Uranium producer Cameco has signed a memorandum of agreement with its partner, Kazatomprom, to increase annual production at Joint Venture Inkai Limited Liability Partnership (JVI) from 3.9 million pounds to 5.2 million pounds, Energy Business Review reported.
JVI owns and operates the Inkai in-situ recovery uranium mine and processing plant located in central Kazakhstan.
Cameco holds a 60% interest in JVI while Kazatomprom, the Kazakhstan government owned national atomic company, holds the remaining 40% stake.
Under the new agreement, Cameco's share of Inkai's annual production will be 2.9 million pounds with the processing plant at full capacity.
The company said it will also be entitled to receive profits on three million pounds.
To increase Inkai production, the company will need a binding agreement finalizing the terms of the memorandum, government approval and an amendment to the JVI resource use contract.