DFS Update Commenced

PERTH, AUSTRALIA--(Marketwired - Feb. 2, 2017) - Bannerman Resources Limited (ASX:BMN)(NAMIBIAN:BMN) is pleased to report the commencement of the Etango Definitive Feasibility Study Update following successful conclusion of the Etango Heap Leach Demonstration Plant Program.

The six phase Heap Leach Demonstration Plant Program (Demonstration Plant) demonstrated the strong potential to achieve and exceed the Definitive Feasibility Study (DFS) metallurgical parameters. The Demonstration Plant testwork provides the opportunity to review the processing aspects of the DFS. This will occur in parallel with assessment of other potential operating and capital cost reduction opportunities identified by the Company in conjunction with AMEC Foster Wheeler.

HIGHLIGHTS

• Etango DFS Update commenced
• Targeting substantial capital and operating cost reductions
• Demonstration Plant provides evidence for improved recovery and reagent assumptions
• Other key value drivers to be evaluated across mining, processing and infrastructure
  
  
• Etango Demonstration Plant completed with excellent results across the six phases
• Valuable process knowledge generated over two year program duration
• Etango DFS assumptions confirmed as robust; de-risking of key processing aspects
• Testwork demonstrated exceptional leaching dynamics (93% extraction in 22 days) and lower acid consumption (14.4 kg/tonne), confirming Etango's low technical risk
• No observed impurities and potential for further reagent optimisation
• Phase 6 defined optimal particle size, enabling completion of program
  
  
• Etango maintains status as one of the world's most advanced large uranium development projects

Bannerman's Chief Executive Officer, Brandon Munro, said, "Our two year commitment to the Etango Demonstration Plant program has been a remarkable success. Not only have we consolidated Etango's position as one of the most advanced large uranium projects globally, but we have also generated substantial opportunities to enhance and further de-risk the Etango project. Combined with the excellent internal engineering our team has undertaken over the last year, and partnering with AMEC Foster Wheeler, we can now evaluate a stream of potential capital and operating cost wins that should collectively deliver a DFS Update which substantially improves Etango's forecast economics."

The full report is available on Bannerman's website at www.bannermanresources.com and on SEDAR (www.sedar.com).

About Bannerman - Bannerman Resources Limited is an ASX and NSX listed exploration and development company with uranium interests in Namibia, a southern African country which is a premier uranium mining jurisdiction. Bannerman's principal asset is its 100%-owned Etango Project situated near Rio Tinto's Rössing uranium mine, Paladin's Langer Heinrich uranium mine and CGNPC's Husab uranium mine currently under construction. A definitive feasibility study has confirmed the technical, environmental and financial (at consensus long term uranium prices) viability of a large open pit and heap leach operation at one of the world's largest undeveloped uranium deposits. Since 2015, Bannerman has conducted a large scale heap leach demonstration program to provide further assurance to financing parties, generate process information for the detailed engineering design phase and build and enhance internal capability. More information is available on Bannerman's website at www.bannermanresources.com.

ABN 34 113 017 128