Uranium One Group subsidiary, Headsprings Investment, which has been actively exploring the Omaheke Region, has projected an annual revenue of N$6.6 billion for the next 25 years.
According to the company’s Director of Operations and Mining Engineer, Aldo Hengari, this project not only promises to transform Uranium One’s prospects but also carries the potential to significantly impact Namibia’s Gross Domestic Product (GDP), with projections of a 1 to 2% increase.
This comes as the Headsprings project, known as Wings, which aims to conclude the prospecting and exploration phase by 2026, has only carried out 50% of their exploration due to technical difficulties and thus the figures are set to increase with further exploration.
“With the 50% explored so far, we understand that we can mine this uranium for over 25 years, generating annual revenues of N$6.6 billion for that period. Our estimations suggest we can easily mine 3,000 tonnes per year, given that we have an estimated 75,000 tonnes of uranium resources beneath us,” Hengari stated during a site visit by members of parliament on Wednesday.
Furthermore, Uranium One has invested approximately N$850 million in the country since its initiation.
However, Hengari expressed concerns about “regulatory hurdles” slowing the progress.
“For the project to proceed, we must begin exploration immediately. However, we are currently awaiting regulatory approvals, which have delayed our operations,” he explained.
Kirill Egorov-Kirillov, the Wings Project Manager, had earlier stated that positive results from exploration and prospecting, coupled with the justified utilisation of In Situ Leaching (ISL), could potentially lead to an additional investment of over N$5.3 billion (US$300 million) towards the construction of a uranium mill.
Hengari said during the ongoing exploration activities, the project’s contractors have been engaging local professionals, with over 150 local residents working on the project last year and this has now reduced to 12 employees.
Furthermore, the project has generated 500 employment opportunities for local residents. Since 2021, progress in exploration has come to a standstill due to a significant outcry from some local communities and farmers in the region.
This led to the Ministry of Agriculture, Water, and Land Reform revoking the water permit.
Presently, a legal dispute is unfolding, as the ministry contends that the company has not adequately demonstrated that its uranium extraction methods will not result in pollution.
Nevertheless, the company remains determined to initiate uranium mining operations in Namibia by 2029, with aspirations to complete the prospecting and exploration phase by 2026.
The exploration efforts for the Wings project began back in 2010, and extensive geological studies conducted between 2018 and 2021 have confirmed the existence of a substantial sandstone-type uranium deposit in the region.
The projected lifespan of the venture stands at 25 years, and its progression to the next development stage is dependent on essential data collection, conducting an environmental impact study, and assessing the costs involved.
Chairperson of the Parliamentary Standing Committee on Natural Resources Tjekero Tweya has announced that the committee is gearing up to compile a comprehensive report on the activities of Uranium One.
He noted that this report will play a pivotal role in shaping the future course of action.
Addressing stakeholders in Leonardville, Tweya emphasised the importance of contributions from various organisations and associations.
