Namibia’s Uranium Sector Attracts Global Interest

Connected Minerals is located in Namibia, a leading uranium producer, focusing on exploration at Etango North-East and Swakopmund projects. Namibia, providing 11% of the global uranium supply in 2022, is experiencing increased Chinese investment. Despite market fluctuations, the company remains positive about future demand due to decarbonization and technological expansion.

Connected Minerals (ASX:CML) is strategically situated in Namibia, recognized as the world’s third-largest producer of uranium, and is surrounded by established mining operations. The company is close to the Rössing Mine, significantly operated by Chinese interests since 1976. In 2022, Namibia contributed 11% to the global uranium supply, with China expanding its investments in the nation’s mining sector.

The company is currently advancing its exploration initiatives at two key projects: Etango North-East and Swakopmund. Notably, high-grade mineralization has been confirmed at Etango North-East, while Swakopmund is believed to hold considerable potential for a large, low-grade deposit.

Warrick Clent, Managing Director of Connected Minerals, emphasizes that Namibia’s stable political climate and supportive government policies are crucial factors driving foreign investment in the country. The company strives to build a significant uranium resource by utilizing existing infrastructure and its advantageous location close to major operations.

Despite facing recent fluctuations in uranium spot prices, Connected Minerals remains optimistic regarding the long-term outlook for uranium. This optimistic perspective is fueled by trends such as decarbonization, a surge in energy demand, and existing supply constraints. Furthermore, the anticipated growth in data centers and artificial intelligence applications is expected to further drive demand for uranium energy.

In summary, Connected Minerals is positioned favorably within Namibia’s prosperous uranium sector, leveraging its proximity to operational mines and government support. The company’s focus on exploration and resource establishment at Etango North-East and Swakopmund showcases its commitment to contributing to the global uranium supply, even amidst market volatility. The long-term demand outlook, particularly in relation to evolving energy requirements and technological advancements, remains promising for the company.

Original Source: www.finnewsnetwork.com.au