TIDMBKY
RNS Number : 0645H
Berkeley Energia Limited
05 June 2017
BERKELEY ENERGIA LIMITED
NEWS RELEASE | 5 June 2017 | AIM/ASX: BKY
Berkeley Energia Expands Exploration Programme Targeting Zona 7
Style Deposits
The Company is pleased to announce that it has commenced the
next phase of its exploration campaign focussed on discovering
additional deposits with similar characteristics to Zona 7, which
is located close to the surface and without a strong radiometric
anomaly present.
The discovery of the high grade extensions at the Zona 7 deposit
in late 2014 transformed the economics of the project and changed
the Company's geological model for the region.
In parallel with the ongoing development on site, the Company
continues to conduct exploration with the potential to increase the
project's production profile or mine life.
Following extensive structural mapping and the interpretation of
regional geological structures, two areas totalling 100 km(2) have
been selected for an intensive geochemical sampling programme, that
will include 2,500 samples on a 200m x 200m grid.
The programme will incorporate the latest uranium exploration
techniques with samples being tested for mobile metal ions using
the Ionic Leach(TM) technique. This highly sensitive technique can
detect extremely low levels of uranium and other critical elements
and is widely acknowledged to be the most adept at identifying
subtle anomalies.
To complement the soil sampling/Ionic Leach(TM) programme, the
Company will also undertake ground radiometric survey readings and
radon emissions tests at each of the sample collection points.
Two field crews will be focussed on carrying out the planned
exploration activities over the two priority areas during the
coming months, with the goal of identifying drill targets.
In addition to this new exploration programme, the Company will
continue with exploration below Zona 7, where previous high grade
intercepts were found beneath the current defined resource,
demonstrating continuity of mineralisation and potential for the
resource to increase.
Managing Director Mr Paul Atherley, commented:
"Whilst we continue to progress development on site, we are also
focussed on completing targeted exploration programmes aimed at
unlocking the potential of our 1,160km(2) landholding within this
heavily mineralised province.
Given the transformational effect the shallow, high grade Zona 7
deposit has had on the project's economics, the focus of our
upcoming exploration programme is to look for more of the same
using a broad array of modern exploration techniques over two
prospective areas."
Berkeley Energia Limited +44 20 3903 1930
Paul Atherley, Managing Director info@berkeleyenergia.com
Hugo Schumann, Chief Commercial
Officer
Peel Hunt LLP (Joint Broker) +44 20 7418 8900
Matthew Armitt
Ross Allister
Chris Burrows
WH Ireland Limited (Nominated
Adviser) +44 20 7220 1666
Paul Shackleton
Nick Prowting
Jay Ashfield
Buchanan +44 207 466 5000
Bobby Morse, Senior Partner BKY@buchanan.uk.com
Anna Michniewicz, Account Director
About Berkeley Energia:
Berkeley Energia's objective is to be one of the world's lowest
cost producers reliably supplying the world's leading utilities
with fuel for base load clean energy from the heart of the European
Union. Once in production, the mine will be one of the world's
biggest producers supplying over four million pounds of uranium
concentrate a year, equivalent to approximately 10% of the
continent's total requirement.
An independent study published in July 2016 by MDM Engineering
(part of AMEC Foster Wheeler Group) reported that the project has
an NPV of over US$530 million and will produce 4.4 million pounds
of uranium per annum at a cash costs of US$15.39 per pound, making
it one of the world's lowest cost and a top ten global producer of
uranium.
The mine will rejuvenate a community suffering from lack of
investment and badly hit by long-term and high youth unemployment.
Last year over 25,000 people left the Castilla y Leon region and in
many villages houses stand empty.
Skills training programmes commenced last year and will continue
throughout the construction phase to equip locals for the 454 jobs
the mine will create once in full production. In addition, it has
been estimated that over time the mine will indirectly generate an
estimated further 2,295 jobs in the region. Local businesses are
being prioritized and the local municipalities and communities will
be fully supported throughout the life of the mine.
The EURATOM Supply Agency, the governing body for all nuclear
fuel transactions within the European Union, is highly supportive
of the project:
"We particularly welcome the emergence and development of a new
EU based uranium mining project and believe that it will contribute
to the security of supply of natural uranium for the Community
users."
The European nuclear trade body Foratom has described nuclear
power as indispensable to the EU's aim to decarbonise the economy
by more than 80% by 2050."
Spain is currently generating around 20% of its electricity from
seven nuclear power plants and is aiming to meet its long term
carbon reduction targets with a combination of a nuclear zero
carbon base load and renewables.
Competent Persons Statement
The information in this announcement that relates to the
Definitive Feasibility Study, Mineral Resources for Zona 7, Ore
Reserve Estimates, Mining, Uranium Preparation, Infrastructure,
Production Targets and Cost Estimation is extracted from the
announcement entitled 'Study confirms the Salamanca project as one
of the world's lowest cost uranium producers' dated 14 July 2016,
which is available to view on Berkeley's Energia Limited (Berkeley)
website at www.berkeleyenergia.com.
Berkeley confirms that: a) it is not aware of any new
information or data that materially affects the information
included in the original announcement; b) all material assumptions
and technical parameters underpinning the Mineral Resources, Ore
Reserve Estimate, Production Target, and related forecast financial
information derived from the Production Target included in the
original announcement continue to apply and have not materially
changed; and c) the form and context in which the relevant
Competent Persons' findings are presented in this announcement have
not been materially modified from the original announcements.
The information in the original announcement that relates to the
Definitive Feasibility Study is based on, and fairly represents,
information compiled or reviewed by Mr. Mr Jeffrey Peter Stevens, a
Competent Person who is a Member of The Southern African Institute
of Mining & Metallurgy, a 'Recognised Professional
Organisation' (RPO) included in a list posted on the ASX website
from time to time. Mr. Stevens is employed by MDM Engineering (part
of the Amec Foster Wheeler Group). Mr. Stevens has sufficient
experience that is relevant to the style of mineralization and type
of deposit under consideration and to the activity being undertaken
to qualify as a Competent Person as defined in the 2012 Edition of
the 'Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves'.
The information in the original announcement that relates to the
Ore Reserve Estimates, Mining, Uranium Preparation, Infrastructure,
Production Targets and Cost Estimation is based on, and fairly
represents, information compiled or reviewed by Mr. Andrew David
Pooley, a Competent Person who is a Member of The Southern African
Institute of Mining and Metallurgy', a Recognised Professional
Organisation' (RPO) included in a list posted on the ASX website
from time to time. Mr. Pooley is employed by Bara Consulting (Pty)
Ltd. Mr. Pooley has sufficient experience that is relevant to the
style of mineralization and type of deposit under consideration and
to the activity being undertaken to qualify as a Competent Person
as defined in the 2012 Edition of the 'Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore
Reserves'.
Forward Looking Statements
Statements regarding plans with respect to Berkeley's mineral
properties are forward-looking statements. There can be no
assurance that Berkeley's plans for development of its mineral
properties will proceed as currently expected. There can also be no
assurance that Berkeley will be able to confirm the presence of
additional mineral deposits, that any mineralisation will prove to
be economic or that a mine will successfully be developed on any of
Berkeley's mineral properties.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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