Uranium miner Deep Yellow (ASX:DYL) has struck a power supply agreement with Namibia’s state-owned utility, NamPower, as it moves forward with construction of its flagship Tumas project.
The project will connect to the Namibian regional grid via a dedicated 22-kilometre power line and will be supplemented by an on-site solar farm designed to meet up to 30% of the operation's total electricity demand during daylight hours, when grid power costs peak.
Deep Yellow said detailed engineering for Tumas is over 60% complete, with more than 70% of major process plant equipment already tendered.
Acting CEO Craig Barnes described the agreement as "another important step" in preparing for construction, adding that the company remains focused on de-risking the project and advancing to a final investment decision once market conditions support a greenfield uranium development.
At the time of reporting, Deep Yellow's share price was $1.74.