Specialist global investment company C5 Capital has announced a strategic partnership with multinational mining and metals group Sibanye-Stillwater to explore advanced nuclear energy opportunities in South Africa and globally.

This collaboration will focus on identifying, acquiring, financing, developing, and managing uranium projects and production facilities capable of supplying uranium for small modular reactors (SMRs) and their fuel cycles, World Nuclear News reported on November 22.

London-based C5 Capital, founded by South African venture capitalist Andre Pienaar, specialises in investments in advanced nuclear energy, space, and cybersecurity and operates an Energy Security Fund to bolster the global nuclear value chain’s resilience. The company is a member of the World Nuclear Association (WNA) and a signatory of the Net Zero Nuclear Industry Pledge, an international initiative aimed at tripling nuclear energy capacity by 2050.

At the recently concluded COP29 climate conference in Baku, Azerbaijan, six more countries signed a declaration supporting this initiative, as reported by NewsBase. This brings the total number of endorsing countries to 31.

Nuclear power, recognised as a clean energy source, is increasingly seen as a viable alternative to coal-fired power, on which South Africa relies for electricity generation. The emergence of pebble bed nuclear reactors, commonly known as small modular reactors (SMRs), addresses many challenges associated with traditional nuclear power plants (NPPs).

According to Pienaar, SMRs are significantly less costly than conventional nuclear facilities and can be produced in a manner similar to manufacturing aircraft engines. Unlike large NPPs that require years to construct, SMRs offer a quicker and more cost-effective solution for deployment.

Uranium, essential for nuclear fuel production, has historically been a by-product of gold and copper mining in South Africa. Once a leading uranium producer, the country also developed capabilities to enrich uranium for nuclear energy and weapons programmes. However, South Africa now accounts for less than 1% of global uranium production.

Nevertheless, Pienaar believes that the combination of C5’s innovative investments in advanced nuclear solutions with Sibanye’s uranium production potential “creates a transformative partnership in clean energy both for South Africa and globally”.

Sibanye-Stillwater, with a diversified portfolio, holds significant uranium resources from its mining operations in South Africa, particularly through mine tailings retreatment.

The company’s Cooke and Beatrix gold mines contain nearly 60mn pounds (27,215 tonnes) of uranium resources. At the Cooke mine near Randfontein, Gauteng, there are 32.2mn pounds of measured and indicated uranium resources in surface waste, stemming from gold mining operations.

These resources are strategically important due to their proximity to existing processing facilities at Ezulwini-Cooke, where uranium production last occurred in 2016, according to the WNA.

The Beisa section of the underground Beatrix gold mine, located near Welkom in the Free State, holds an additional 26.9mn pounds of measured and indicated uranium resources. These deposits represent a potential opportunity for Sibanye-Stillwater to re-enter uranium production in the future.

Sibanye-Stillwater CEO Neal Froneman, said he was excited about the partnership with C5 Capital and looked forward “to collaboratively exploring future opportunities in the highly attractive uranium and clean energy sectors,” as reported by News24.