Uranium One Group sells stakes in three JVs with Kazatomprom to Chinese cos

ASTANA. Dec 17 (Interfax) - Uranium One Group, a subsidiary of Russia's state nuclear corporation Rosatom, has exited several joint ventures with Kazakhstan's Kazatomprom.

"Uranium One Group has sold its 49.979% stake in JV Zarechnoye JSC to SNURDC Astana Mining Company Limited, the ultimate beneficiary of which is State Nuclear Uranium Resources Development Co., Ltd. (China). Kazatomprom's stake in this joint venture remains unchanged at 49.979%," Kazatomprom said in a statement.

Uranium One Group is also set to transfer its 30% stakes in JV Khorasan-U LLP and Kyzylkum LLP to China Uranium Development Company Limited, with Kazatomprom retaining its 50% ownership in both ventures.

"It is expected that Uranium One Group will also divest a 30% interest in JV Khorasan-U LLP and 30% in Kyzylkum LLP to China Uranium Development Company Limited, the ultimate beneficiary of which is China General Nuclear Power Corporation, subject to the completion of closing procedures of the transaction by its parties. Kazatomprom's stake in these assets remains unchanged and the company continues to hold 50% in JV Khorasan-U LLP and 50% (indirect) in Kyzylkum LLP," the statement said.

Zarechnoye JV operates at the Zarechnoye deposit in Kazakhstan's Turkestan Region. Discovered in 1977, the deposit's uranium reserves are estimated at approximately 3,500 tonnes as of early 2024. Mining operations at Zarechnoye are expected to conclude by 2028.

Khorasan-U LLP operates at the Kharasan-1 block of the Severny Kharasan deposit in the Zhanakorgan district of Kyzylorda Region. The site's uranium reserves are estimated at 33,000 tonnes as of early 2024, with mining expected to continue until 2038. All uranium extracted at Khorasan-U LLP is processed at Kyzylkum LLP's facilities, which are located directly at the mining site. Notably, Kyzylkum LLP does not hold subsoil use rights and is solely responsible for uranium processing services.

Kazatomprom is a global leader in uranium mining, rare metal processing, and the production of beryllium and tantalum products. The company exports 100% of its production. In 2023, Kazatomprom reduced uranium output by 1% compared to the previous year, totaling 21,112 tonnes. Kazatomprom remains state-controlled, with Samruk-Kazyna holding 62.99% of shares and the Kazakh Finance Ministry owning 12.01%. The free float is 25%.