Uranium finished the first quarter of 2019 at USD25.75 per ounce of triuranium octoxide
, a uranium compound, despite reaching USD28.90 at the end of January.
A recent optimisation of Etango resulted in an improvement of the project's net present value to USD419mn from USD69mn, with production averaging 7.2mn pounds of Triuranium octoxide
annually over an initial open pit mine life of 15.7 years.
The most common forms of uranium oxide are triuranium octoxide
(U3O8) and UO2 .
Also, uranium prices are falling with triuranium octoxide
more than halving since the Fukushima disaster in 2011.
([U.sub.30.sub.8] or yellowcake) prices are at a seven-year low of $35/1b, half of the levels seen before the Fukushima disaster in March 2011 and nearer a quarter of the record high of $135/1b seen in 2007.
In addition, the company owns plus-115,000 acres (46,400 hectares) of private mineral rights, with an indicated resource of 26.6 million pounds triuranium octoxide
at an average grade of 0.105 per cent equivalent U3O8 and an inferred resource of 6.1 million pounds U3O8 at an average grade of 0.110 eU3O8 (Beahm, 2012).
Drilling on the gravity low to the south discovered the Opie zone in March, 2012 (0.142 per cent triuranium octoxide
over 7.6 metres at a depth of 40 metres to 100 metres), which requires more drilling this winter.