 2025.
The company said its immediate focus remains on finalising Tumas’ detailed design, completing power and water agreements, and advancing site works in readiness for construction.
At the same time, exploration success at the S-Bend prospect highlights the continued potential for resource growth and further life-of-mine expansion at Namibia’s subsequent significant uranium development.
