Impact of international sanctions on Moscow has been growing concern
Kazakhstan’s state-controlled nuclear resources company said on 17 December that Russia’s state nuclear corporation Rosatom will be selling its stakes in several jointly developed uranium deposits to Chinese-owned companies.
Kazatomprom said that Rosatom unit, Uranium One Group, had sold its 49.979% stake in the Zarechnoye mine to SNURDC Astana Mining Company Limited, whose ultimate beneficiary is China's State Nuclear Uranium Resources Development Company.
Uranium One Group is also expected to give up 30% in the Khorasan-U joint venture to China Uranium Development Company Limited, the ultimate beneficiary of which is China General Nuclear Power Corporation (CGN, China), Kazatomprom said.
Zarechnoye’s uranium reserves amounted to approximately 3,500 tonnes at the beginning of 2024, according to Kazatomprom.
Khorasan-U operates at the Kharasan-1 block of Severny Kharasan deposit in the Zhanakorgan district of the Kyzylorda region. Uranium reserves of the deposit amounted to about 33,000 tonnes at the beginning of 2024, with an expected maturity in 2038, Kazatomprom said.
Press reports said that previously, Rosatom held stakes in six out of Kazatomprom’s 14 deposits, which complicated Kazatomprom’s ability to sell uranium to Western markets.
The impact of international sanctions on Russia, particularly due to its involvement in the Ukraine conflict, has been a growing concern for Kazatomprom.
The company’s chief executive officer Meirzhan Yussupov said in September that sanctions have complicated efforts to sell uranium to Western buyers, with Kazatomprom selling 29% of its output to Europe.
The company’s annual report highlighted the risks posed by its Russian partners, including potential reputational and corporate governance challenges.
Kazatomprom is the world’s largest producer of uranium and has the largest reserve base. It accounted for approximately 20% of global primary uranium production in 2023.
According to International Atomc Energy Agency data, China has 29 commercial nuclear power plants under construction, more than any other country. Russia is second with four.
