Berkeley is holding out hope for its Spanish uranium project
Mining & Resources
Berkeley Energia says Spanish nuclear authorities have issued assurances they were not the source of widely circulated media reports that Spain was planning to deny permits for its Salamanca uranium mine.
Spanish media reports emerged earlier in October quoting an anonymous government source who reportedly said “the government will wait for the ongoing proceedings to go through, but it will say no”.
Another source said Berkeley (ASX:BKY) was “living in a parallel universe” if it believed the mine would soon become a reality.
The news sent Berkeley’s share price down nearly 30 per cent at the time.
Berkeley contacted Spain’s Nuclear Safety Council as well as the local energy and environment ministry seeking clarification.
This morning Berkeley told investors it was continuing to work with the Council to progress approvals for the Salamanca mine.
Shares advanced 5 per cent to an intra-day high of 30c on the latest update.
Berkeley has reportedly more than $113 million over the last decade to get the open pit mine up and running.
Estimated construction costs are more than $400 million.
If approved, Salamanca will produce 4.4 million pounds of uranium, which Berkeley says will make it a top 10 producer.