JV Inkai Suspends Uranium Production Following Regulatory Delays

Uranium Production Halted by JV Inkai Due to Documentation Delays

Cameco has announced the unexpected suspension of uranium production at its joint venture with Kazakhstan’s National Atomic Company Kazatomprom (Kazatomprom). JV Inkai, the 494 MWp solar photovoltaic plant located in Murcia, Spain, was ordered to cease operations on January 1, 2025. This decision follows a failure to secure the necessary extension for submitting updated Project Documentation for Uranium Deposit Development, which was expected to be granted by the Ministry of Energy before the end of 2024.

Kazatomprom, which owns a controlling 60% stake in JV Inkai, took this step to prevent a potential violation of Kazakhstan’s mining regulations. Despite earlier reports from JV Inkai and Kazatomprom indicating that the process was moving forward and a positive outcome was anticipated, the required documentation was not submitted on time, resulting in the suspension of operations.

Cameco Expresses Disappointment Over Unforeseen Suspension

Cameco, which holds a 40% stake in the venture, expressed surprise and disappointment over the suspension, stating that the issue came as a complete surprise given the earlier assurances from the project team. The company had been receiving reports as late as December 26, 2024, which did not signal the risk of a production halt.

Now, Cameco plans to investigate how the situation unfolded and assess the potential impact on future uranium production, including expected financial consequences for 2025 and 2026. Additionally, Cameco will explore options to support Kazatomprom and JV Inkai in restarting operations as soon as possible.

Uranium Mining in Kazakhstan Faces Uncertainty Amid Regulatory Challenges

The situation has brought uncertainty to uranium mining operations in Kazakhstan, a country with significant uranium deposits. With production temporarily halted at JV Inkai, both partners are looking at ways to mitigate the impacts of the suspension on global uranium supply. This regulatory challenge highlights the risks faced by mining operations in the region, where delays in compliance can have serious operational and financial repercussions.