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Namibia Draws Investors As Uranium Prices Surge

NAMIBIA, the world’s third-largest producer and Africa’s largest producer of uranium, is drawing new investments spurred by a recent surge in uranium prices. Australian mining company Gibb River Diamonds has acquired two significant uranium projects in the country, further solidifying Namibia’s position as a leading nuclear fuel producer.

Gibb River Diamonds announced the acquisition of the Erongo and Kunene uranium projects via a press release dated June 24, 2024. These projects are located in the heart of Namibia’s expansive uranium region, which is home to prominent mines like Husab and Langer Heinrich. The Erongo project spans 48 km², while the Kunene project covers 1,780 km², comprising six exclusive prospecting licenses totalling 1,828 km².

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The company expects to secure the necessary authorisations to commence exploration within the next five to six months. In preparation for these operations, Nico Scholtz has been appointed as Gibb River Diamonds’ Exploration Manager for Namibia.

Uranium prices have been steadily climbing since 2021, recently surpassing $100 per pound. This surge is driven by renewed global interest in nuclear power, prompting investors to seek new assets in the uranium sector.

Namibia, being a top uranium producer, has become a prime destination for these new investments. According to the country’s Chamber of Mines, the mining sector accounted for 14.4 percent of Namibia’s GDP and 53.1 percent of its exports in 2023. As the uranium market continues to grow, Namibia’s strategic importance in the global supply chain is expected to increase, attracting further investment and boosting the country’s economy.

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