Viability of Uranium Extraction from Phosphate Confirmed

Uranium Equities Ltd. (ASX:UEQ) announced that, as per results from an independent pre-feasibility study-level engineering study, its PhosEnergy Process is a viable and low-cost way to extract uranium as a by-product of phosphate fertilizer production. Cameco Corp. (TSX:CCO,NYSE:CCJ), which, along with Uranium Equities, commissioned the study, has now committed a further $4 million to the project.

As quoted in the press release:

The Study, which UEQ and Cameco commissioned through a global engineering and professional services consultancy, estimated a capital cost of US$156 million for a base case PhosEnergy plant located at the site of a 1Mtpa P2O5 phosphate facility in the south east United States capable of producing approximately 880,000 pounds of uranium per annum at an estimated cash operating cost of less than US$18 per pound.

In UEQs opinion, even at current spot uranium prices, a facility of this nature would be capable of generating strong cash operating margins – highlighting the robust economics of the PhosEnergy Process and its potential to underpin an exciting business opportunity for UEQ and its partner, Cameco Corporation.

Click here to read the full Uranium Equities Ltd. (ASX:UEQ) press release.