Press Release: Irkol Uranium Mine Opening Ceremony

28.04.2009

Shieli district, Kyzylorda region

 The official opening ceremony for a new in-situ leaching deposit - Irkol - with a production capacity of 750 tonnes of uranium per annum was held in the Shieli district of the Kyzylorda region on April 28, 2009. It is the first mine to be put into commercial operation within the framework of Kazakhstan-Chinese cooperation in the sphere of nuclear power. The mine’s operator are is the joint venture Semizbai-U LLP and the project is being implemented within the framework of the strategic partnership agreement between JSC NAC Kazatomprom and the China Guangdong Nuclear Power Co. (CGNPC) signed in Astana in October 2008.
 
The mine opening ceremony was attended by  Mr. Timur Zhantikin, the Chairman of the Atomic Energy Committee within the Ministry of Energy and Mineral Resources of the Republic of Kazakhstan; Mr. Moukhtar Dzhakishev, the President of JSC NAC Kazatomprom together with Semizbai-U executive officers and representatives of local executive bodies and public figures. The importance of the event was confirmed by the high status of the Chinese delegation led by Mr. Zhang Guobao, Vice Chairman of the National Development and Reform Commission and Director General of National Energy Administration of the Peoples Republic of China and Mr. Qian Zhimin, the CGNPC Chairman of the Board of Directors alongside other executive officers of the corporation, representatives of the Peoples Republic of China Embassy in the Republic of Kazakhstan and executives of the CGNPC Uranium Resources Corporation – a subsidiary enterprise managing the Guangdong Corporation’s foreign uranium mining projects - and other officials.
Production
The project capacity of 750 tonnes of uranium per annum is expected to be reached within the next twelve months with plans this year for the extraction of 500 tonnes of natural uranium. Uranium production through the in-situ leaching method is estimated to last 25 years. Under an agreement between JSC NAC Kazatomprom and CGNPC, the production of the Irkol mine is destined for meeting the needs of  the Chinese nuclear power industry.
 
Infrastructure   
Uranium production is connected with operations at the Karamurun mine and has direct access to the main communications of the Shieli district by railway, road and power lines. A graded road with asphalt covering has been constructed to connect the Shieli railway station with the deposit.
 
Social sphere
The opening of the Irkol mine has allowed for the creation of 460 working places in the Shieli district of the Kyzylorda region. It is also planned to train local workers with their further job placement in mind. Semizbai-U LLP takes an active participation in the fulfillment of social projects in the Shieli district, including rendering direct help to the poor and need, supporting students and providing schools and other objects of social infrastructure with necessary equipment. The annual contribution of Semizbai-U LLP, to the social sphere is expected to reach KZT 100 million (about US$ 650,000).
 
Reference
Geological exploration at the Irkol deposit was begun in 1977 and detailed exploration was conducted between 1982-85, accompanied by pilot production work on sulfur in-situ leaching. The pilot work results confirmed favorable mining geological conditions for commercial deposit development. 18,925 tonnes was provided by the enterprise for commercial development in accordance with the provisions of the Subsoil Use Contract. Production is by the in-situ leaching method (ISL), a method recognized as the most environmentally friendly and safe in the world. Upon deposit development, the land is returned to the state without any limitations on use.       
 
Semizbai-U LLP was established in December, 2006 within the framework of the “15,000 U, MT by 2010” program, developed by Kazatomprom. It is engaged in fulfillment of the “State Program for the Development of the Uranium Industry of the Republic of Kazakhstan from 2004- 2015” approved by the Decree of the Government of the Republic of Kazakhstan №78 dated 23.01.04. The main aim of Semizbai-U LLP is to fulfill projects on development of the Semizbai uranium deposit located in the Yenbekshilder district of the Akmola region, and the Irkol uranium deposit located in the Shieli district of the Kyzylorda region. Since December 2008 the Semizbai-U LLP shareholders have been JSC NAC Kazatomprom and its subsidiary enterprise Mining Company LLP (51%) and the Beijing Sino-Kaz Uranium Resources Investment Company Limited of the People’s Republic of China (49%).
 
Kazatomprom is the national operator of the Republic of Kazakhstan for export of uranium and its compounds, rare metals, nuclear fuel for nuclear power plants, special purpose equipment, technologies and double-use materials. The main activities of the company are: geological exploration, uranium production, manufacture of nuclear fuel cycle products, reactor construction, nuclear power plants, non-ferrous metallurgy and production of construction materials, the electric energy sector, scientific support of production and social welfare and training of personnel. Today Kazatomprom has more than 25,000 employees and is amongst the leading uranium production companies in the world.
www.kazatomprom.kz

PR Department
Kazatomprom
tel: + 7 /727/ 244 62 54
e-mail: pr@kazatomprom.kz

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