Lotus Resources Limited (ASX: LOT | OTCQX: LTSRF) has announced the results of the scoping study for its Letlhakane Uranium Project in Botswana, which has confirmed the project’s potential to support an economically viable long-life operation under a variety of uranium price scenarios.
Lotus is developing Letlhakane in parallel with planning for the restart of production at the Kayelekera Uranium Project in Malawi in 2025 and aims to become a globally significant U3O8 producer when combining both assets.
The scoping study shows that Letlhakane can support ~3Mlbpa over an extended life-of-mine with flexibility to adjust production with uranium price fluctuations.
Lotus CEO, Greg Bittar, commented, “Our scoping study clearly demonstrates Letlhakane’s merits as our second, longer life uranium project that can meet the longer-term supply shortfall. In a stronger long-term uranium price environment, which experts have forecast, Letlhakane increases the life of mine for Lotus. Coupled with Kayelekera, where we aim to restart production next year, this positions Lotus as a ~5.5Mlb per annum producer, potentially making it one of the largest uranium producers on the ASX.”
Optimization of mining costs and acid consumption demonstrates a base case cash cost of US$36/lb compared to a non-optimized cost of US$42/lb, and an independent assessment determined that Letlhakane geology is favourable for an in-situ recovery (operation, which could positively impact overall opex.
Lotus is well funded to continue development at Kayelekera and Letlhakane with $34.1M cash at bank as at 30 June 2024.
To find out more, please visit www.lotusresources.com
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