ZUUVCH OVOO PROJECT
Since 1996, Orano Group’s exploration subsidiary company, Cogegobi, has been continuously carrying out geological reconnaissance and exploration work in the southeastern provinces of Mongolia: Dornogovi and Sukhbaatar.
Major achievements of exploration include discovery of the Dulaan Uul deposit in 2002 and the world-class Zuuvch Ovoo deposit in 2010, which significantly increased Mongolia’s overall uranium resources. These works have been conducted in accordance with the law on minerals adopted by the Parliament of Mongolia and international safety, security and environmental standards.
FROM EXPLORATION TO THE MINING DEVELOPMENT PHASE
Zuuvch Ovoo pilot test (2021-2022)
Badrakh Energy successfully completed the pilot test for uranium extraction and processing from the Zuuvch Ovoo deposit from July 2021 to December 2022.
Groundwater and aquifer in the Zuuvch Ovoo area
Advanced exploration began in 2011 for Zuuvch Ovoo. This involves detailed delineation of the mineralization in order to measure the quantity, grade, and geometry of the uranium ore bodies, as well as conducting hydro-geological studies and examining the geological environment.
Water is a vital natural resource. Understanding where it is and how it moves under the ground is essential in protecting this resource. By using geological maps and taking samples of underground and surface water for analysis, hydrogeologists are building a detailed picture of how water flows underground.
2
Pilot test mined uranium on 2 wellfields
30+
More than 30 monitoring wells used during the 2-year pilot test and over
18 months
Pilot test covered all stages to produce natural uranium product with a 75%
environmental monitoring
Controlling and monitoring
The test parameters were regularly checked automatically by a Control Command System, which also performed hydraulic and chemical analyses. Uranium, iron, acid concentration, pH, salinity and other characteristics were analyzed daily on site in a certified laboratory set up specifically to monitor the process.
35 monitoring wells or piezometers are installed both around and inside the well field areas and above and below the deposit to measure the hydrodynamics and quality of the groundwater.
A systematic water sampling program was conducted before, during and is conducted after the test to assess any impact the process may have had on the environment and particularly on groundwater quality.
All the environmental impact results of the ISR test were sent to the relevant Mongolian administrative bodies, along with the post-test environmental impact assessment.
Economic Benefits from the Project
- The mining project of Badrakh Energy is a large investment project for Mongolia and it creates a new mining industry.
- The project will be fully financed by Orano group and the majority of the benefits of the project will come to Mongolian State without any risk attached to financing or operation management.
- More than 2 billion USD will be paid as tax income during the project at national and local level.
- It will generate significant purchase and business opportunities in Mongolia at national and local level.
- in the project will contribute to the development of local infrastructure.
- 800 direct jobs will be created once mining starts, with the development of a highly skilled workforce & numerous training programs.
Project Benefits Today
97%
97% of all supplies are from Mongolian registered corporate entities
1 billion MNT
1,053,000,000 MNT license fee per year
9,2 billion MNT
Local contribution since 2006: total of 9,2 billion MNT
