Boss Energy And Partner Begin Uranium Production In Texas

Boss Energy Ltd (ASX:BOE) (OTCQX:BQSSF) has started production at its 30% owned Alta Mesa Uranium Project in Texas.

Production is forecast to ramp up to a steady-state rate of 1.5Mlbs (million pounds) a year, with Boss retaining sale and marketing rights over its pro-rata share.

Key milestone

The Alta Mesa Project, consisting of over 200,000 acres plus the central processing plant and wellfields, is managed by an experienced uranium producer, and 70% partner, enCore Energy Corp (NASDAQ:EU) (TSXV:EU).

The key milestone comes just eight weeks after the start of production at Boss’ 100% owned Honeymoon project, where commissioning is proceeding to plan and production is forecast to ramp up to 2.45Mlbs a year.

Boss acquired its 30% interest in the Alta Mesa Project in February 2024 from enCore for US$60 million cash.

On track to hit 3Mlbs of uranium

Boss Managing Director Duncan Craib said: “The start of production at the Alta Mesa Project is another key milestone in implementing our strategy to be a global uranium supplier with a diversified production base in tier-one locations.

“With operations now ramping up at both Honeymoon and Alta Mesa, we are on track to hit our combined nameplate production target of 3Mlbs of uranium per annum.”

Increasingly tight supplies

The timing of the ramp up could hardly be better given the increasingly tight supply and demand fundamentals in the uranium market.

This highly favourable outlook was underpinned by US President Joe Biden’s recent signing of legislation to ban the import of uranium products from Russia.
This was a game-changing event for the uranium market and in particular for uranium projects in North America and Australia.

 

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