GoviEx Uranium Inc (TSX-V:GXU, OTCQX:GVXXF) issued a letter to its shareholders from the executive chairman Govind Friedland and CEO Daniel Major, highlighting the achievements of 2021 and sharing plans for 2022.
“We believe GoviEx is in an excellent position to benefit from a strengthening uranium market. We have two mine-permitted projects and an exciting exploration play,” said Friedland and Major. “We have a plan in place to potentially become a producer in 2025, and a strong board and management team ready to deliver on that plan.”
Friedland and Major noted that the outlook for uranium has become increasingly positive “and we have worked diligently to position ourselves to take full advantage as a new entrant to the market.”
In April 2021, the company updated its pre-feasibility study for the flagship Madaouela project in Niger, reducing capex by 15% and opex by 20% in the first few years of mining.
“We are currently on track to finish our feasibility study by mid-2022 with a target to start construction in 2023 with first commercial uranium production in 2025,” Friedland and Major said.
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Whilst the development of Madaouela is the company’s main focus for 2022, it also has two “very promising assets” which set them apart from other companies, the letter said. The mine-permitted Mutanga project in Zambia is forecast to start production in 2027 and could be the lowest capital-intensive uranium project in Africa, the company said.
In 2021, the team completed an initial infill drilling campaign at the Dibwe East deposit with positive results as the company works towards upgrading mineral resources from an inferred to an indicated category.
“During 2022, we plan to complete infill drilling of the resource at Dibwe East as well as to upgrade the previously completed process test work to a feasibility study level of confidence,” said Friedland and Major in the letter. “Our Falea project in Mali remains a fascinating exploration project with great potential.
They added: “It currently contains an indicated resource of 17.4Mlb U3O8, 24.4 Mlb copper and 16.1 Mlb silver, and an inferred resource of 13.4Mlb U3O8, also with copper and silver mineralization.”
The work completed in 2021 has highlighted a number of geophysical exploration targets associated with the same structures that control the current mineral resources, but with the addition of gold mineralization. The company is planning to drill these Falea targets in 2022, the report said.
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