Peninsula Energy (ASX:PEN) has restarted uranium production at its Lance Projects in Wyoming, USA, following a five-year suspension.
Production resumed on 18 December 2024 within Mine Unit 1 (MU-1).
Uranium recovery
Facilities were originally constructed in 2015 using an alkaline In-Situ Recovery (ISR) method.
Peninsula has now transitioned processing to a low-pH ISR method, which offers a better recovery rate, lower costs and faster reaction time than the previous method.
Next steps
Uranium extracted from MU-1 is currently being processed through the Phase 1 satellite plant's ion exchange system. The flow rates and grades are reportedly meeting expected levels, with further increases anticipated.
Construction of Peninsula's Phase 2 processing plant is ongoing, with Peninsula expected to produce its first dry yellowcake product by early March 2025.
Once Phase 2 construction is complete, Lance will have a 5,000-gallon-per-minute (GPM) uranium recovery system with capacity to produce up to 2 million pounds of dry yellowcake (U3O8) per year.
Peninsula’s Managing Director and Chief Executive Officer Wayne Heili commented: "This has been years in the making, a lot of hard work, and with a fair share of challenges, so we are grateful to the team involved and for the ongoing support of our shareholders."
Heili also emphasised Peninsula’s position as "North America's newest fully independent uranium producer," noting the importance of uranium supply as global demand for nuclear energy increases. He said the company is poised to play "an important role in a clean energy future".
Shares in Peninsula Energy closed 6.57% higher at $1.14 yesterday.
