Berkeley Energia to begin Salamanca project development in Spain

15 March 2016 (Last Updated March 15th, 2016 18:30)

Berkeley Energia has announced plans to begin development of the Salamanca project in western Spain.

Berkeley Energia has announced plans to begin development of the Salamanca project in western Spain.

So far, the company completed exploration and feasibility studies, invested more than $60m and has selected some of Spain's infrastructure contractors to start the work on the uranium project.

All major approvals are also in place for the Salamanca project.

As part of the works, the existing electrical power line will be re-routed to serve the project and a four kilometre realignment of an existing road would be made to allow for the commencement of mining of the Retortillo pit.

"Salamanca has now moved into the development phase and the local support we have received for the project is fantastic."

Berkeley selected energy generation and distribution company Iberdrola for the re-routing work.

The road deviation work will be carried out by mining contractor Excavaciones y Transportes Cerezo, which undertook various contracts in Spain.

Berkeley Energia managing director Paul Atherley said: "Salamanca has now moved into the development phase and the local support we have received for the project is fantastic.

"We are all very much looking forward to working closely with the local community as we bring the much needed jobs, training and new business activity to the area."

The project is expected to create long-term jobs and boost the regional economy.

Salamanca has a net present value of $353.5m with an internal rate of return of 54% based on a discount rate of 8%, and a long-term uranium price of $65 per pound.