In this article, we will take a look at the Largest Uranium Producing Country in the World. We have also compiled a full free list of the 12 Largest Uranium Producing Countries in the World.
The Rising Uranium Market: A Powerhouse for Nuclear Energy and Global Growth
Uranium is a naturally occurring radioactive element found in the earth’s crust that is necessary for the creation of nuclear energy. Due to its high radioactivity and long half-life, uranium is not only used as a fuel in nuclear reactors but is also an essential component in the manufacture of nuclear bombs and warheads. The global uranium market was valued at $2,736.31 million in 2022 and it is projected to reach an impressive valuation of $3,398.52 million by the year 2028. The uranium market is forecast to grow at a compound annual growth rate of 3.68% during the forecast period of 2023 to 2028, according to a report on 360 Market Updates. This market is expected to expand given the rise in demand for the heavy metal. Moreover, the demand for uranium in nuclear reactors is forecast to increase at a rate of 28% by the year 2030, with the main reason for the increased demand being the government’s aims to achieve net-zero targets globally. With an expected increase of 14% in nuclear capacity by 2030 and an expected increase of 76% by the year 2040, the demand for uranium is going to show an upward trajectory in the coming years.
As evident, increased demand leads to a surge in prices. Uranium prices grew by 50% across the globe in 2023. Some of the factors, other than the increase in demand that contributed to the price increase, were supply chain disruptions, long-term contracting, and the boost in producer activity by traditional and ancillary players. What started off at $50 in the beginning of 2023, gradually increased to $60 in September, and then just a few weeks after September, uranium prices jumped to the $70s. To meet the rising demand, and to capitalize on the growing prices, companies are also increasing their production for uranium. Global uranium production is expected to grow by 11.7% to more than 60.3 kilotons (kt) in 2024, according to a report by Mining.com. Some of the companies leading uranium production are Cameco Corporation (NYSE:CCJ) and BHP Group Limited (NYSE:BHP).
Cameco Corporation (NYSE:CCJ)
Cameco Corporation (NYSE:CCJ) is a Canadian mining company that accounts for almost 17% of the global production. The company had the second-highest production of uranium in 2022, amounting to 5,675 tons. One of Cameco Corporation’s operating areas is the McArthur River Uranium Mine, which boasts the world’s largest high-grade uranium deposit with proven reserves of 265.5 million pounds as of 2023.
During the financial year 2023, Cameco Corporation (NYSE:CCJ) reported revenue of $2,588 million, showing a growth rate of almost 39% from the prior year when the revenue stood at $1,868 million. The company’s gross profit, however, had an increase of more than 100% as it grew from $233 million in 2022 to $562 million in 2023.
BHP Group Limited (NYSE:BHP)
BHP Group Limited (NYSE:BHP) is a prominent Australian multinational mining and metals public company with corporate headquarters located in Melbourne, Australia. As one of the biggest uranium-producing companies in the world, BHP Group Limited (NYSE:BHP) accounted for 6% of the global uranium supply. As of 2022, the company produced 2,813 tons of uranium.
The company reported a revenue of $53.82 billion for financial year 2023 . This was a decrease of $11.3 billion compared to the previous year due to lower prices across iron ore, metallurgical coal, and copper. BHP Group Limited (NYSE:BHP), however, was successful in taking home an underlying profit of $6.6 billion, for the 6 months ending 31 December 2023.
A close up of the reactor core, highlighting the complexity of the uranium power process.
Methodology
For the purpose of this ranking, we referred to the data provided by the World Nuclear Association on World Uranium Mining Production. Based on the latest values for each country for the year 2022, we arranged the data in ascending order and the top 12 countries with the highest uranium production were picked.
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1. Kazakhstan
Production from mines in 2022: 21,227 metric tons
In 2022, Kazakhstan emerged as the world’s top uranium producer. Its total output of 21,227 metric tons represented a significant 43 percent of the global uranium supply, according to the World Nuclear Association. Kazatomprom, the nation’s state-owned uranium mining company, holds the title of the world’s largest producer, with operations and partnerships spanning multiple regions. Concerns arose when news surfaced that Kazakhstan might not meet its production targets for 2024 and 2025, contributing significantly to uranium prices surpassing the $100 mark.
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You can see the full free list by going to the 12 Largest Uranium Producing Countries in the World.
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