Russia’s state nuclear corporation, Rosatom, is divesting its stakes in significant Kazakh uranium deposits, transferring ownership to Chinese companies.
Key Transactions:
- Zarechnoye Mine: Rosatom’s subsidiary, Uranium One Group, has sold its 49.979% stake in the Zarechnoye uranium mine to SNURDC Astana Mining Company Limited, ultimately controlled by China’s State Nuclear Uranium Resources Development Company.
- Khorasan-U Joint Venture: Uranium One is also expected to relinquish its 30% stake in the Khorasan-U joint venture to China Uranium Development Company Limited, associated with China General Nuclear Power Corporation (CGN).
These ownership changes will not affect the stakes held by Kazatomprom, Kazakhstan’s state-controlled nuclear resources company.
Details of the Uranium Deposits:
- Zarechnoye Mine: As of early 2024, the mine’s uranium reserves were approximately 3,500 tonnes.
- Khorasan-U Deposit: Located in the Kyzylorda region’s Zhanakorgan district, this deposit had about 33,000 tonnes of uranium reserves at the beginning of 2024, with production expected to continue until 2038.
In 2023, Uranium One produced 4,831 tonnes of uranium in Kazakhstan.
Global Uranium Production Context:
Kazatomprom remains the world’s largest uranium producer, accounting for approximately 20% of global primary uranium production in 2023.
Implications:
- Strategic Realignment: Rosatom’s divestment from these Kazakh assets indicates a strategic shift, potentially reallocating resources to other projects or regions.
- China’s Energy Security: Acquiring stakes in these uranium deposits aligns with China’s strategy to secure a stable supply of nuclear fuel for its expanding nuclear energy sector.
- Market Dynamics: The transfer of these significant uranium assets may influence global uranium market dynamics, potentially affecting supply chains and pricing.
Note: This summary is based on information available as of December 17, 2024. For the latest updates, please refer to official communications from Rosatom, Kazatomprom, and the involved Chinese entities.
