Blue Sky Uranium Corp. has recently announced the positive results of a new Preliminary Economic Assessment (PEA) for the Ivana uranium-vanadium deposit within the Amarillo Grande Project in Argentina. The PEA highlights impressive figures, including an after-tax Net Present Value (NPV) of $227.7 million, an after-tax Internal Rate of Return (IRR) of 38.9%, and a payback period of 1.9 years.
With a pre-production capital cost of $159.7 million, which includes a contingency of $35.4 million, and a Life of Mine (LOM) Sustaining Capital Cost of $27.3 million, the project showcases strong economic potential. The average LOM Total Cash Cost net of credits is $23.29/lb U3O8, while the Average LOM All-In Sustaining Costs net of credits is $24.95/lb U3O8.
Blue Sky President & CEO, Nikolaos Cacos, expressed confidence in the project’s low-cost profile and the resurgent uranium market. The company is preparing to initiate a prefeasibility study for the Ivana deposit and continue exploration efforts in the prospective district-scale Amarillo Grande project.
Detailed processing studies are underway to further enhance the project’s economics, with the aim of supporting a prefeasibility study in the near future. The PEA reaffirms the Ivana deposit’s potential as a leading uranium-vanadium project, with opportunities for resource expansion and mine-life extension.
Overall, the PEA provides an initial assessment of the project’s economic viability and development options. The project’s robust economics, along with ongoing exploration and optimization efforts, position Blue Sky Uranium Corp. for future success in the uranium market.
