Canada company welcomes ‘strong evidence of true value’
Anfield Energy said an updated preliminary economic assessment (PEA) indicates average annual production of approximately 1.3 million pounds of uranium (U3O8) per year over a 15-year mine life for its Utah-based Velvet-Wood uranium and vanadium project, its Colorado-based Slick Rock uranium and vanadium project, and six of the nine mines which comprise the West Slope complex in Colorado.
The updated PEA indicates the potential profitability of the projects, with an expected mine and mill capital expenditure payback period of 1.3 years.
The projects are near one another within the prolific Uravan Mineral Belt, and within close distance of the Canada-based company’s Shootaring Canyon Mill, which will act as a centralised mineral processing facility in the PEA.The PEA provides for a 12-month pre-production period which includes capital expenditures of USD97m (€82m) on areas including initial mill and mine permitting and licensing, an updated mining and reclamation plan, initiation of mine development, and completion of the construction of mine facilities and purchasing of equipment.
An additional USD20 million of mine-related expenditures will occur during the initial production year.
The total costs for life of mine is estimated at USD173m, including sustaining capital.
