Press Release: Kazatomprom’s New Refinery Mill Comes Near

Major works are being completed on the new facility for the on-site production of U3O8 at the Central Mining Group of Kazatomprom, Southern Kazakhstan Region, ahead of schedule. This ISL milling facility starts balancing and commissioning today, instead of first quarter 2004, with initial capacity of 1700 mtu per year.

Kazatomprom invested $4.5mln in the project, which promises significant savings in both production and transportation costs and time. Preliminary tests of the new technology demonstrated its viability - produced U3O8 meets international requirements.

The new facility is to process Central Mining Group’s own uranium production and additional quantities from nearby mines including KATCO joint venture. Yet, some quantities will, as before, go to ULBA for exceptional purification by special requests.

The 2000mtu capacity ISL Refinery Mill Project is a part of Kazatomprom’s long-term development plan aimed at technological progression and further increase of uranium production from current 2800mtu/year up to 3100mtu next year and 3700mtu in 2005.

For future increase of production Kazatomprom plans construction of one more ISL Refinery Mill in Shestoye Mining Group in Kyzyl-Orda region - feasibility study for the project is presently under review.