THE BOURSE WHISPERER: Vimy Resources (ASX: VMY) announced the establishment of a second uranium converter account for the company’s Mulga Rock project in Western Australia.
Vimy Resources has struck the new deal with New AREVA, a company that transforms nuclear materials so that they can be used to support development in the field of energy.
Vimy declared the opening this account to be an important logistical and administrative milestone for the company as all uranium concentrate production from the Mulga Rock project will be delivered to converter accounts.
Transfers of uranium concentrate will be made from these converter accounts to utility customers and sales invoicing will be finalised.
Uranium mined at Mulga Rock will constitute the first stage of the nuclear fuel cycle by being processed into a concentrate form at the project site.
The next stage entails the conversion of this concentrate into uranium hexafluoride.
This is carried out at several commercial uranium conversion plants operating globally, with the New AREVA plants located in France.
“Vimy is pleased to have cemented our relationship with New AREVA and we look forward to continuing to work with them in the future,” Vimy Resources managing director Mike Young said in the company’s announcement to the Australian Securities Exchange.
“The establishment of this account is timely as we complete the Definitive Feasibility Study for the Mulga Rock project and move into uranium marketing and funding activities.”