The EU welcomes the Salamanca mine
 
Berkeley Energia (BKY) is bringing supply security to the European Community

Berkeley Energia (BKY) is pleased to announce that the European Union has welcomed the development of the Salamanca mine by approving the Company’s offtake agreement for the sale of the first production.
 
There are high hopes that the Company’s investment will rejuvenate the local community which has been badly hit by long term unemployment by training local residents and creating jobs for those who would otherwise have to move away to find employment.
 
The EURATOM Supply Agency, the governing body for all nuclear fuel transactions within the European Union, has concluded that the agreement is in accordance with Article 52 of the EURATOM Treaty and has countersigned the agreement.

 
EURATOM has advised:
 
“We particularly welcome the emergence and development of a new EU based uranium mining project and believe that it will contribute to the security of supply of natural uranium for the Community users.”
 
Managing Director, Paul Atherley, commented:
 
“We welcome the strong support from the European Union for the Salamanca project, which is in construction and due to commence production next year.
 
Salamanca will be an important contributor to the EU’s security of supply. By providing 10% of the Community’s needs it will reduce the reliance on Russia, Kazakhstan and Niger which currently account for around 60% of supply.
 
We are very encouraged by the strong and growing support for the investment amongst all our stakeholders, not just from the EU but also from the various levels of government and local community, as evidenced by the rising number of job applications.
 
With around 25% of the permanent residents of the nearby villages applying for jobs our investment is expected to reverse the population decline, reduce the high levels of intergenerational and youth unemployment which in turn will see the local primary schools stay open and other public services return to the area.
 
Employment is expected to exceed 150 people by mid-year, long term there will be over 450 permanently employed and indirectly it has been estimated that our investment will generate a further 2000 badly needed jobs in the region.”
 
The Company has entered into a sales agreement for an average fixed price of US$44 per pound, which compares favourably to the current spot price of US$25 per pound and establishes a strong cash margin above the steady state production costs of around US$15 per pound.
 
Construction has commenced and is on track for first production in late 2018, which coincides with a large number of European and US utilities looking to re-contract at the same time as the Chinese new reactor demand comes on line.
 
The Company’s objective is to provide a reliable source of base load clean energy from the heart of the European Union. It will be able to fulfil approximately 10% of the continent’s total requirement once in production.
 
To read the full announcement please click here.
 

Kind Regards,

Katie Ryall 
+44 (0)203 903 1930