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Overview
Uranium Mining Operations in Uzbekistan
Navoi Mining and Metallurgy Combine (NMMC)
Uranium Mining and Milling Developments
Uranium production in Uzbekistan is limited to three in-situ leaching (ISL) operations in central
Uzbekistan: Uchkuduk, Zafarabad, and Nurabad. These facilities are
subordinate to the Navoi Mining and Metallurgy Combine (NMMC) in the city of
Navoi. In 1999, NMMC produced 2,130 metric tons (t) of product, or 6.8% of
the world's total
output. Output for 2000 and 2001 is estimated at 2,350t per year.[1]
NMMC is part of the Uzbekistani state holding company
Kyzylkumredmetzoloto. All uranium production in Uzbekistan is the property
of the Uzbekistani government.[2] Before 1992, all uranium mined and
milled in Uzbekistan was shipped to Russia. Since 1992, all
Uzbekistani uranium production is exported, mainly to the United States, through
the US-based intermediary Nukem, Inc. A 1992 suspension agreement on imports of
Uzbekistani uranium set limits on the amount of uranium production that could be
exported to the United States.[3] These limits were gradually increased until
July 2000, when the US International Trade Commission ruled that the sanctions
be lifted altogether.[4]
During the Soviet era, Uzbekistan provided the lion's share of
uranium to the Soviet military-industrial complex.[5] Five
"company towns" were constructed to support uranium production activities:
Uchkuduk, Zarafshan, Zafarabad, Nurabad, and Navoi. These five towns, with
a combined population of 500,000, provide NMMC with a stable and highly
skilled work force.[2] Many of the senior positions in Uzbekistan's uranium industry
are held by ethnic Russians.[5]
NMMC relies on Russia for the bulk of its materials,
instruments, machine tools, and reagents. In recent years,
however, it has been increasingly able to obtain the necessary equipment
domestically.[6] For more information,
see the 18 September 1997 entry below.
The Uzbekistani State Committee for Safety in Industry and Mining (Gosgortekhnadzor)
supervises ministries engaged in
mining-related activities.[7] The Nuclear Regulations Inspectorate under Gosgortekhnadzor has
responsibility for the control and supervision of the nuclear research
reactors and all nuclear and radioactive materials (including spent fuel) in
Uzbekistan.[8]
All significant uranium deposits are in the central Kyzylkum area, a 125km wide belt extending 400km from
Uchkuduk in the northwest to Nurabad in the southeast. Since 1994, all uranium has been extracted using ISL
technology by three mining
directorates: Northern, Southern, and No. 5. A fourth directorate, Eastern, was shut down in 1994. Please see Table 1 below for information
on active uranium mines and Table II for information on
additional possible uranium mining sites.
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Table I: Mining Directorates in Uzbekistan
| Mining Directorate (Location) |
Mines |
Comments |
| Northern (Uchkuduk, 187 miles northeast of
Navoi)[1] |
Uchkuduk,
Kendykijube[2] |
Mining began in 1961. Proven
reserves are estimated at 56,750t.[2] Underground and open pit
mining ceased in 1990 and 1994, respectively.[3,4] |
| Southern (Zafarabad, near border with
Tajikistan)[1] |
Sabyrsay,
Ketmenchi[2] |
Proven reserves are estimated at
55,820t.[2] Previously under the jurisdiction of Combine No. 6 in
Tajikistan, these mines were transferred to NMMC following the breakup of
the Soviet Union.[4] |
| No. 5 (Nurabad, 20km southeast of Navoi)[1] |
Severnyy Bukinay,
Yuzhnyy Bukinay,
Lyavlyakan,
Beshkak[2] |
Total proven resources
are estimated at 13,750t.[2] |
| Eastern |
Sugraly,
Zarafshan |
Shut down in 1994[2] |
Table II: Possible Additional Uranium Mining
Sites
| Site |
Comments |
| Almalyk |
By-product uranium recovered from lignite mining.[1]
According to Uzbekistani experts, however, this is a copper mine.[2] |
| Charkesar |
Site of former uranium mine.[3] According to
Uzbekistani experts, this is a marble mine.[2] |
Chavlisay-
Krasnogorskiy-Yangiabad |
Shut down[2] |
| Naugarzan-Chigrik |
Fluorspar and uranium mining.[1] Shut down[2] |
| Toytepa |
Uranium concentrate separated from uranium ore.[1]
According to Uzbekistani experts, this is a fluoride mine.[2] |
Navoi (400km west
of Tashkent)
Address: 27 Navoi Street, Navoi-2,
Uzbekistan 706800
Telephone: (436) 22-3-29-28
Fax: (436) 22-3-99-51
Director: Nikolay Kucherskiy
Operator: Kyzylkumredmetzoloto
The Navoi Mining and Metallurgy
Combine (NMMC), also known as Navoi Hydrometallurgical Plant Number 1,
was completed in 1964. Production from Uzbekistan's three ISL mining
directorates is transported by rail to NMMC for processing. The
plant has an annual production capacity of 3,000t. In
1998, 8,165 persons were employed at the Combine.
