Bannerman Resources says it has no plans to delist from the Namibia Stock Exchange despite announcing this week that it was delisting from the Toronto Stock Exchange in Canada.
Chief executive officer, Brandon Munro told The Namibian yesterday that the company had decided to delist from TSX to cut costs, particularly given the limited trading on TSX over a sustained period of time.
"Over a 12-month period to the end of March, 90% of securities traded occurred on the Australian Stock exchange (ASX) and only 3,5% of Bannerman's shares are held on the TSX. The regulatory and other costs associated with maintaining the TSX listing could not be justified under these circumstances," said Munro in response to a question whether delisting in Canada means the company would do the same in Namibia.
"Our listing on the NSX is inexpensive compared to the TSX and is an important part of demonstrating our commitment to Namibia. Accordingly the TSX delisting has no implications for our NSX listing," he said. Munro said the company plan to remain listed on NSX in the long term.
He said it was wrong to speculate that the company will eventually delist from the NSX.
Bannerman announced this week that its application for a voluntary delisting on the Toronto Stock Exchange has been accepted and that its securities will be delisted from the TSX with effect from the close of business yesterday.
"No change will occur to the quotation and trading of Bannerman shares on the Australian Securities Exchange or the Namibian Stock Exchange and Bannerman's securities remain available for trading on the Australian Stock Exchange and the Namibia Stock Exchange," the company said.
Bannerman's Etango Uranium Project is one of the world's largest undeveloped uranium projects. It is located in the Erongo region.
Etango is one of the few uranium projects in the world with a completed definitive feasibility study (DFS) and environmental permitting and will be a top 10 producer once developed.
Based on the DFS, production is expected to be 7 to 9 million pounds of uranium oxide per year for the first five years and 6 to 8 million pounds per year thereafter.
It will have a minimum mine life of 16 years with significant expansion potential through the conversion of existing Inferred Resource as well as the deposit being open at depth and along strike.
Etango is considered by Bannerman to be a low technical and environmental risk project, with conventional open-pit mining and sulphuric acid heap leaching at 20 million tonnes per annum.
The Etango licence area is approximately 500 square kms.
