Kazatomprom is weighing uranium production in Mongolia

Kazatomprom, a subsidiary of Samruk-Kazyna, and Mongolia’s Mon-Atom have agreed to cooperate on uranium exploration and production in Mongolia, the Kazakhstani atomic company announced in a statement.

«Kazakhstan — the world leader in uranium production — is focused on further strengthening its status. Collaboration with Mon-Atom is an important step in this direction. This partnership opens new prospects for joint uranium production projects in Mongolia, allowing both countries to solidify their positions in the uranium industry,» the company stated.

The agreement for strategic cooperation between the two mining companies was reached during President Kassym-Jomart Tokayev’s official visit to Ulaanbaatar, Mongolia’s capital.

«The decision to establish a partnership between Kazatomprom and Mon-Atom was a key outcome of the president’s visit to Mongolia. Through joint projects, the companies will be able to combine resources and share expertise and technologies. As a result, uranium exploration and production will become more efficient and safer. We are committed to environmentally clean and safe industry development and believe this partnership will promote Kazakhstan’s and Mongolia’s standing on the international stage,» Kazatomprom CEO Meirzhan Yussupov said.

Kazatomprom also noted that it and Mon-Atom plan to expand their cooperation further, considering additional initiatives to strengthen both companies’ positions in the international uranium market.

In early August 2023, Kazakhstan’s Ministry of Foreign Affairs announced that Kazatomprom would begin operations in Jordan. However, Yerzhan Mukanov, then head of the company, reported that there had been no formal requests from Jordan and that Kazatomprom learned of this information through media reports.

Baurzhan Ibrayev, a former board member at Kazatomprom and representative of the New Nuclear Watch Institute (NNWI) in Central Asia, clarified that the national atomic company would not initiate uranium production in Jordan.

Kazatomprom is the world’s largest uranium producer, responsible for 20% of global uranium output, all of which is produced in Kazakhstan.

As of Oct. 1, 2024, the state-owned Samruk-Kazyna holds 62.99% of the company’s shares, while Citibank, as a nominal holder, controls 24.32%, and the Ministry of Finance holds 12.01%. The remaining shares are owned by minority shareholders. Kazatomprom’s securities are listed on the London Stock Exchange (LSE), the Astana International Exchange (AIX) and the Kazakhstan Stock Exchange (KASE).

In late 2018, during Kazatomprom’s initial public offering, one Global Depository Receipt (GDR) was priced at $11.60 in London and 4,343.85 tenge per share on the AIX. On KASE, the company’s share price recently declined by 0.3%, settling at 19,099.99 tenge ($39.16).