NMMC produces UO2 and U3O8 (yellowcake) from uranium concentrate derived
from ISL operations at Uzbekistan's three operational
mining directorates. Uranium
production in Uzbekistan peaked in the mid-1980s, when yearly production
measured 3,700 to 3,800t/year.[1] In
1999, NMMC produced 2,130t of U3O8,
or 6.8% of the total
world uranium output. As of April 2000, output for 2000 and 2001 was
estimated at 2,350t per year.[2]
CNS has received reports that a uranium
enrichment facility, possibly a pilot facility, was in operation at NMMC during the 1970s and 1980s, but is now
closed.[3]
While these sources are considered reliable, it has not been possible to
verify them independently. Uzbek nuclear industry officials deny that
uranium enrichment ever took place in Uzbekistan.[4,5] Concentration of
uranium into yellowcake does take place at the Navoi combine, but there is
no indication that conversion of uranium into uranium hexafluoride (UF6) gas
has been carried out at Navoi. This process would be a necessary first
step for enrichment by gas diffusion or gas centrifuge, which were the
technologies known to be employed in the Soviet Union, although experimental
enrichment technologies (e.g. chemical) might not require such a step.
Reports of enrichment activity in Uzbekistan during the Soviet period must
thus be considered unconfirmed at this point.
5/18/2000: UZBEKISTAN
SEEKS FOREIGN INVESTORS TO DEVELOP FIVE URANIUM DEPOSITS
Gerald Kamagurov, head of the Uzbekistani State
Geology Committee's Mineral and Raw Materials Department, announced that
Uzbekistan intends to set up joint ventures with foreign investors to
develop five mines: Aktau, Aulbek, Alendy, Kosgena, and Dzhantuar.[1]
Uzbekistan is also seeking foreign companies to independently explore the
East Toktynintau and Dzhangeldy fields, which have estimated reserves of
12,000 and 17,000 metric tons, respectively.[2]
4/15/98: NAVOI AND COGEMA PLAN TO FORM
JOINT URANIUM VENTURE
The Navoi combine intends to set up a
joint venture with the French company COGEMA to develop the Sugraly field in
the central Kyzylkum desert.[1] The two companies have signed an agreement
on trial mining of uranium at the deposit, which contains 38,000 metric tons
of proven uranium reserves.[2]
12/22/97: RUSSIA AND UZBEKISTAN SIGN NUCLEAR ENERGY AGREEMENT
On 22 December 1997, during a visit by Russian Prime Minister
Viktor Chernomyrdin
to Uzbekistan, an agreement on the peaceful use of nuclear energy was signed between the two
governments.[1] Uzbekistani President Islam Karimov said that, by signing
the
agreement, Uzbekistan showed its desire to restore and develop ties between
nuclear research facilities in Russia and Uzbekistan. Karimov
expressed his desire that Russia use Uzbekistani uranium for Russian nuclear power plants and
other purposes.[2] No action was taken on Russia's proposal to set up
joint enterprises to develop new uranium deposits in Uzbekistan.[3]
9/24/97: NAVOI COMBINE DEVELOPING NEW ISL
TECHNOLOGY
Navoi is developing and implementing a dilute acid
leaching technology in its new in situ leaching (ISL) fields. This
process may help reduce the environmental effects of ISL mining. Navoi
has also developed technology to decommission and restore ISL fields,
including the safe disposition of low-level waste.
