Mining

Lotus Resources’ scoping study validates viability for Letlhakane Uranium Project

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Lotus Resources (ASX:LOT) revealed the results of a scoping study for its Letlhakane Uranium Project in Botswana.

The findings confirm Letlhakane's potential to support a long-life, economically viable uranium operation, responsive to varying uranium price scenarios.

The study predicts a base case life-of-mine of 15 years, with a production rate of approximately 3 million pounds per annum of uranium, totalling 42 million pounds.

Optimisation efforts showed a base cash cost reduction to US$36 ($53) per pound from the non-optimised US$42 ($62) per pound, primarily due to reduced mining costs and acid consumption.

CEO Greg Bittar commented, "Our scoping study clearly demonstrates Letlhakane’s merits as our second, longer-life uranium project that can meet the longer-term supply shortfall. Coupled with Kayelekera, where we aim to restart production next year, this positions Lotus as a ~5.5Mlb per annum producer."

An independent assessment indicated that Letlhakane's geology favours in-situ recovery operations, potentially reducing the project's overall operating costs.

Lotus has commenced trade-off studies, including acid consumption and mining methodology optimisation, and is progressing toward an updated mineral resource estimate by November.

The company plans to incorporate ISR assessments and other optimisations into a revised study in the first quarter of 2025, setting the stage for a definitive feasibility study to advance Letlhakane efficiently.

Lotus Resources is an advanced uranium company. The principal activities of the company include the exploration of uranium and the evaluation and development of uranium resources. 

At the time of reporting, Lotus Resources' share price was $0.25.

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