Bannerman Energy Ltd (ASX:BMN, OTCQX:BNNLF, NSX:BMN) is pleased to report on strong progress during the quarter, including the completion of Front-End Engineering and Design (FEED) and Control Budget Estimate (CBE) processes for the Etango-8 Project, and the successful raising of A$85 million in new equity to fund early works and long-lead items. These advancements, along with the commencement of detailed design and early works construction, position the Company well as it targets a positive Final Investment Decision (FID) during the second half of 2024.
HIGHLIGHTS
- Completion of FEED and CBE processes for the Etango-8 Project, refining December 2022 DFS outcomes.
- Successful two-tranche equity placement to raise A$85 million (before costs), funding early works and procurement of long-lead items for the Etango-8 Project.
- Detailed design activities commenced, focusing on bulk earthworks and civil engineering, with early works construction underway and advancing well.
- Strategic finance and offtake marketing workstreams progressing, targeting a positive FID on Etango-8 during H2 2024.
- Substantial cash balance of A$24.0M at quarter end (plus first-tranche placement proceeds of A$75.7M (before costs) received in early July) and zero debt.
- Long-term uranium price reached a 15-year high of US$80/lb U3O8 during the quarter, reflecting ongoing positive market outlook for uranium in 2024.
"We steadily built project momentum throughout the June quarter, further positioning Bannerman as a forerunner amongst the small group of companies in advanced development of uranium mines globally. The completion of FEED and CBE processes this quarter represents a significant milestone in the de-risking and advancement of the Etango-8 Project. Our successful capital raise strengthens our financial position, enabling us to progress with detailed design and early works construction. We remain focused on achieving a positive Final Investment Decision later this year, leveraging an improving market outlook for uranium and the underlying quality of the Etango resource to meet growing demand."