Bannerman Energy (ASX:BMN) Launches A$124 Million Underwritten Placement to Fully Fund Etango Uranium Project Construction

Sonal Goyal

09 September 2026 12:02 PM AEST

Bannerman Energy (ASX:BMN) Launches A$124 Million Underwritten Placement to Fully Fund Etango Uranium Project Construction

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Key Highlights

• All conditions precedent to the CNOL strategic Investment and joint venture have been satisfied or waived; completion is expected in September 2026, followed by a Final Investment Decision and commencement of full-scale construction in Q4 2026.

• Bannerman is raising A$124 million via a fully underwritten institutional Placement at A$4.00 per share — a 5.4% discount to the last close of A$4.23 — with settlement expected on 15 September 2026.

• A non-underwritten Share Purchase Plan targeting up to A$10 million will open on 18 September 2026 for eligible existing shareholders with a registered address in Australia or New Zealand.

• The placement, alongside CNOL subscription and reimbursement payments and CNOL's pro-rata contributions, is expected to fully fund Etango through construction and ramp-up on a debt-free basis.

Bannerman Energy Ltd (ASX:BMN) (NSX:BMN, OTCQX:BNNLF), a uranium development company with its flagship Etango Uranium Project in Namibia, has announced the launch of a fully underwritten A$124 million institutional placement, timed to coincide with the confirmation that all conditions precedent to the completion of its strategic investment and joint venture transaction with CNNC Overseas Limited (CNOL) have been either satisfied or waived. CNOL is a Subsidiary of China National Nuclear Corporation (CNNC), described as a leading integrated global nuclear Utility group.

The CNOL transaction was originally announced on 12 February 2026. Under the transaction, CNOL acquires a 45% Equity interest in a UK-incorporated joint venture company (JVCo) through Bannerman Energy (UK) Ltd, with Bannerman retaining 55%. Completion of the Share Subscription Agreement (SSA) and execution of the Shareholders Agreement (SHA) is expected during September 2026, at which point CNOL will make its initial investment. Following completion, Bannerman has indicated that a Final Investment Decision (FID) and commencement of full-scale construction on Etango are expected during Q4 2026.

Placement Details: Pricing and Use of Proceeds

The fully underwritten placement is priced at A$4.00 per new share, representing a 5.4% discount to the closing price of A$4.23 on 8 September 2026. The placement will issue approximately 31 million new fully paid ordinary shares, raising A$124 million before costs. The new shares will be issued pursuant to Bannerman's existing capacity under ASX Listing Rule 7.1 and will rank equally with existing ordinary shares. Settlement is expected on 15 September 2026, with allotment on 16 September 2026. Macquarie Capital (Australia) Limited and Canaccord Genuity (Australia) Limited are acting as Joint Lead Managers, Joint Underwriters, and Joint Bookrunners. Jett Capital Advisors, LLC is acting as Co-Lead Manager.

The proceeds from the placement are intended to fund Bannerman's 55% share of residual Etango Working Capital requirements, additional working capital headroom and contingencies for construction activities, growth initiatives, and general corporate expenses and offer costs. The company has stated that the placement, alongside existing cash, near-term CNOL subscription and reimbursement payments, and CNOL's pro-rata working capital contributions, is expected to fully fund Etango through construction and ramp-up.

Share Purchase Plan: Up to A$10 Million for Existing Shareholders

In addition to the institutional placement, Bannerman is conducting a non-underwritten Share Purchase Plan (SPP) targeting up to A$10 million. The SPP will open on 18 September 2026 and close on 2 October 2026, with results expected on 9 October 2026. Eligible participants are existing shareholders with a registered address in Australia or New Zealand who held Bannerman shares as of 7:00pm Sydney time on 8 September 2026 (the SPP Record Date). Each eligible Shareholder may apply for up to A$30,000 worth of new shares at the same A$4.00 offer price, without incurring brokerage fees. As the SPP is not underwritten, the final amount raised may be less than A$10 million. The company retains the right to scale back applications if applications exceed A$10 million.

Etango Project: Scale, Credentials, and CNOL Partnership Benefits

The Etango Uranium Project, located in the Erongo Region of Namibia, is an advanced uranium development asset underpinned by a Definitive Feasibility Study (DFS) completed in December 2022 for the Etango-8 Project, targeting an average annual output of 3.5 million pounds of U₃O₈ at 8 million tonnes per annum throughput through open-pit Mining and heap leach processing. A 2024 scoping study demonstrated potential for expansion of annual production to 6.7 million pounds U₃O₈. All environmental approvals have been obtained, and a Mining Licence was awarded in December 2023. The Etango Heap Leach Demonstration Plant has been constructed and operated over multiple years to de-risk the processing approach.

Under the CNOL joint venture, CNOL will purchase 60% of Etango's production on arm's-length, market-based terms, providing Bannerman with a Tier-1 offtake counterparty while retaining 40% of production for flexible marketing. The arrangement also provides Bannerman with the operational experience of CNNC, which has an established presence in Namibia through its ownership of the Rossing (68.62%) and Langer Heinrich (25%) uranium mines.

Share Price Performance

Bannerman Energy (ASX:BMN) shares closed at A$4.23 on 8 September 2026, the last trading day before the announcement. \

Conclusion

Bannerman Energy's announcement of a fully underwritten A$124 million placement, timed with the confirmation that the CNOL transaction is unconditional, marks a convergence of funding and partnership milestones for the Etango Uranium Project. The placement proceeds, combined with CNOL's investment and ongoing pro-rata contributions, are stated to be sufficient to fund Etango through construction and ramp-up on a debt-free basis — a structurally differentiated approach to project financing in the uranium sector. The FID and commencement of full-scale construction are expected in Q4 2026, subject to the completion of the CNOL transaction. The additional SPP provides existing eligible shareholders an opportunity to participate at the same Offer Price as institutional investors.

FAQs

Q: What is CNOL and what role does it play in the Etango Project?

A: CNNC Overseas Limited (CNOL) is a subsidiary of China National Nuclear Corporation (CNNC). Under the joint venture, CNOL acquires a 45% equity interest in the incorporated JVCo through which Etango will be funded, developed, and operated. CNOL will also purchase 60% of Etango's uranium production on arm's-length, market-based pricing terms.

Q: Why is the debt-free funding structure significant?

A: Funding a uranium mine construction through equity rather than debt removes the fixed interest payment obligations and covenant structures typically associated with project finance. This approach provides greater flexibility in offtake arrangements and reduces financial risk during construction and ramp-up, particularly if commissioning timelines or uranium prices deviate from projections.

Q: What is the Etango Uranium Project's production profile?

A: Based on the December 2022 DFS for the Etango-8 Project, the project targets average annual output of 3.5 million pounds of U₃O₈ at 8 million tonnes per annum ore throughput, via conventional open-pit mining and acid heap leach processing. A 2024 scoping study demonstrated the potential to expand annual production to 6.7 million pounds U₃O₈.

Q: Who is eligible for the Share Purchase Plan?

A: Eligible existing shareholders are those with a registered address in Australia or New Zealand who held Bannerman shares at 7:00pm Sydney time on 8 September 2026 (the SPP Record Date). Each eligible shareholder may apply for up to A$30,000 worth of new shares at A$4.00 per share. Shareholders outside Australia and New Zealand are not eligible to participate in the SPP.

Q: When does Bannerman expect to make a Final Investment Decision on Etango?

A: Bannerman has indicated that the FID and commencement of full-scale construction are expected during Q4 2026, following the completion of the CNOL transaction, which is itself expected during September 2026. Early works construction activities have already commenced and are described as tracking in line with budget and schedule.

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