Deep Yellow advances Tumas financing

Deep Yellow Limited has announced the appointment of Nedbank Limited as the mandated lead arranger and bookrunner to coordinate and arrange the project financing for the mining company's flagship Tumas Project in Namibia.

The appointment represents a key milestone in Deep Yellow’s development plan for the Tumas Project.

The proposed project financing is expected to deliver a competitively priced cost of funding for project development. Key to this process from a Deep Yellow perspective will be working with Nedbank to implement the optimal level of offtake commitments required to access debt funding while ensuring maximum upside uranium price exposure.

Deep Yellow MD John Borshoff said Nedbank's experience in the mining sector in Africa ideally favoured it to help the miner advance its projects.

“Over the past seven years, Deep Yellow has focused on building a company that is uniquely positioned in the uranium sector with two substantial greenfield projects and to become a producer with multiple mines during this decade. In this context, we are very pleased to be initiating the project financing process for the Tumas development, particularly to be working with Nedbank again. Their extensive experience in Africa, with a strong track record in financing uranium projects, combined with our economically and technically robust project, is a perfect match."

According to Borshoff, the project finance process will run in parallel with the detailed engineering currently underway, and "we aim to be in a position to announce FID in the fourth quarter of 2024 and it is pleasing that our schedule is holding for production start-up during the third quarter of 2026."

-MARKETWATCH