Peninsula Energy (ASX:PEN) and its wholly owned subsidiary Strata Energy are on track to commission the Ross Central Processing Plant (CPP) at its Lance Projects in Wyoming, US, later this year.
Peninsula, which has a $254.36 million market capitalisation, says it has enlisted engineering, procurement, and construction contractor Samuel Engineering to undertake earthworks for the expansion of the Ross CPP.
The Ross CPP is a key piece of infrastructure that will see the Lance Projects have capacity to produce up to two million pounds per year of uranium oxide.
The existing plant has already been modified to enable the processing of low-PH in-situ recovery solutions, with the expansion to enable higher production rates.
Samuel has already prepared detailed engineering works and has procured necessary long-lead time items for the expansion project.
Peninsula Managing Director Wayne Heili says the Ross CPP is a “key piece of the jigsaw” for the company, and provides the ability to produce a finished product for its customers without relying on third-party processing facilities.
“It is pleasing to see the project evolve daily. With the momentum we currently have, we remain confident of hitting our production targets for 2025.”
Currently, the price of uranium is sitting at US$93.6 (A$142) per pound as of 7 May — a slight dip following the 16-year highs observed at the start of the year at US$106 per pound, according to Markets Insider.
Peninsula Energy is reportedly one of the few ASX-listed uranium companies providing US production and direct market exposure.
Write to Adam Drought at Mining.com.au
Images: Peninsula Energy
