KAP announces the change of partners in some JVs

JSC National Atomic Co. Kazatomprom

17 December 2024

 

AIX: KAP, KAP.Y (GDR)

LSE: KAP (GDR)

17 December 2024, Astana, Kazakhstan

Kazatomprom announces the change of the partners in some JVs

National Atomic Company Kazatomprom JSC ("Kazatomprom" or "the Company") announces the exit of its Russian partner from some joint ventures. Uranium One Group JSC, part of the Rosatom State Corporation, has sold its 49.979% share in JV Zarechnoye JSC to SNURDC Astana Mining Company Limited, the ultimate beneficiary of which is State Nuclear Uranium Resources Development Co., Ltd. (China). Kazatomprom's share in this joint venture remains unchanged amounting  49.979%.

JV Zarechnoye JSC operates at Zarechnoye deposit in Turkestan region, which was discovered in 1977. Uranium reserves of this deposit amounted to approximately 3.5 thousand tonnes at the beginning of 2024. Completion of mining operations at Zarechnoye deposit is expected in 2028.

It is expected that Uranium One Group JSC will also alienate 30% participation interest in the charter capital of JV Khorasan-U LLP and 30% participation interest in the charter capital of Kyzylkum LLP to China Uranium Development Company Limited, the ultimate beneficiary of which is China General Nuclear Power Corporation (CGN, China), subject to the completion of closing procedures of the transaction by its parties. Kazatomprom's share in these assets remains unchanged and the Company continues to hold 50% in JV Khorasan-U LLP and 50% (indirect) in Kyzylkum LLP.

JV Khorasan-U LLP operates at Kharasan-1 block of Severny Kharasan deposit in Zhanakorgan district of Kyzylorda region. Uranium reserves of the deposit amounted to about 33 thousand tonnes at the beginning of 2024, with an expected maturity in 2038. All uranium mined at JV Khorasan-U LLP is processed at the production facilities of Kyzylkum LLP, which are located directly at the mining site. Kyzylkum LLP does not hold any subsoil use rights and is only engaged in providing uranium processing services.

The Company welcomes new partners and wishes success in joint work. Kazatomprom is currently focused on its strategic priority to replenish mineral resource base and ensure sustainable growth of reserves. The Company has launched a large-scale exploration program aimed at assessing promising territories and discovering new deposits. The program is already bringing positive results, strengthening Kazatomprom's long-term leadership position. This year alone, the Company has obtained four new licenses for the exploration of promising uranium blocks which Kazatomprom plans to develop exclusively on its own. Preliminary estimates show that total forecasted resources of these blocks exceed 180 thousand tonnes of uranium.

For more information, please contact:

Investor Relations Inquiries

Botagoz Muldagaliyeva, Director, Investor Relations

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Email: [e-mail]

Public Relations and Media Inquiries

Altynay Karibzhanova, Chief Expert, Public Relations

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About Kazatomprom

Kazatomprom is the world's largest producer of uranium with the Company's attributable production representing approximately 20% of global primary uranium production in 2023. The Group benefits from the largest reserve base in the industry and operates, through its subsidiaries, JVs and Associates, 27 deposits grouped into 14 mining assets. All of the Company's mining operations are located in Kazakhstan and extract uranium using ISR technology with a focus on maintaining industry-leading health, safety and environment standards (ISO 45001 and ISO 14001 certified).

Kazatomprom securities are listed on the London Stock Exchange and the Astana International Exchange. Kazatomprom is the national atomic company in the Republic of Kazakhstan, the Group's primary customers are operators of nuclear generation capacity, the principal export markets for the Group's products are China, South and Eastern Asia, Europe and North America. The Group sells uranium and uranium products under long-term contracts, short-term contracts as well as in the spot market, directly from its headquarters in Astana, Kazakhstan, and through its Switzerland-based trading subsidiary, Trade House KazakAtom AG (THK).

For more information, please see the Company website at www.kazatomprom.kz.

Forward-looking statements

All statements other than statements of historical fact included in this communication or document are forward-looking statements. Forward-looking statements give the Company's current expectations and projections relating to its financial condition, results of operations, plans, objectives, future performance and business. These statements may include, without limitation, any statements preceded by, followed by or including words such as "target," "believe," "expect," "aim," "intend," "may," "anticipate," "estimate," "plan," "project," "will," "can have," "likely," "should," "would," "could" and other words and terms of similar meaning or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the Company's actual results, performance or achievements to be materially different from the expected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which it will operate in the future.

THE INFORMATION WITH RESPECT TO ANY PROJECTIONS PRESENTED HEREIN IS BASED ON A NUMBER OF ASSUMPTIONS ABOUT FUTURE EVENTS AND IS SUBJECT TO SIGNIFICANT ECONOMIC AND COMPETITIVE UNCERTAINTY AND OTHER CONTINGENCIES, NONE OF WHICH CAN BE PREDICTED WITH ANY CERTAINTY AND SOME OF WHICH ARE BEYOND THE CONTROL OF THE COMPANY. THERE CAN BE NO ASSURANCES THAT THE PROJECTIONS WILL BE REALISED, AND ACTUAL RESULTS MAY BE HIGHER OR LOWER THAN THOSE INDICATED. NONE OF THE COMPANY NOR ITS SHAREHOLDERS, DIRECTORS, OFFICERS, EMPLOYEES, ADVISORS OR AFFILIATES, OR ANY REPRESENTATIVES OR AFFILIATES OF THE FOREGOING, ASSUMES RESPONSIBILITY FOR THE ACCURACY OF THE PROJECTIONS PRESENTED HEREIN.

The information contained in this communication or document, including but not limited to forward-looking statements, applies only as of the date hereof and is not intended to give any assurances as to future results. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to such information, including any financial data or forward-looking statements, and will not publicly release any revisions it may make to the Information that may result from any change in the Company's expectations, any change in events, conditions or circumstances on which these forward-looking statements are based, or other events or circumstances arising after the date hereof.

 

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