CHAMWE KAIRA
Bannerman Energy has launched a fully underwritten A$124million (N$1.43 billion) equity placement to help fully fund the development, construction and ramp-up of its Etango Uranium Project in Namibia.
The capital raising follows confirmation that all conditions precedent relating to China National Nuclear Corporation subsidiary CNNC Overseas Limited’s (CNOL) strategic investment and joint venture transaction with Bannerman have either been satisfied or waived. Completion of CNOL’s investment is expected during September 2026.
Bannerman said the proceeds from the A$124 million placement, together with its existing cash resources, anticipated CNOL subscription and reimbursement payments, and CNOL’s pro-rata working capital contributions, are expected to fully fund the Etango project through construction and ramp-up.
The company will also conduct a non-underwritten share purchase plan to raise up to a further A$10 million.
The placement is being conducted at an issue price of A$4.00 per share, representing a 5.4% discount to Bannerman’s closing share price of A$4.23 on 8 September 2026.
Bannerman expects to use the proceeds primarily to fund its 55% share of the residual working capital requirement for Etango, while additional funds will provide further headroom for construction activities, future contingencies and growth initiatives, as well as general corporate expenses and costs associated with the offer.
Following completion of the CNOL transaction, Bannerman expects to take a Final Investment Decision and commence full-scale construction at Etango during the fourth quarter of 2026.
The company said early works construction activities at the project are currently tracking in line with both budget and schedule.
Bannerman Executive Chairman, Brandon Munro described the developments as transformational for the company, saying the strategic financing arrangement and equity raising would provide funding through to production and ramp-up, including working capital requirements.
Munro said the combination of the underwritten placement and CNOL’s investment would allow Bannerman to develop Etangoon a debt-free basis, reducing the financial risks associated with construction and ramp-up.
He added that CNOL would also provide execution support to the project, while the flexible cornerstone offtake arrangement would maintain Bannerman’s exposure to uranium market prices.
Bannerman said the funding arrangements provide the company with a path towards becoming a large-scale greenfield uranium producer, as it advances Etango towards first uranium production.
