AMN - NAMIBIA: Marenica to test U-pgrade on Tumas samples

Marenica Energy will test its proprietary U-pgrade process technology on uranium ore samples from Deep Yellow’s Tumas project in Namibia. Tumas is in the same region as the Marenica project and shares many similar metallurgical properties.

The testwork will be undertaken as part of a Services Agreement and Statement of Work with Deep Yellow and relates principally to a bench scale testwork program to assess the level of amenability of Marenica's proprietary U-pgrade process technology to the Tumas bulk samples. Marenica has already started testwork on the first bulk sample provided.

The program is expected to be completed towards the middle of 2016, although interim milestone results will be released as they become available.

Deep Yellow will meet the total cost of the program, including the extraction and delivery of the samples to the testwork laboratories in Perth. The cost of the local testwork program is estimated at $A265,000.

The parties have agreed in principle that commercialisation discussions will follow a successful outcome of this testwork program. These discussions will focus on an arrangement in which the Tumas ore body and the U-pgrade technology can be commercially combined.

"This is an important stepping stone to demonstrating that U-pgrade can be applied successfully on another resource. The successful completion of this testwork will build further industry credibility and generate momentum amongst resource owners to utilise this game changing technology," Marenica CEO, Murray Hill says.

Murray Hill says: "This agreement with Deep Yellow follows an earlier arrangement in which Marenica successfully demonstrates the commercial potential of our U-pgrade technology on ore samples from Toro Energy’s Western Australian calcrete hosted uranium ore from their Wiluna project in Western Australia."

www.deepyellow.com.au; www.marenicaenergy.com.au

News courtesy of International Mining