• Deep Yellow signs power supply deal for Namibia’s Tumas uranium project

• Grid connection agreement advances preparations toward final investment decision

• Financing, engineering progress continue as company awaits higher uranium prices

Australian miner Deep Yellow said on Wednesday it had signed a power supply agreement for its Tumas uranium project in Namibia, as it advances preparations toward a final investment decision.

The announcement follows the appointment of Greg Field as chief executive earlier this month. The company also said it had reached a key financing milestone for the planned mine, although a final investment decision remains subject to certain conditions.

Reptile Uranium Namibia, a local unit of Deep Yellow, signed the power supply agreement with Namibia Power Corporation (NamPower) to connect the Tumas project to Namibia’s regional power grid via a dedicated 22-kilometre transmission line.

Under the agreement, the company will design and build the overhead line, a 220-kilovolt switching station and a transformer facility, which will be transferred to NamPower after commissioning. The agreement is conditional on a final investment decision for the Tumas project.

Deep Yellow has completed more than 60% of the project’s detailed engineering work. An independent expert appointed by Nedbank Limited has also submitted an environmental and social due diligence report for the project.

Nedbank, a South African lender, has been mandated to arrange the project’s debt financing. Completion of the due diligence report allows the project to move into the financing documentation phase.

“Our strategy for the development of Tumas is unchanged, we will continue with the orderly derisking of the Project and ensure we are ready to reach FID when we are satisfied that the uranium market supports development of a greenfield project like Tumas,” interim chief executive Craig Barnes said. Field is due to take office in May 2026.

Deep Yellow has previously said uranium prices remain too low to justify the development of new projects. While global demand is rising amid renewed interest in nuclear power, the company is betting on higher prices as supply risks become more apparent, without setting a specific price target.

When the company made its statement last April, the long-term uranium price stood at $80 per pound, according to Cameco. The price has since risen to $86 per pound as of November 2025.

According to a feasibility study updated in December 2023, the Tumas mine is expected to produce 3.6 million pounds of uranium per year over a mine life of more than 22 years. Initial capital expenditure is estimated at $360 million.

Emiliano Tossou