BAKU, Azerbaijan, Apr. 7
By Nargiz Sadikhova - Trend:
Kazakhstan’s 2020 annual uranium production volume to decrease by up to 4,000 tons from previous expectations due to the impact of the COVID-19 outbreak, Trend reports with reference to Kazatomprom JSC National Atomic Company.
The company said that amid the current conditions, Kazatomprom’s first priority is the health and well being of its staff and the communities where the company operates.
“In order to abide by local lock down requirements and reduce the risk of a localized outbreak, all of the company’s subsidiaries are reducing the number of staff on site to minimum possible levels. We are now working with our joint venture partners on assessing the full impact and detailed implementation of this decision across all of Kazakhstan's uranium mines,” the company said.
The company added that these measures are expected to remain in place for three months, resulting in a lower level of wellfield development activity and, in consequence, a reduction in production volumes.
“Based on that assumption, the company expects Kazakhstan’s 2020 annual uranium production volume to decrease by up to 4,000 tons from previous expectations (previously 22,750 to 22,800 tons), although the precise impact on production may vary,” the company said.
The company added that the reduced production level is not expected to impact Kazatomprom’s 2020 sales obligations.
“Kazatomprom remains financially stable with a strong, unlevered balance sheet and a commitment to its dividend policy, including the minimum $200 million payment expected in 2020,” the company added.
Kazatomprom is the world's largest producer of uranium, with the company’s attributable production representing approximately 24 percent of global primary uranium production in 2019.
The Kazatomprom Group benefits from the largest reserve base in the industry and operates, through its subsidiaries, JVs and Associates, 24 deposits grouped into 13 mining assets. All of the Company’s mining operations are located in Kazakhstan and mined using ISR technology.
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