52 Week Hi Lo
MD&A Quarterly Highlights as of 17.11.2017
Consolidated Financial Statements
GoviEx Uranium Inc. (TSX.V: GXU; FSE: 7GU; OTC MKTS: GVXXF) is a mineral resource company focused on the exploration and development of its African uranium properties. GoviEx’s principal objective is to become a significant uranium producer through the continued exploration and development of its mine-permitted Madaouela Project in Niger, its mine-permitted Mutanga Project in Zambia, and its Falea Project in Mali.
On June 19, 2014, GoviEx successfully closed its initial public offering (IPO) on the Canadian Securities Exchange (CSE), and began trading under the symbol “GXU”. On July 11, 2016, GoviEx transferred its listing to the TSX Venture Exchange (TSX-V).
GoviEx’s major industry shareholders include the following:
• Cameco, one of the world’s largest uranium producers, providing about 18% of global supply. • Toshiba, whose wholly owned subsidiary is Westinghouse, a world leader in supplying nuclear technology. • Denison, a uranium development and exploration company focused on the infrastructure-rich eastern portion of the Athabasca Basin region in northern Saskatchewan, Canada, and the manager of Uranium Participation Corp., a publicly-traded company that invests in uranium oxide and uranium hexafluoride. • Ivanhoe Industries, a U.S.-based, privately-held company actively engaged in supporting technology, energy, and natural resource companies worldwide.
• Strong shareholder base, including Denison Mines, Ivanhoe Industries, Toshiba Corporation, and Cameco Corporation. • A growing, Africa-focused uranium company with a robust project development pipeline and jurisdictional diversification. • One of the largest NI 43-101 uranium resource bases in combination amongst its peer group, with combined Measured Resources of 36.2 Mlbs U3O8, Indicated Resources of 107.3 Mlbs U3O8, and Inferred Resources of 86.0 Mlbs U3O8. • Considerable exploration potential to further increase mineral resources, with several drill-ready targets defined at each property. • Mining permits granted in Niger and Zambia, both recognized mining countries with good infrastructure and long mining histories.
• Located approximately 10 km south of Arlit, and Areva’s mining subsidiaries of Cominak and Somair, in north central Niger.
• Deposits hosted within sandstones of the Tim Mersoi Basin.
• Approved Mad 1 Mine Permit (January 2016), and ESIA (July 2015)
• Infrastructure includes road access, labour, ground water, and available grid power.
• Integrated Development Plan (PFS) updated August 2015.
• Mineral Resource (November 2017) of 111 Mlbs U3O8 contained in the Measured and Indicated, and 28 Mlbs U3O8 contained in the Inferred category.
• Probable mineral reserves are 60.54 Mlb U3O8.
• Uranium recovery forecast at 93.7%.
• Annual production forecast at 2.69 Mlb U3O8 for 21 years
• Cash Operating Cost forecast at US$24.49 /lb U3O8.
• Start-up Capital Expenditure of US$359 million.
• NPV post all taxes and royalties, and for 100% of the Madaouela Project at US$70/lb U3O8 and 8% discount rate of US$340 million.
• Further recovery and cost optimization to be focus of future studies.
• Located approximately 200 km south of Lusaka, immediately north of Lake Kariba, at elevations of 500 metres to 960 metres.
• Mineral resource (November 2017) of 15.2 Mlbs U3O8 contained in the Measured and Indicated, and 44.9 Mlbs U3O8 contained in the Inferred category.
• Uranium deposits hosted within sandstones of the Escarpment Grit Formation of the Karoo Super Group.
• Preliminary Economic Assessment completed November 2017.
• 11-year mine life forecast producing 2.6 Mlbs U3O8 per annum.
• Uranium recovery forecast at 88%.
• Start-up Capital Expenditure of US$121 million.
• Cash Operating Cost forecast at US$31.1 / lb U3O8.
• Mine license granted; based on open-pit mining + heap leach.
• Infrastructure includes road access via 39 km gravel road, ground water, and available grid power (approximately 60 km away).
• Located within the Falea-North Guinea-Senegal Neoproterozoic Basin
• Three licenses: Bala, Madini, and Falea.
• Mineral resource (October 2015) of 17.4 Mlbs U3O8 contained in the Measured and Indicated, and 13.4 Mlbs U3O8 contained in the Inferred category.
• In addition, contains 24 Mlbs Cu and 16 Moz Ag contained in the Measured and Indicated and 39 Mlbs Cu and 5 Moz Ag contained in the Inferred category.
• Only 5% of the 225 km2 land package has been explored.
• Most known ore zones remain open for exploration.
• Considerable technical and environmental work completed to date.
• Forecast underground mining operation.
• Process route includes recovery of copper and silver.
• Road and air access, including a gravel airstrip on-site.