Japan's Itochu Corp, the fourth-largest trading company in the country, has signaled its intent to enter into a uranium development agreement with Uzbekistan, bne IntelliNews reported.
The company is poised to finalize this significant deal by the end of January, with senior officials from Itochu scheduling discussions with representatives from Uzbekistan's national geology and mineral resources committee. This move aligns with a visit by Japanese Trade Minister Akira Amari to Uzbekistan.
While specific details of the agreement have not been disclosed, reports from the Nikkei business daily suggest that Itochu is gearing up for talks on potential mining exploration ventures in Uzbekistan.
In 2011, Itochu had already demonstrated its commitment to the Uzbek uranium sector by signing a 10-year purchasing agreement with Uzbekistan’s Navoi Mining and Metallurgical Company (NMMC). The agreement involved the procurement of uranium concentrate, a vital component for Japan's energy sector.
As of May 2023, Uzbekistan ranked as the fifth-largest global supplier of uranium. An undated statement on Itochu’s website reinforces the corporation's enduring partnership with NMMC and Uzbekistan in the uranium supply chain.
Uzbekistan's uranium resources, as detailed in the 2022 Red Book, are extensive and diverse. The country boasts 49,200 tonnes (tU) of uranium in sandstones classified as reasonably assured recoverable resources, valued at up to $130 per kilogram of uranium (kgU). Additionally, there are 49,220 tU of inferred recoverable uranium resources in the same category. Beyond these resources, Uzbekistan holds 32,900 tU of uranium in black shales, an untapped resource awaiting commercial production.
Earlier Daryo reported that Uzbekistan's state-owned enterprise, Navoiyuran, has entered into a memorandum of strategic cooperation with China National Nuclear Corporation (CNNC) within the uranium industry. This agreement was formalized during the inaugural international forum on the advancement of the natural uranium sector in Beijing, where a meeting took place with CNNC Vice President Shen Yanfeng.
Navoiyuran, which initiated uranium mining activities in 2022 following its separation from the Navoi Mining and Metallurgical Plant, envisions ambitious growth in the coming years. The state-owned entity aims to achieve a doubling of its uranium production by 2030, targeting an annual output of 7,100 tons.
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