News & Features, Resource News, Uranium

Uranium price rise expected as Extract moves ahead with Rossing South

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By Lawrence Williams

In a presentation to the Africa Downunder conference in Perth, Extract Resources CEO, Jonathan Leslie was predicting higher uranium prices as burgeoning demand and shortage of supply would see it moving up from its current trading range.  Given the company is exploring, and developing, what is already estimated to be the world’s fifth largest uranium resource at Rossing South in Namibia – and it is still growing – a degree of price optimism doesn’t go amiss, but Leslie’s views are echoed by uranium analysts around the world. 

The latest resource estimate from Extract of 367 million pounds of contained U₃O₈ includes 110 million pounds of inferred material from Rossing South Zones 3 and 4 for the first time.  Zones 3 and 4 are continuations along strike from Zones 1 and 2.  It also showed a major transfer of resource in Zones 1 and 2 from the Inferred category to the better Indicated category as infill drilling has enabled this to be recalculated.  Now the Indicated resource is put at 257 million pounds of U₃O₈, a tenfold increase from this category as last reported a year earlier.