While many Japanese stakeholders have been moving into the continent, one Japanese firm is seeking to exploit Africa’s nuclear potential.
Itochu Corp. announced that its wholly owned Australian subsidiary Nippon Uranium Resources will invest $137.9 million in Namibia’s Rössing South. Known as the Husab uranium project, the company describes the project as one of the largest uranium projects in the world. It is currently being developed by Australian uranium company Extract Resources. Feasibility studies are ongoing at the site and expected to become operational by 2014 producing an anticipated 5,700 tons of uranium annually.
Itochu has now become a 10.3% shareholder in the venture, the third largest investor behind Kalahari Minerals Ltd. and Rio Tinto Ltd. According to Itochu, it expects the project to receive full support from the Japanese government. The company had previously acquired a 14.9% stake in Kalahari in May which led state-owned Japan Oil, Gas, and Metals National Corp. committing $43 million to finance the Husab project’s exploration.
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