Lotus Resources Limited has provided an update on its Kayelekera uranium project in Malawi, confirming that the restart remains on track for first production in the third quarter of 2025. The company reported that cold commissioning of the processing plant is well advanced, having successfully tested key components such as the pre-leach, leaching, and resin-in-pulp circuits. Hot commissioning with mineralized ore is planned for early Q3 2025, ensuring that the plant’s mechanical and functional systems are ready for full production. In a strategic move, Lotus Resources Limited has decided to adopt an owner-operator mining model rather than engaging an external contractor. This change comes after a comprehensive tender process and examines cost efficiencies, with the owner-operator approach expected to lower mining costs—estimated at approximately US$11.3 per pound, a significant reduction from the project’s current C1 cash cost of US$34.5 per pound. The transition will be supported by an initial investment of around US$8 million in mining equipment and tools, with mining operations commencing in Q4 2025. During the ramp-up phase, production will be driven by stockpiled ore while the new mining operations are being established. The financing side of the restart program also appears robust. Lotus Resources Limited’s 85%-owned subsidiary has secured a revised non-binding term sheet with Standard Bank, upsizing the working capital facility from US$20 million to US$30 million. Additionally, binding documentation is nearing completion for an equipment finance facility of US$8.5 million with First Capital Bank. These steps ensure that the necessary capital is available to support working capital needs until the project generates positive cash flow. The news could be interpreted with a bullish outlook as the project shows strong progress in both technical and financial areas, suggesting enhanced operational control and cost efficiencies through the owner-operator model. The clear pathway to hot commissioning, coupled with a flexible financing structure, adds to the project’s credibility. However, potential bearish sentiments exist, particularly with the finalisation of financing subject to customary credit approvals, and the inherent risks associated with executing complex restart programs in emerging markets. Overall, the detailed approach to commissioning and cost management positions Lotus Resources Limited favorably while acknowledging the challenges typical of such large-scale projects.