Advanced Nuclear Power - AREVA

Cover Story
AREVA, a World Leader
in Uranium Supply
AREVA is a world leader,
controlling about 20 percent of
worldwide uranium production
with a diversified mining
portfolio, distributed in three
of the four main uranium
provinces worldwide.
It has extensive mining interests
in Canada and Niger with four
mining sites. AREVA is now
developing the Muyunkum
mining site in Kazakstan, with
potential access to a reserve of
more than 40,000 metric tons of
uranium. Exploration is also
under way in Mongolia, Russia,
Niger and Canada. AREVA also
is anticipating a major investment
in the Cigar Lake mining
operation in Canada. Last but
not least, AREVA has firm access
to secondary resources (highenriched
uranium feed, HEU)
for the next 10 years.
reserves in a glutted uranium market.
More than two dozen mining
companies and dozens more electric
utilities worldwide have exited the
uranium exploration and production
business in the last 25 years.
Today production from AREVA
(through COGEMA), Cameco and
Rio Tinto, represents more than
50 percent of all uranium produced
worldwide. Only AREVA and
Cameco currently are actively
exploring for uranium.
“Our diversification policy is designed
to minimize risk and ensure the
reliability of our commitments to our
customers,” said Rémy Autebert,
Executive Vice President of COGEMA’s
Mining-Chemistry-Enrichment Sector.
“We also are actively engaged in
identifying future resources, and expect
to be in a good position to meet
future demand increases once excess
inventories have been used up.”
Conversion Capacity
Will Be An Issue
Once milled as “yellow cake,” the
uranium concentrate must be
converted into uranium hexafluoride
(UF6) before enrichment takes place.
As a result of declining prices due to
the massive sales of secondary supplies,
worldwide conversion capacity
has decreased. It is now insufficient to
meet demand, particularly in Europe.
The deficit will worsen over the next
few years as BNFL shuts down its UK
operations in 2006, leaving a market
shortfall of some 4,000 tons. Today,
AREVA’s McClean
uranium mill in
Canada
AREVA (through COGEMA and
Comurhex facilities with 20 percent
market share) is the leader among the
four companies supplying uranium
conversion services worldwide.
AREVA is working hard to maintain
high operating levels at its facilities to
assist customers through this period
of market tightness. In addition, the
company offers conversion services
that allow utilities to maximize benefits
from materials recovered, thanks to
reprocessing, and to reduce requirements
for natural uranium. As indicated by
Pierre Durante, COGEMA’s Director
of Sales for uranium conversion, during
the World Nuclear Fuel Cycle Seminar
at the end of March, 2004, AREVA is
studying the viability of a new
investment in this activity.
14 Advanced Nuclear Power N O 11 November 2004