Kazakhstan, which is the biggest uranium producer in the world, plans to decrease uranium production by 8%, or by 2,000 tons in 2017 (about 3% of total global output), Kazakh State Wealth Fund Samruk-Kazyna said in a report.
The output will be reduced due to weak market conditions triggered mostly by a global oversupply. In 2016 Kazakhstan produced 24,000 tons, up by or 1.7% YoY.
“The production is expected to rise once market conditions improve,” the report said.
Samruk-Kazyna noted that in response to the production cut plans, uranium prices recovered to above $24 per lb from of $17.75 per lb as at end of November 2016, its lowest level since February 2015.
Kazakhstan does not presently possess nuclear power generation capacity and exports all the uranium produced, primarily under long-term contracts. China accounts for 56% of Kazakhstan’s total uranium export.
Kazakhstan produced 39% of the world uranium in 2015. Canada (22%) and Australia (9%) follow as second and third biggest uranium producers. (Trend/Ukrainian metal)