How Will Elevate Uranium’s U-pgrade Pilot Plant Transform Uranium Mining?
Elevate Uranium has shipped its U-pgrade pilot plant to Namibia for commissioning and continues to expand uranium mineralisation at its Namib IV prospect. The company also moves to divest its Oobagooma project, sharpening its strategic focus.
- U-pgrade pilot plant factory tested and en route to Namibia for commissioning
- 253 drill holes completed at Namib IV, expanding mineralised envelope
- Agreement signed to sell Oobagooma Uranium Project to Orpheus Uranium Ltd
- Exploration expenditure of $1.26 million during the quarter
- No material changes to existing mineral resource estimates
U-pgrade Pilot Plant Nears Commissioning
Elevate Uranium Ltd has reached a key milestone with its proprietary U-pgrade pilot plant, which has completed factory testing in Perth and is now shipped to Namibia. The plant is expected to arrive in early November and be commissioned by the end of that month. This pilot plant is designed to demonstrate the company’s innovative beneficiation process that concentrates uranium ore by removing waste material, potentially transforming the economics of uranium extraction.
The U-pgrade process aims to produce a high-grade uranium concentrate with significantly reduced mass before leaching, which could halve both operating and capital costs compared to conventional methods. Elevate’s senior metallurgist, Andrew Jones, has relocated to Namibia to oversee the plant’s assembly and operation, underscoring the company’s commitment to advancing this technology towards commercialisation.
Expanding Resource Potential at Namib IV
Exploration drilling at the Namib IV prospect within the Koppies Uranium Project continues to deliver encouraging results. During the September quarter, Elevate drilled 253 holes totaling 7,101 metres, extending the mineralised envelope beyond 11 km by 7.5 km. The drilling program includes both broad-spaced step-out holes and infill drilling to better define mineralisation continuity.
Notably, the company is progressing towards estimating a maiden mineral resource at Namib IV in early 2026. This new resource, located just 10 kilometres from the existing Koppies resource, could enhance the overall project’s resource base, potentially extending mine life or enabling higher production rates in future mining operations.
Strategic Divestment of Oobagooma Project
In line with its strategic focus on the U-pgrade plant commissioning and advancing its Namibian and Northern Territory uranium portfolio, Elevate has entered into an agreement to sell its non-core Oobagooma Uranium Project in Western Australia to Orpheus Uranium Ltd. The transaction includes upfront cash payments and a substantial equity stake in Orpheus, with additional equity milestones tied to exploration activities over the next five years.
This divestment allows Elevate to concentrate resources and management attention on its core projects and proprietary technology, while maintaining exposure to Oobagooma’s potential upside through its shareholding in Orpheus.
Financial Position and Outlook
During the quarter, Elevate incurred exploration expenditure of approximately $1.26 million. The company reported net cash outflows from operating and investing activities but ended the quarter with a healthy cash balance of $18.87 million. Payments to related parties, including directors’ fees and salaries, amounted to $149,000.
Importantly, Elevate confirmed that there have been no material changes to its existing mineral resource estimates across its Namibian and Australian uranium projects. This stability provides a solid foundation as the company advances its pilot plant and exploration programs.
Looking Ahead
With the U-pgrade pilot plant commissioning imminent and a maiden resource estimate at Namib IV anticipated in early 2026, Elevate Uranium is positioning itself at the forefront of uranium beneficiation innovation. The company’s strategic divestment of non-core assets further sharpens its focus on unlocking value from its core uranium portfolio.
Bottom Line?
Elevate Uranium’s next chapters hinge on pilot plant performance and maiden resource results, which will be critical for validating its innovative beneficiation approach and growth prospects.
Questions in the middle?
- Will the U-pgrade pilot plant deliver the anticipated cost reductions and concentrate quality at scale?
- How significant will the maiden resource at Namib IV be in extending the Koppies Project’s mine life or production capacity?
- What are the financial and strategic implications of the Oobagooma sale for Elevate’s future growth?
