Mega wins WA's first uranium mining lease

Canadian company Mega Uranium has moved a step closer to becoming the first to mine uranium in WA by securing a mining lease for the Lake Maitland project 108km south east of Wiluna.

It is the first uranium mining lease to be granted in the State since the Liberal Government lifted a ban on uranium mining when it came to power last year.

Mega said the $101 million Lake Maitland project was at the definitive feasibility study stage and on schedule to begin production in early 2012.

The company said it would now increase its development and test work activities on the site, including trenching, bulk sampling for metallurgical studies, water studies and other project development work.

Mega intend to operate an open pit mine producing 1.65 million pounds of uranium a year over a mine life of at least 10 years.