- 01Etango JV approves final investment decision, clearing the way for full construction.
- 02Funding is in place, with no project debt planned.
- 03First production targets 2028; output forecast at 3.5 million lb uranium oxide a year.
Bannerman Energy (ASX: BMN) has moved its Etango uranium project in Namibia into the next stage of development after its joint venture approved a positive final investment decision for the mine.
The decision clears the way for full-scale construction over the coming months, following an extensive early works program at the project in the Erongo region.
Commissioning and first yellowcake production are targeted for 2028 under the Etango-8 development plan, which forecasts average annual output of about 3.5 million pounds of uranium oxide.
Beyond the Etango-8 production case, a March 2024 scoping study identified potential expansion to 6.7 million pounds of uranium oxide annually, although that higher-output scenario is separate from the development plan now approved.
Construction Funding in Place
Forecast pre-production capital expenditure stands at approximately US$353 million, with an estimated accuracy range of plus or minus 10%, and about US$64m already incurred through early works as at 30 September.
The remaining forecast construction expenditure is covered by approximately US$295m held by the Etango JV at that date, excluding funds held in its Namibian subsidiary.
Bannerman separately held approximately A$175m in cash at 30 September, excluding JV funds, which it expects will fully cover its remaining share of working capital through construction, ramp-up and targeted commercial production.
The JV expects to call on Bannerman for that working capital only after most of the existing JV cash has been spent, allowing the development to proceed without project debt under the current funding plan.
Construction Transition
Bulk earthworks are substantially complete, detailed design is well advanced and supporting infrastructure has either been finished or substantially progressed.
"Etango is set to be a long-life, large-scale producer in Namibia's Erongo region, a highly established uranium province, at a time when the world's utilities increasingly need secure, diversified supply,” chief executive officer Gavin Chamberlain said.
"Beyond the base case of 3.5 Mlbs U3O8 per annum, Etango offers clear expansion potential, giving Bannerman shareholders outstanding leverage to long-term uranium market fundamentals, [and] we look forward to constructing and operating a mine that creates lasting value for Namibia and for all our stakeholders for decades to come.”
The project received its mining licence in December 2023 and early construction activities began in January 2024, laying the groundwork for the newly approved full construction phase.
The Etango-8 development is based on conventional open-pit mining and heap leach processing at a planned throughput of eight million tonnes per annum, with its underlying feasibility assumptions remaining materially unchanged.
Expanded Leadership Group
Bannerman has appointed Danie van Aswegen chief executive officer of Bannerman Mining Resources Namibia as preparations move from early works into mine construction.
Mr Van Aswegen has served as Bannerman’s Namibia chief operating officer since October 2025 and brings more than 25 years of mining industry experience, including project delivery and technology development roles at Debmarine Namibia.
His appointment strengthens Bannerman’s Namibia-based construction leadership alongside Mr Chamberlain, who previously directed development of the US$2 billion Husab uranium project in the same country.
Bannerman holds 55% of the Etango Joint Venture, alongside CNNC Overseas with 45%, while the JV owns 95% of the Etango project.
Get the wire before the market opens.
The ASX small-cap stories that matter, filed before 9am AEST. Curated by the Small Caps desk.