PERTH (miningweekly.com) – Uranium hopeful Boss Resources has reported a 149% increase in the measured and indicated mineral resource estimate at its Honeymoon restart area, in South Australia.
Measured and indicated resources are estimated at 27-million pounds of uranium oxide (U3O8), with the overall resource estimate increasing by 30%, to 24-million tonnes, grading 660 parts per million U3O8, for 36-million pounds U3O8.
Boss MD Duncan Craib this week said that the 30% increase in the mineral resource estimate, which covers a fully permitted mining licence supported by an export licence, will help to fast-track the restart of uranium production at Honeymoon, and facilitate offtake arrangements.
“We believe Honeymoon’s global uranium endowment will increase through further exploration activity on our surrounding 100%-owned tenements,” he added.
The mineralisation remains open in multiple directions along strike.
Boss in 2018 revealed a three-tiered restart strategy for the Honeymoon project, with Phase 1 of the strategy generating the final input data for a definitive feasibility study (DFS), including an updated resource estimate.
Phase 2 will consist of the completion of a DFS, while Phase 3 will see the detailed execution planning and operational readiness.
A prefeasibility study has estimated that the restart would require a capital investment of $68-million, and could produce an average of 3.2-million pounds of U3O8 a year at an average life-of-mine all-in sustaining cost of $23.90/lb.
The restart of the solvent extraction plant is expected to produce some 0.88-million pounds a year, with a restart potential of nine months, while the ion exchange plant will produce around two-million pounds a year, with a construction timeframe of 24 months.