Deep Yellow closer to Tumas project launch as Nedbank tapped to finance ahead of Q4 FID

Deep Yellow (ASX:DYL) has announced it’s tapped private Nedbank Limited – a firm with experience financing uranium projects – to coordinate project financing for Tumas.

Tumas, based in Namibia, is Deep Yellow’s flagship project based in Africa. Nedbank and Deep Yellow have an existing relationship working on financing transactions in the region, DYL reported on Tuesday.

Nedbank will “form a banking syndicate and will oversee the due diligence and documentation process,” the company added.

All in all the move has been pointed to as a milestone on the way to launching Tumas at a time when uranium prices remain in a historical range.

“Over the past 7 years Deep Yellow has focussed on building a company that is uniquely positioned in the uranium sector with two substantial greenfield projects and to become a producer with multiple mines during this decade,” Deep Yellow MD and CEO John Borshoff said.

“In this context, we are very pleased to be initiating the project financing process for the Tumas development, particularly to be working with Nedbank again.

“Their extensive experience in Africa with a strong track record in financing uranium projects combined with our economically and technically robust project is a perfect match. The project finance process will run in parallel to the detailed engineering currently underway and we aim to be in a position to announce FID in Q4 CY2024.”

DYL last traded at $1.33.