Boss Energy’s (ASX: BOE) enhanced feasibility study is now 75% complete for its proposed Honeymoon uranium mine in South Australia, with the study scheduled for delivery in the June quarter.
The company noted work on the process design includes using ion exchange (IX) columns, rather than the plant’s existing pulsed columns.
Boss’ strategy to change-out the pulsed column with IX ones is to “deliver significant reductions” in operating costs.
Process design work is also evaluating the staged expansion of IX capacity to boost the plant’s nameplate capacity to 2.45 million pounds per annum.
Other process work involves optimising reagent costs as well as removing the requirement to heat the IX eluant, which can lower operating and capital costs.
Commenting on the study results to-date, Boss managing director Duncan Craib said the work continued to improve the positive outlook for Honeymoon.
“As we move to finalisation and announcement of the enhanced feasibility study, we are growing even more confident in the economic and technical strength of Honeymoon – with the added benefit of an improving uranium market.”
“The enhanced feasibility study should further articulate Honeymoon’s potential to become Australia’s next uranium producer and allow detailed financial modelling to facilitate project finance evaluation.”
Mr Craib added the enhanced facility study would be a “defining event” for the company as it advances the project towards development.
Boss is scheduled to receive a draft of the enhanced feasibility study in May along with associated financial modelling.
The company will analyse and review the information with the final study to be released shortly thereafter.
Meanwhile, exploration work is underway at Honeymoon to expand the global resource inventory from 71.67Mlb.
Boss is also in discussions with global lenders regarding obtaining the requisite funding to refurbish the Honeymoon plant and get the project up and running.
The company is has signed confidentially agreements with “several global lenders” and is currently seeking formal indicative financing proposals.