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Vimy Resources (ASX:VMY) gets first tick of approval for Mulga Rock uranium plan

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ASX:VMY
27 August 2021 08:21 (AEST)
(ASX:VMY) - Mulga Rock

Source: LinkedIn/Vimy Resources

The Western Australian Government has approved the management plan for Vimy Resources’ (VMY) flagship Mulga Rock Project.

Located 290 kilometres east-by-north-east of Kalgoorlie, Mulga is reportedly one of Australia’s largest undeveloped uranium resources.

The approval from the Department of Mines, Industry Regulation and Safety (DMIRS) is the first of three required from the State Government to implement the project.

Importantly, the go-ahead will allow mining operations to commence at Mulga Rock, subject to granting of the remaining approvals.

Vimy Resources Managing Director and CEO Mike Young said the green light from DMIRS was a significant milestone.

“Vimy has and will continue to work co-operatively with the various government departments to obtain the remaining approvals,” he said.

“Diversification and security of supply are front-of-mind for nuclear utilities as global uranium production shrinks from the middle of this decade.

“Combined with renewed activity in the term uranium market, this approval augurs well for a project final investment decision in the year ahead.”

The company has notified DMIRS of its appointment of a registered manager to supervise works at Mulga as field crews continue to mobilise to the site.

Shares were up by 4.55 per cent to 11.5 cents apiece at 12:44 pm AEST.

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