Bannerman Energy is targeting mid-2026 to complete its strategic funding deal with CNNC Overseas Limited, a move expected to unlock a final investment decision for the Etango Uranium Project later this year.
Under the agreement, CNNC Overseas Limited will invest up to US$321.5 million for a 45% stake in Bannerman Energy (UK) Ltd, which owns 95% of the Etango project.
The transaction will leave Bannerman Energy with an effective ownership stake of 52.25%, while CNNC Overseas Limited will hold 42.75%.
Managing Director and Chief Executive Officer Gavin Chamberlain said the agreement provides a debt-free route to developing one of Namibia’s largest uranium projects.
“A transformational milestone during the quarter was the announced project funding solution through a strategic partnership with CNNC Overseas Limited. This transaction provides a clear, debt-free pathway to development and an expected Final Investment Decision later this year. Put simply, it is the final piece that unlocks the development and operation of the Etango Project,” he said.
Chamberlain said both partners are expected to fund capital expenditure and operating costs based on their equity stakes, removing the need for traditional debt financing.
“Transaction completion is targeted in mid-2026, pending satisfaction or waiver of all conditions precedent,” he said.
Bannerman Energy said early works at the Etango Uranium Project will continue through the first half of 2026, with a final investment decision expected shortly after the deal closes.
“Etango early works programme will continue through H1 2026, with Final Investment Decision (FID) targeted promptly upon transaction completion,” he said.
Construction activity remains on schedule, with more than 560 workers currently on site and 500,000 lost-time injury-free hours recorded during the quarter.
Bulk earthworks are 66.5% complete, while concrete works have reached 32% across major infrastructure linked to the primary crusher and ore handling systems.
Installation of the permanent water supply pipeline is approximately 70% complete, with design and procurement activities continuing.
Bannerman Energy ended the quarter with A$69.9 million in cash and A$12.7 million in liquid assets, while early works commitments stood at approximately A$31.4 million.
The company said stronger uranium market conditions continue to support the project, with long-term prices rising to US$93 per pound of U3O8 by the end of the quarter.
