State uranium giant’s plans for 2025 could also be affected
Kazakhstan’s national nuclear company Kazatomprom expects to adjust its 2024 uranium production guidance due to factors including the availability of sulphuric acid and delays in completing construction works at newly developed deposits, although it remains committed to its delivery obligations for the year.
The company said there were challenges related to global supply chains and limited availability of certain key operating materials and reagents, issues that would pose a risk to planned production increases.
If limited access to sulphuric acid continues throughout 2024, and should Kazatomprom not succeed in catching up with construction work scheduled at newly developed deposits in 2024, its 2025 production plan may also be affected, a statement said.
In August 2022, Kazatomprom’s board approved plans to increase 2024 uranium production to a 90% level relative to its subsoil use agreements, an increase of 2000-3000 tU above expected 2023 levels. Kazatomprom said that decision was based primarily on its continued success in signing mid- and long-term contracts with new and existing customers.
“Kazatomprom has been putting its best efforts and is continuing to work on securing the supply of critical operating materials and reagents, however the challenging situation around sulphuric acid is evolving in Kazakhstan and in the region,” the statement said.
“Given the growing demand from agricultural and industrial enterprises and shortages on both domestic and foreign regional markets, preliminary agreements with suppliers resulted in securing lower than required volume of sulphuric acid for 2024.
Kazakhstan produces more than 40% of the world’s uranium and is seen as a key supplier by major nuclear operators. Kazatomprom recently signed a long-term deal to supply the material to China, as the Central Asian country steps up cooperation with Beijing.
