Industry news
eeting pledges to triple nuclear capacity
eeting pledges to triple nuclear capacity
by 2050 will mean opportunities for
by 2050 will mean opportunities for
all stages of the nuclear supply chain, from
all stages of the nuclear supply chain, from
mining to enriching to fuel fabrication. These
mining to enriching to fuel fabrication. These
opportunities – and associated challenges – were
opportunities – and associated challenges – were
widely discussed at the World Nuclear Fuel Cycle
widely discussed at the World Nuclear Fuel Cycle
2024 conference which took place in Almaty,
2024 conference which took place in Almaty,
Kazakhstan in April.
Kazakhstan in April.
Bannerman Energy Executive Chairman, Brandon
Bannerman Energy Executive Chairman, Brandon
Munro, and Vice President of Market Strategy,
Munro, and Vice President of Market Strategy,
Olga Skorlyakova, attended the conference,
Olga Skorlyakova, attended the conference,
with Brandon visiting the Baiken ISR uranium
with Brandon visiting the Baiken ISR uranium
mine, a joint venture between Kazatomprom and
mine, a joint venture between Kazatomprom and
Japanese company Marubeni. Kazatomprom is
Japanese company Marubeni. Kazatomprom is
the world’s leading uranium miner, accounting
the world’s leading uranium miner, accounting
for over one-fifth of the world’s production.
for over one-fifth of the world’s production.
Nuclear and climate change
For the first time ever, in December 2023,
For the first time ever, in December 2023,
nuclear energy was formally specified as one
nuclear energy was formally specified as one
of the solutions to solving the climate change
of the solutions to solving the climate change
fall-out in a COP agreement, with a multinational
fall-out in a COP agreement, with a multinational
ministerial declaration to triple nuclear energy
ministerial declaration to triple nuclear energy
capacity by 2050.
capacity by 2050.
But even if the world extends the operating lives
But even if the world extends the operating lives
of many existing reactors to 60 or even 80 years,
of many existing reactors to 60 or even 80 years,
this will still require the construction of about
this will still require the construction of about
tangible risk of encountering supply shortages.”
tangible risk of encountering supply shortages.”
It is estimated that by the early to mid-2030s, all
It is estimated that by the early to mid-2030s, all
sources of current uranium supply will not be
sources of current uranium supply will not be
adequate to meet requirements, he said.
adequate to meet requirements, he said.
According to Cameco Vice President: Marketing,
According to Cameco Vice President: Marketing,
David Doerksen: “There is ample uranium
David Doerksen: “There is ample uranium
(resources). The challenge is that uranium is
(resources). The challenge is that uranium is
going to be still in the ground and will require
going to be still in the ground and will require
time – and investment – to get it into the fuel
time – and investment – to get it into the fuel
cycle.” This need to build capacity presents
cycle.” This need to build capacity presents
a great opportunity for emerging uranium
a great opportunity for emerging uranium
developers that are now coming back into play.
developers that are now coming back into play.
1 000GWe of new nuclear in the next 26 years.
1 000GWe of new nuclear in the next 26 years.
This is the equivalent of 1 billion watts of electric
This is the equivalent of 1 billion watts of electric
capacity. “We need to build 40 GWe of new
capacity. “We need to build 40 GWe of new
nuclear capacity every year for the next 26 years,”
nuclear capacity every year for the next 26 years,”
stated World Nuclear Association Chairman
stated World Nuclear Association Chairman
Bohdan Zronek. “This would be about twenty
Bohdan Zronek. “This would be about twenty
1 000 MWe large reactors, and seventy 300MWe
1 000 MWe large reactors, and seventy 300MWe
small modular reactors, every year.”
small modular reactors, every year.”
Just how players in the front end of the fuel cycle
Just how players in the front end of the fuel cycle
are responding to this challenge was the focus
are responding to this challenge was the focus
for the first panel session of the conference.
for the first panel session of the conference.
Pricing incentivises new production
After many years dominated by low prices,
After many years dominated by low prices,
the nuclear fuel industry has now entered
the nuclear fuel industry has now entered
into a “distinct and promising phase marked
into a “distinct and promising phase marked
by a pricing environment that is much more
by a pricing environment that is much more
conducive to incentivise new production,” said
conducive to incentivise new production,” said
Dastan Kosherbayev, chief commercial officer of
Dastan Kosherbayev, chief commercial officer of
Kazatomprom, in the keynote address.
Kazatomprom, in the keynote address.
Rising prices act as “a vital catalyst” to encourage
Rising prices act as “a vital catalyst” to encourage
new producers into the market, and the
new producers into the market, and the
participation and success of these newcomers
participation and success of these newcomers
are imperative for the continued growth and
are imperative for the continued growth and
long-term sustainability of nuclear, he said:
long-term sustainability of nuclear, he said:
“Without active involvement and the subsequent
“Without active involvement and the subsequent
expansion of new operations, the industry is at a
expansion of new operations, the industry is at a
THE NEED TO
SUPERCHARGE
THE NUCLEAR FUEL CYCLE
12
BANNERMAN ENERGY | MAY 2024
Brandon Munro (third from right) used the time in Almaty to strengthen friendships
within the industry. The Kazatomprom team, pictured here, were excellent hosts.
Amount of new nuclear capacity needed
every year for the next 26 years, to triple
global nuclear energy capacity by 2050
Kazakhstan produces almost half of the
world’s uranium supply
43%
40 GWe
To prepare uranium for use in a nuclear reactor,
it undergoes the steps of mining and milling,
conversion, enrichment and fuel fabrication.
These steps make up the ‘front end’ of the
nuclear fuel cycle.
Front end:
After uranium has spent about three years in a
reactor to produce electricity, the used fuel may
undergo further steps, including temporary
storage, reprocessing, and recycling before the
waste produced is disposed. These steps are
known as the ‘back end’ of the fuel cycle.
Back end:
Nuclear fuel cycle explained