Kazatomprom’s CEO, Meirzhan Yussupov, highlighted a significant surge in the demand for nuclear power amidst geopolitical tensions in 2023. Yussupov stated that despite the challenges, the demand for nuclear energy, being a stable and low-carbon source, notably increased. With Kazakhstan contributing around 40% of the global uranium production annually, Yussupov proudly mentioned that approximately every third nuclear reactor worldwide is powered by Kazakh uranium.
The company emphasized its role in the energy security agenda amidst ongoing global geopolitical uncertainties. Operating in an ESG-compliant and low-risk jurisdiction, Kazatomprom positions itself as a reliable supplier of natural uranium, ready to cater to utilities’ needs in diversifying their supply sources.
Addressing the impacts of international sanctions, Kazatomprom reiterated its commitment to assessing and monitoring sanctions risks continuously. The company has developed action plans to mitigate negative impacts on its activities, adapting them to evolving risks and updates.
Regarding financial resilience amid geopolitical tensions, Kazatomprom stated that events in Ukraine have not affected its financial position significantly. Majority of its revenues are in US dollars, providing a natural hedge against currency risks.
The company has taken cautious steps regarding operations involving Russian banks under active international sanctions processes. Additionally, it continues to assess risks associated with its contracts, such as uranium processing with entities in the Russian Federation.
Despite potential challenges in transportation due to sanctions, Kazatomprom assures uninterrupted supply to end customers, thanks to continuous monitoring and the Trans-Caspian International Transport Route.
Regarding proposed US legislation on Russian enriched uranium imports, Kazatomprom clarified that it wouldn’t impact its primary business of natural uranium production.
The company reported a significant revenue increase in 2023, attributed to higher average realized prices, increased sales volumes, and revenue growth from fuel assembly and rare metal products segments.
Looking ahead, Kazatomprom expects uranium production volumes for 2024 to remain consistent, but acknowledges uncertainties due to construction delays at new sites, which may affect operating performance.
