Africa-Press – Namibia. A DEAL to create a cryptocurrency backed by uranium mined in Namibia has earned the Canadian mining company Madison Metals US$5,12 million (N$92 million) in 13 days.
Madison Metals has 23% shares in Namibia Nuclear Corporation Ltd’s mining licence 121, which is 46km north-east of Swakopmund and covers base and rare metals, dimension stones, industrial minerals, nuclear fuel minerals and precious metals.
The company bought the shares on 12 September for US$2 million and announced on 30 September it had signed a historic and first-of-its-kind uranium forward sales agreement with the Isle of Man-registered fintech company Lux Partners Ltd.
According to the five-year forward sales agreement that started on 15 October, Madison Metals is expected to deliver about 20 million pounds of triuranium octoxide (U308) from its mining projects in Namibia.
The five-year exclusive supply agreement provides that Madison supplies 7,65 million pounds (3 500 000kg) of U3O8 from its Namibian mines to the Lux partnership for the first-ever uranium-backed non-fungible tokens (NFTs).
The non-fungible tokens are blockchain-based and operate on secure and protected networks.
On its part, Lux Partners then create the Lux Uranium NFTs that are minted and sold via the Lux Network.
The Lux Uranium NFTs are available for sale to any country that is not under sanctions by the United States, Canada, and Namibia.
Sanctioned countries – Russia, Iran, India and North Korea – are banned from entering into a sales contract with Lux, and are therefore blocked from access to purchase on the Lux Market.
Lux also says no proceeds raised for the procurement of mining projects will be used to aid or help any Chinese or Russian mining projects.
Madison Metals said the initial sales had exceeded all Lux projections as the NFTs continue to offer an exceptional value proposition, price discovery and transparency for exposure to uranium at a marginal discount to the current U3O8 spot price quoted at US$52,60 (N$947,80) using 24 October’s rates.
The company also said it would provide additional guidance over the next two weeks as follow-on sales orders, market listings and partnerships are made public.
Madison Metals Inc claims to be an “upstream mining and exploration company focused on sustainable uranium production in Namibia and Canada using cutting-edge technologies and modern strategies”.
Apart from shares in Namibia Nuclear Corporation, Madison announced at the end of September that plans to buy an 85% stake in Otjiwa Mining and Prospecting CC in exclusive prospecting licences 8531 and 8115 were at an advanced stage.
These exclusive prospecting licences are under the Rössing North Uranium Project.
In addition, Madison Metals said the Ministry of Mines and Energy approved the transfer of a third of Giraffe Energy Investments Close Corporation’s concessions for a cash payment of C$50 000 (N$664 455) in September.
There appears to be a massive demand for nuclear generation, which now accounts for 10% of the world’s energy, with over 150 reactors under construction as the world gears up for a decarbonised world.
The director general of the International Atomic Energy Agency, Rafael Mariano Grossi, told delegates who attended the agency’s general conference in Vienna, Austria, last month that climate change and the energy crisis have led to more countries seeing nuclear power as a solution.
Grossi said 430 nuclear power reactors operating in 32 countries provide approximately 386 gigawatts of installed capacity, supplying some 10% of the world’s electricity and around a quarter of all low-carbon electricity.
He further said there are 57 reactors under construction in 18 countries, expected to provide about 59 gigawatts of additional capacity.
According to Grossi, the projection is that nuclear power generation is likely to double to 873 gigawatts (GWe) by 2050.
Madison Metals has 23% shares in Namibia Nuclear Corporation Ltd’s mining licence 121, which is 46km north-east of Swakopmund and covers base and rare metals, dimension stones, industrial minerals, nuclear fuel minerals and precious metals.
The company bought the shares on 12 September for US$2 million and announced on 30 September it had signed a historic and first-of-its-kind uranium forward sales agreement with the Isle of Man-registered fintech company Lux Partners Ltd.
According to the five-year forward sales agreement that started on 15 October, Madison Metals is expected to deliver about 20 million pounds of triuranium octoxide (U308) from its mining projects in Namibia.
The five-year exclusive supply agreement provides that Madison supplies 7,65 million pounds (3 500 000kg) of U3O8 from its Namibian mines to the Lux partnership for the first-ever uranium-backed non-fungible tokens (NFTs).
The non-fungible tokens are blockchain-based and operate on secure and protected networks.
On its part, Lux Partners then create the Lux Uranium NFTs that are minted and sold via the Lux Network.
The Lux Uranium NFTs are available for sale to any country that is not under sanctions by the United States, Canada, and Namibia.
Sanctioned countries – Russia, Iran, India and North Korea – are banned from entering into a sales contract with Lux, and are therefore blocked from access to purchase on the Lux Market.
Lux also says no proceeds raised for the procurement of mining projects will be used to aid or help any Chinese or Russian mining projects.
Madison Metals said the initial sales had exceeded all Lux projections as the NFTs continue to offer an exceptional value proposition, price discovery and transparency for exposure to uranium at a marginal discount to the current U3O8 spot price quoted at US$52,60 (N$947,80) using 24 October’s rates.
The company also said it would provide additional guidance over the next two weeks as follow-on sales orders, market listings and partnerships are made public.
Madison Metals Inc claims to be an “upstream mining and exploration company focused on sustainable uranium production in Namibia and Canada using cutting-edge technologies and modern strategies”.
Apart from shares in Namibia Nuclear Corporation, Madison announced at the end of September that plans to buy an 85% stake in Otjiwa Mining and Prospecting CC in exclusive prospecting licences 8531 and 8115 were at an advanced stage.
These exclusive prospecting licences are under the Rössing North Uranium Project.
In addition, Madison Metals said the Ministry of Mines and Energy approved the transfer of a third of Giraffe Energy Investments Close Corporation’s concessions for a cash payment of C$50 000 (N$664 455) in September.
There appears to be a massive demand for nuclear generation, which now accounts for 10% of the world’s energy, with over 150 reactors under construction as the world gears up for a decarbonised world.
The director general of the International Atomic Energy Agency, Rafael Mariano Grossi, told delegates who attended the agency’s general conference in Vienna, Austria, last month that climate change and the energy crisis have led to more countries seeing nuclear power as a solution.
Grossi said 430 nuclear power reactors operating in 32 countries provide approximately 386 gigawatts of installed capacity, supplying some 10% of the world’s electricity and around a quarter of all low-carbon electricity.
He further said there are 57 reactors under construction in 18 countries, expected to provide about 59 gigawatts of additional capacity.
According to Grossi, the projection is that nuclear power generation is likely to double to 873 gigawatts (GWe) by 2050.
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