RUS | ENG | All
Enter the email or login, that you used for registration.
If you do not remember your password, simply leave this field blank and you will receive a new, along with a link to activate.

Not registered yet?
Welcome!

2022-04-01 11:05:00

AUSTRALIAN URANIUM MERGER

AUSTRALIAN URANIUM MERGER

WNN - 31 March 2022 - Australian uranium companies Deep Yellow and Vimy Resources have agreed to a merger by a Scheme of Arrangement, under which Deep Yellow will acquire 100% of Vimy's shares. The merger will bring together the two companies' complementary asset bases including the Mulga Rock uranium project in Western Australia and the Tumas project in Namibia.

According to the two companies, the merger will create a new global uranium player with "significant scale" and with cash resources of AUD106 million (about USD80 million). Its combined uranium resource inventory - some 389 million pounds U3O8 (14,963 tU) - will be one of the biggest in the world and will include two "advanced, world class assets in Tier-1 uranium mining jurisdictions".

Under the scheme, Deep Yellow will acquire 100% of the Vimy shares on issue, while Vimy shareholders will receive 0.294 Deep Yellow shares for every Vimy share held. Deep Yellow shareholders will hold 53% of the merged group, and Vimy shareholders 47%.

Deep Yellow has previously pursued a merger with Vimy: last November, it disclosed material details of a formal proposal it had made to the board of Vimy but which had then lapsed. Vimy subsequently announced the start of a strategic review process at Mulga Rock.

The merged group will leverage Deep Yellow's development, construction and operational expertise to "unlock the development potential" of the Mulga Rock project, they said. Combined with the future development of Tumas, it is expected to "have the scale to rapidly advance its pipeline of organic growth opportunities" and be well positioned to pursue additional accretive growth.

Deep Yellow Managing Director and CEO John Borshoff said the merger has the potential to be a significant value-creating opportunity for the shareholders of both companies. "The merger combines two world class assets, both in Tier-1 mining jurisdictions, into a single group with scale and know-how," he said. "The expanded strong technical team of Deep Yellow, together with Vimy personnel, positions us well to bring both projects online when uranium prices support the generation of long-term, sustainable positive cash flows."

The merger de-risks and underpins the path to development at Mulga Rock, Vimy Managing Director and CEO Steven Michael said. "The combined financial, processing and operating strengths of both companies will enable greater optimisation and the delivery of Mulga Rock, as well as an established exploration team that can unlock considerable value at Alligator River," he added, as well as "expected significant benefits of being part of a larger, geographically diverse merged group, with the expertise to develop the full portfolio of assets in the near term."

Mulga Rock is 290km by road east-northeast of Kalgoorlie in the Great Victoria Desert of Western Australia. A Definitive Feasibility Study Refresh for the project released by Vimy in 2020 showed a strategic long-life uranium project with a contemplated production rate of 3.5 million pounds per year. The Government of Western Australia's December 2016 approval of the project stipulated that Vimy must begin substantial commencement within five years, a condition which the company met when work on the excavation of a ramp at the Ambassador North pit began late last year.

A Definitive Feasibility Study for Tumas is on track for completion by end of 2022, and Deep Yellow said it will work with Vimy's technical team on elements of process that may be incorporated from Mulga Rock.

The board of the merged group will be led by Borshoff and Deep Yellow's Non-Executive Chairman Chris Salisbury. Michael will be an executive director. Subject to various court hearings and report preparations, the scheme of arrangement is expected to be implemented in July.

-----


Earlier:

AUSTRALIAN URANIUM MERGER
2022, March, 10, 11:00:00
AUSTRALIA'S COAL PRICES UP
The Newcastle 5,500 kcal/kg NAR coal with 23% ash hit a fresh record high $295/mt FOB March 9, the highest since the grade was first assessed in August 2017,
AUSTRALIAN URANIUM MERGER
2022, February, 17, 13:35:00
AUSTRALIA'S RENEWABLES 40 GW, AUD 100 BLN
The lodged offers represent over AUD 100 billion (USD 71.7bn/EUR 63bn) of potential investment in 24 solar parks, 13 onshore and seven offshore wind farms, 35 large-scale batteries and eight pumped hydro plants. It is estimated that these projects have the potential to deliver more than 100,000 GWh of total electricity per year.
AUSTRALIAN URANIUM MERGER
2022, February, 8, 13:40:00
AUSTRALIA'S RENEWABLE 1.6 GW
RES has acquired Blueshore, an asset management business with 1.6 GW of renewable projects under management in Australia.
AUSTRALIAN URANIUM MERGER
2022, February, 1, 14:15:00
AUSTRALIA'S RENEWABLES 12 GW
Australia’s largest planned Renewable Energy Zone (REZ) is to be built in the New South Wales (NSW) northeast with the state government announcing the New England REZ, which will deliver at least 8 GW of new network capacity, has been formally declared.
All Publications »
Tags: AUSTRALIA, URANIUM, NUCLEAR
Chronicle:
AUSTRALIAN URANIUM MERGER
2023, February, 1, 12:04:00
TRANSPORTATION OIL AND GAS CONGRESS 2023 (TOGC 2023)
Transportation Oil and Gas Congress 2023 (TOGC 2023) takes place on February 20-21, 2023. The Congress brings together representatives from the whole pipeline chain and focuses on both strategic and technical issues of the oil and gas pipeline transportation.
AUSTRALIAN URANIUM MERGER
2023, February, 1, 12:03:00
9TH INTERNATIONAL LNG CONGRESS LNGCON 2023
9th International LNG Congress (LNGCON 2023) 6-7 March, 2023 Link to the Congress website: https://bit.ly/3tXVmr7
AUSTRALIAN URANIUM MERGER
2023, February, 1, 12:00:00
GLOBAL GROWTH WILL DOWN
Global growth is projected to fall from an estimated 3.4 percent in 2022 to 2.9 percent in 2023, then rise to 3.1 percent in 2024.
AUSTRALIAN URANIUM MERGER
2023, February, 1, 11:55:00
S.KOREAN NUCLEAR FOR TURKEY
KEPCO CEO Seung-il Jeong presented the proposal to Fatih Dönmez, Turkey's Minister of Energy and Natural Resources, on 30 January during a meeting in which they discussed plans for KEPCO to participate in the nuclear power plant project.
AUSTRALIAN URANIUM MERGER
2023, February, 1, 11:50:00
OIL AND GAS AUTOMATION AND DIGITALIZATION 2023
Event Title: Oil and Gas Automation and Digitalization 2023 Conference Date: 03 - 04 May 2023 Event Type: In-Person Event Event Organizer: PTN Events
AUSTRALIAN URANIUM MERGER
2023, February, 1, 11:45:00
СПГ КОНГРЕСС РОССИЯ 2023
СПГ Конгресс Россия – это международная инвестиционная площадка, где традиционно собираются лидеры индустрии. Ежегодно в мероприятии принимают участие более 250 операторов крупно-, средне- и малотоннажных СПГ-проектов, водородных проектов, правительство и технологические лидеры СПГ-индустрии.
AUSTRALIAN URANIUM MERGER
2023, January, 30, 11:45:00
OIL PRICE: BRENT NEAR $86, WTI NEAR $79
Brent fell 74 cents, or 0.8%, to $85.92 a barrel , WTI was at $79.07 a barrel, down 61 cents, or 0.8%.
All Publications »