Name of the Project
Muntanga uranium project.

Location
In the Southern province of Zambia.

Project Owner/s
GoviEx Uranium.

Project Description
Muntanga comprises three mining permits that cover about 720 km2 and contains five deposits – Dibwe, Dibwe East, Muntanga, Gwabe and Njame.

The project contains a measured and indicated mineral resource of 21.6-million tonnes at an average grade of 318 parts per million (ppm) uranium containing 15-million pounds of uranium, and an inferred mineral resource of 74.6-million tonnes at an average grade of 273 ppm uranium containing 45-million pounds of uranium in six deposits located over a 65 km strike.

The project benefits from simple and straightforward operations, owing to low waste stripping, low acid consumption and low capital expenditure requirements.

A preliminary economic assessment (PEA) completed in 2017 evaluated the economic and technical viability of the project. The PEA envisages the development of openpits at the Muntanga, Dibwe, Dibwe East, Gwabe, Njame and Njame South deposits. Three heap-leach pads will be located at Dibwe East/Muntanga, Dibwe and Gwabe/Njame, and a central processing facility between Dibwe East and Muntanga.

The deposits are amenable to conventional, shallow opencast mining methods using excavators and trucks, with relatively low stripping ratios. The base case envisions an average production rate of 2.6-million pounds of yellowcake a year over an initial 11-year mine life, with an 88% ultimate uranium recovery rate and a total forecast of 26.4-million pounds of uranium.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
At a long-term uranium price of $58/lb uranium, the base case economics for the project are positive and indicate an after-tax net present value, at an 8% discount rate, of $112-million and an internal rate of return of 25%, with a payback of three years.

Capital Expenditure
Initial capital costs have been estimated at $123.4-million.

Planned Start/End Date
Not stated.

Latest Developments
GoviEx Uranium reported in January 2024 that the Muntanga project has shown good progress.

In 2023, the company announced a substantial increase in openpit mineral resources, with measured and indicated resources nearly tripling, and now representing 74% from 29% of total resources.

GoviEx’s total in-pit constrained resources increased 18% and has shown a grade improvement in all mineral categories.

It also completed a 15 835 m drilling programme on the Muntanga and Dibbwi East deposits in the same year. The results were highlighted as “promising”, indicating the potential for further conversion of mineral resources from the inferred into the indicated category. Consequently, these upgraded mineral resources can be included in the upcoming feasibility study, potentially increasing the size and quality of the project.

GoviEx is on track to complete the feasibility study, and the environmental- and social-impact assessment, in 2024.

Key Contracts, Suppliers and Consultants
Ukwazi Site Services (project manager and mining); SGS Bateman (process design); and SRK UK (power, hydrogeology and heap-leach design).

Contact Details for Project Information
GoviEx Uranium, tel +1 604 681 5529 or email info@goviex.com.