The Western Australian Department of Mines, Industry Regulation and Safety (DMIRS) has approved the Project Management Plan for the Mulga Rock uranium project, Vimy Resources announced today. Having already received approval from State and Federal governments, this is the first of three state government departmental approvals required to implement the project.

Ambassador East Test Pit at Mulga Rock (Image: Vimy Resources)

The approval of the Project Management Plan allows for the commencement of mining operations at Mulga Rock, subject to the granting of other necessary approvals.

Vimy said that, in parallel with the ongoing mobilisation of field crew to support site works at Mulga Rock, the company has now lodged a notification of the appointment of a Registered Manager with DMIRS to supervise those activities, as required under Western Australia's Mines Safety and Inspection Act 1994.

"The grant of the first of the three secondary approvals is a significant milestone along the path to developing the Mulga Rock Project," said Vimy Managing Director and CEO Mike Young. "Vimy has and will continue to work cooperatively with the various government departments to obtain the remaining approvals.

"Diversification and security of supply are front of mind for nuclear utilities as global uranium production shrinks from the middle of this decade. Combined with renewed activity in the term uranium market, this approval augurs well for a project Final Investment Decision in the year ahead."

The evaluation process for Mulga Rock began in July 2013 when Vimy lodged an application for the project. It has been assessed under a bilateral agreement under which the federal environment minister relies on the environmental impact assessment processes carried out at the state level.

The Western Australian minister for environment approved implementation of the project in December 2016, subject to conditions. In March the following year, Australia's minister for the environment and energy approved Vimy Resources' development of the project, also subject to conditions.

The Mulga Rock project has a total mineral resource estimate of 90.1 million pounds U3O8 (34,657 tU) and is located 290 km by road east-north-east of Kalgoorlie in the Great Victoria Desert. The mine is expected to have an annual production of 3.5 million pounds U3O8 (34,657 tU) by shallow open-pit methods over a 15-year life-of-mine.

Researched and written by World Nuclear News

Date: Saturday, 28 August 2021
Original article: world-nuclear-news.org/Articles/Mulga-Rock-project-management-plan-approved