9/19/97: NFE EXPERTS INSPECT NAVOI
MINING COMBINE
Representatives from Sweden's Nuclear Fuel
and Environment (NFE) project were in Uzbekistan from 11 to 19 November 1996
to hold several meetings with Navoi combine representatives and visit the
Navoi metallurgical plant, tailings impoundment, and laboratories. The
representatives also visited active ISL operation fields in Zafarabad
and Uchkuduk, and a restored ISL field in Zarafshan. The NFE
project examines the environmental policies of a given organization and how
they are implemented. The inspection results were favorable; NFE noted that
Uzbekistan plans to implement new international Basic Safety Standards for
radiation safety in 1998, two years ahead of the European Union. NFE
recommended that groundwater aquifers in areas where ISL has taken place
should be monitored to ensure no environmental damage occurs.
9/18/97:
DOMESTIC MANUFACTURING LOWERS URANIUM MINING COSTS
In November 1996, the plant in Nurabad
began production of PVC-clad drilling pipes which previously were bought in
Russia. This reduced the production cost of Uzbekistani uranium by
almost one-third. Uzbekistan has also organized the production of its
own immersion pumps. Navoi has awarded a $5-million order for
supplying drilling rigs to a plant in Kungur.
9/11/96: CIS URANIUM PRICES INCREASED
Due to the tightening supply in the international uranium
market, the price of uranium produced in the CIS has doubled since the
beginning of 1995. The export of CIS uranium is limited by US and EU
anti-dumping quotas imposed because these countries are concerned about
becoming too dependent on CIS material. CIS member states Kazakhstan and
Uzbekistan are among the 10 top world producers of uranium.[1]
9/9/96: TALKS ON JOINT VENTURE BETWEEN NAVOI COMBINE
AND NUKEM FALL THROUGH
It was reported that the Uzbekistani Navoi Combine and the
US firm Nukem have failed to create a planned joint venture. Chief Engineer
of the Navoi Combine, Yevgeniy Tostov, indicated that the combine and Nukem
have had disagreements concerning their shares in the creation of the joint
venture, the distribution of profits, and the volume of Nukem's investment.
However, the Navoi Combine has confirmed that Nukem will continue to have an
exclusive right to purchase Uzbekistan's uranium, in accordance with the
agreement signed by Navoi and Nukem in 1992. The Navoi Combine is planning
to increase its production to 3,000-3.500 tons of uranium from the 2,200
tons which are currently (1996) produced.
6/5/96: PROJECT DEVELOPED ON RE-TOOLING THE NAVOI
MINING AND METALLURGICAL COMBINE
It was reported that the Uzbekistani Cabinet of Ministers,
together with the management of the Navoi Mining and Metallurgical Combine,
has put together a $100 million project on re-tooling the combine by 2030,
given the current favorable trend in world uranium prices. Uzbekistan plans
to complete the construction of a $3.2 million plant in Nurabad for
manufacturing special drilling pipes in 8/96. Local manufacture of pipes,
formerly purchased from Russia, is expected to lower the cost of uranium
production by 20-30 percent. Equipment for the plant was supplied by German
companies. In 6/96, Uzbekistan opened bidding to several foreign companies
for replacing Navoi's drilling equipment; the $30 million contract will be
for several dozen drilling units. With exports to the United States
restricted by US quotas set in 1992, press reports maintain that Uzbekistan
managed to sell only a small amount of mined and processed uranium to
Ukraine under an inter-governmental agreement. Recently, a contract for 500
tons of Uzbekistani uranium was signed with a South Korean company.
5/96: CONFERENCE HELD ON URANIUM GEOLOGY AND ORE
RESOURCES
An international conference on uranium geology and
Uzbekistan's uranium ore resources occurred in Tashkent. The
Uzbekistani government invited Russian and CIS specialists to help prospect
for uranium resources.
