Kazakhstan’s national atomic company, Kazatomprom, has announced an updated development strategy for the next 10 years, noting that its objectives for 2025-2034 are interdependent and complementary and will serve as a “fundamental guideline” for development. The company’s strategic objectives are to:

  • Enhance focus on uranium mining as Kazatomprom’s core business, with efforts concentrated on replenishment and efficient use of resource base;
  • Expand the company’s footprint in the nuclear fuel cycle;
  • Develop and expand its rare and rare-earth metals segment;
  • Continue to diversify sales and further enhance trading function; and
  • Improve and strengthen leading business and environmental, social, and governance (ESG) practices.

This is a continuation of the 10-year strategy which began in 2018 and which Kazatomprom has updated because of the early achievement of key strategic goals and fundamental changes in the nuclear industry, including the removal of more than 48,000 tonnes of uranium from primary global production. This has contributed to the recovery of the uranium market and to achieving a balance between supply and demand, while preserving uranium reserves for future needs and fostering sustainable long-term value.

Other 2018-2028 strategy objectives already achieved include transformation of Kazatomprom’s uranium sales strategy by establishing its own trading arm as well as “significant expansion of its geographical reach and sales portfolio” with the addition Brazil, Sweden, Spain, Argentina, Romania, and the UAE to its client base.

Kazatomprom also “enhanced its regional diversification by increasing the share of sales to the Americas from 16% in 2018 to 26% in 2023. In addition, Kazatomprom “successfully diversified its transportation routes, with the share of deliveries to Western facilities via the Trans-Caspian International Transport Route reaching 64% in 2023”. This route, which does not rely on Russian rail lines or ports, was put in place mitigate the risk of shipping uranium via St Petersburg being made unavailable for any reason.

Arman Argingazin, Chairman of Kazatomprom’s Board of Directors. Said the updated strategy “focuses on continuous development in a changing industry, optimising processes and exploring potential opportunities for strategic participation in other stages of the nuclear fuel cycle”. This “is expected to enable us to significantly replenish our resource base amidst growing demand, diversify long term revenue streams, mitigate geopolitical risks, and strengthen the company’s position in the global market, ensuring stable and sustainable growth”, he added.

On 2 January, Kazatomprom announced that it had temporarily suspended production activity at Inkai from 1 January. The project is operated as a joint venture of Kazatomprom (60%) and Cameco (40%). Kazatomprom said the suspension was necessary to comply with Kazakh law after the company failed to obtain some necessary approvals from state authorities by a 30 December deadline.

Cameco said this was unexpected. In a statement issued on 2 January, the Canadian company said it had only been notified on 31 December that JV Inkai had not received an expected extension of the timeline to submit its updated Project for Uranium Deposit Development documentation, due to the delayed submission of the necessary documentation to the Ministry of Energy.

Meanwhile, Kazatomprom’s Ulba-FA plant has reached its design capacity. Kazatomprom said that, by the end of 2024, the Kazakh-Chinese Ulba-FA joint venture had reached its design capacity of 200 tonnes of low–enriched uranium in the form of fuel assemblies. Ulba-FA is the only fuel production facility for NPPs in Central Asia. The project is being implemented by Kazatomprom through its subsidiary Ulba Metallurgical Plant JSC, together with China General Nuclear Power Corporation.

The production of nuclear fuel at Ulba-FA began in November 2021, since when the plant has systematically increased production volumes, following the schedule for reaching the design capacity within three years. All fuel assemblies produced at this plant are supplied to NPPs in China.