Bannerman Energy Ltd says it is targeting first production from its flagship Etango Uranium Project in Namibia in 2028, supported by a fully funded development plan and a strategic partnership with one of China’s largest nuclear companies.
The timeline was outlined by Executive Chairman Brandon Munro during the Macquarie Australia Conference, where the company highlighted progress on the project and its funding strategy.
“We are proud of our strong social licence to operate here in Namibia, an established and proven uranium jurisdiction. Backed by our team’s deep experience in the sector, we are actively advancing early works construction to meet our target of first uranium production in 2028,” Munro said.
The announcement follows Bannerman’s entry into binding investment and joint venture agreements with CNNC Overseas Limited (CNOL), a subsidiary of the China National Nuclear Corporation (CNNC), which has received regulatory approval from the Namibian Competition Commission.
Under the agreement, CNOL will invest N$4.79 billion (US$294.5 million) in cash into an incorporated joint venture company, securing a 45% stake in the project, while Bannerman will retain a controlling 55% interest.
CNOL will also reimburse Bannerman up to N$439.3 million (US$27 million) for historical project expenditure.
The investment effectively matches the project’s estimated pre-production capital requirement of N$5.74 billion (US$353 million), eliminating the need for development debt.
As part of the commercial arrangement, CNOL has secured a life-of-mine cornerstone offtake agreement for 60% of Etango’s uranium oxide production at arm’s-length pricing linked to future market indices. Bannerman will retain full marketing rights over the remaining 40% of production.
Located in Namibia’s established uranium mining region, the Etango Project hosts a resource exceeding 200 million pounds of uranium oxide, making it one of the largest undeveloped uranium projects globally.
The development is planned in two phases.
The first phase, Etango-8, is designed as a 15-year operation processing eight million tonnes of ore per annum and producing an average of 3.5 million pounds of uranium oxide annually.
A future expansion phase, known as Etango-XP, will increase throughput capacity to 16 million tonnes per annum and lift annual production to an average of 6.7 million pounds of uranium oxide.
At a uranium price of US$95 per pound, the combined development is projected to deliver a post-tax net present value of N$14.72 billion (US$905 million) and pre-tax life-of-mine net cash flows exceeding N$65.1 billion (US$4 billion).
The project is expected to strengthen Namibia’s position as a leading global uranium producer at a time when demand for nuclear fuel is rising amid renewed investment in nuclear energy worldwide.