2/12/96: VIOLATION OF UZBEKISTAN ANTI-DUMPING AGREEMENT
ALLEGED
It was reported that a group of US uranium producers and
the Oil, Chemical, and Atomic Workers International Union filed a petition
that a delivery of Uzbekistani uranium to the US in January 1996 violated
the Uzbekistani anti-dumping suspension agreement. The dispute between
Uzbekistan and Nukem on the one side and the petitioners on the other
involves the interpretation of an appendix to the 1992 suspension agreement
regarding grandfathered contracts.
12/18/95: US URANIUM MINERS CHALLENGE SUSPENSION
AGREEMENT
A suspension agreement which fixes the amount of
Uzbekistani uranium that can be supplied to US utilities companies is being
challenged by uranium miners in the US, who consider the contract unfair.
Accordingly, US miners filed a petition on 11/27/95 with the US Court of
International Trade in New York. A proposal by the US Department of
Commerce's Joseph Petrini to grandfather 75 percent of the Uzbekistani
uranium, for which utilities companies in the US had contracted before 27
March 1995, appears to be the central point of contention between the two
sides.
11/11/95: INTER-REPUBLIC TIES IN THE AREAS OF URANIUM
MINING AND REPROCESSING
According to the Minatom figures, Uzbekistan annually
consumes 1-2 percent of CIS uranium; 20 percent of CIS uranium ore deposits
are located on Uzbekistani territory. The article concludes that without the
integrated development of horizontal, inter-republic ties in the areas of
uranium mining and reprocessing, the CIS will not be able to compete
effectively.
9/13/95: AMENDMENT TO THE URANIUM SUSPENSION AGREEMENT
The Uzbekistan-US Department of Commerce uranium
suspension agreement was amended. The amendment will allow 940,000 lbs. of
Uzbekistani U3O8 to be shipped to the US for 2 years and be sold at a price
equal to or above a reference price (as of 31 July 1995: $12/lb.). After 2
years, the import quota is tied to US production levels - a limit of 600,000
lbs. if US production is below 3.5 million lbs., rising to an unlimited
quantity if US production exceeds 9 million lbs. The amended agreement would
also extend the original Uzbekistani suspension agreement until 2004. This
agreement would eliminate so-called enrichment bypass transactions.
6/95: UZBEKISTANI URANIUM MARKETING
Uzbekistani Goskomgeologiya officials complained that the
US uranium market is now essentially closed to Uzbekistan. As the United
States produces 60% of the world's nuclear fuel, Uzbekistan has lost a major
corner of the market. Uzbekistan currently sells primarily to France and
Canada (Cameco), with other firms showing some interest. Officials stated
that Uzbekistan only sells uranium to countries that provide guarantees that
it will be used for peaceful purposes. The end-user country must have either
an IAEA or a Euratom Safeguards Agreement in place.
10/94: AMENDMENT TO THE URANIUM SUSPENSION AGREEMENT
The US Commerce Department submitted a draft amendment to
the Uranium Suspension Agreement reached with Uzbekistan. This agreement
establishes quota limits for Uzbekistani uranium being sold on the American
market at a certain fixed price. This price is the average of the production
costs of in-situ leaching in the US and Uzbekistan.
9/27/94: THE EC TECHNICAL ASSISTANCE TO UZBEKISTAN
The European Commission is providing Uzbekistan with free
technical assistance regarding safe transportation and distribution of
natural and low-enriched uranium. EC experts will be visiting Uzbekistan to
assess the current transportation system and the develop new proposals
designed to ensure nuclear security.
10/16/92: SUSPENSION OF THE URANIUM ANTIDUMPING
INVESTIGATIONS
The US Commerce Department decided to suspend its uranium
antidumping investigations of Kazakhstan, Kyrgyzstan, Russia, Ukraine, and
Uzbekistan as long as a price-based quota, starting when the US market price
is $13/lb for U3O8 is imposed. The investigation was filed by an ad hoc
group of US uranium miners and the Oil, Chemical, and Atomic Workers Union.
Agreements were also signed with Tajikistan and Kyrgyzstan but no quotas
were established since these republics have uranium mills but no mines.
Should Kyrgyzstan or Tajikistan open any mines at a later date, the
agreement states that quotas may be set. This agreement will remain in force
until October 15, 2000.
Page last updated 8 August 2001
Comments or questions? Contact Kenley Butler at
MIIS CNS: Kenley.Butler@miis.edu
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