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Kazatomprom 2023 Financial Results

15 March
Kazatomprom 2023 Financial Results

National Atomic Company “Kazatomprom” JSC (“Kazatomprom”, “KAP” or “the Company”) announces its consolidated financial results for the year ended 31 December 2023, prepared in accordance with the International Financial Reporting Standards (IFRS).

“Global uranium market witnessed significant volatility in 2023, driven by a renewed focus on clean energy transition and geopolitical tensions. Despite that, the demand for nuclear power as a stable, low-carbon energy source has notably increased, highlighting the critical role of uranium in achieving global sustainability goals. Regardless of the reactor design, uranium is needed to fuel it. With Kazakhstan accounting for about 40% of the world's uranium production on an annual basis, we’re proud that at least every third nuclear reactor in the world runs on Kazakh uranium, – said Meirzhan Yussupov, Kazatomprom’s Chief Executive Officer.

“The Company appreciates being a part of the energy security agenda. With the continuing global geopolitical uncertainty and risks, and continuous talks on the bifurcation of the market, Kazatomprom, being located in an ESG-compliant and low-risk jurisdiction, is fully capable of keeping its leadership position as a reliable supplier of natural uranium and is ready to secure utilities’ needs in diversifying their supply sources.

“Kazatompom has demonstrated exceptional financial resilience in 2023, reflecting its strategic market positioning and robust operational efficiency. While the average annual uranium price showed a modest year-on-year increase of slightly more than 20%, our 2023 revenue growth was significant amounting to 43% and resulting in 1.4 trillion tenge. Both gross and operating profits demonstrated an almost 50% year-on-year increase.

“These impressive results reflect the considerable improvement in the uranium market over the past year as well as the Company’s strong position of the largest seller and lowest cost producer globally, and could not be achieved without the efforts of our team of over 20,000 dedicated professionals. The Company will continue its cost optimization efforts to ensure its operational efficiency and sustainability.

“Although some of the producers made decisions to restart idled capacity and launch new production in mid-2020s, including ourselves, it will not be sufficient to cover uranium requirements post-2030, especially amid current geopolitical uncertainties, inflationary pressures, and supply chain challenges worldwide. In the current pricing environment another Kazatomprom-sized supply source will be needed to cover future market needs.

“As a national operator, Kazatomprom has always focused and will continue to put even more efforts to explore new uranium deposits and replenish its resource base. The Company is targeting to launch exploration program and strengthen its work on assessment of territories aimed at ensuring reserve replenishment for future generations and to meet growing market needs.”

“As a national operator, Kazatomprom has always focused and will continue to put even more efforts to explore new uranium deposits and replenish its resource base. The Company is targeting to launch exploration program and strengthen its work on assessment of territories aimed at ensuring reserve replenishment for future generations and to meet growing market needs.”

Key financial metrics

(KZT billion unless noted)




Group’s consolidated revenue




Operating profit




Net profit




Adjusted net profit




    Earnings per share attributable to owners (basic and diluted), KZT/share1




Adjusted EBITDA2




Attributable EBITDA3




Cash flow from operating activities4




1 Calculated as: Profit for the year attributable to owners of the Company divided by Total share capital, rounded to the nearest KZT.

2 Adjusted EBITDA is calculated by excluding from EBITDA items not related to the main business and having a one-time effect. Calculation: Profit before tax - finance income + finance expense +/- Net FX loss/(gain) + Depreciation and amortisation + Impairment losses - reversal of impairment +/- one-off or unusual transactions.

3 Attributable EBITDA (previously “Adjusted Attributable EBITDA”) is calculated as Adjusted EBITDA less the share of the results in the net profit in JVs and associates, plus the share of Adjusted EBITDA of JVs and associates engaged in the uranium segment (except JV “Budenovskoye” LLP’s EBITDA due to minor effect it has during each reporting period), less non-controlling share of adjusted EBITDA of “Appak” LLP, JV “Inkai” LLP, “Baiken-U” LLP, “Ortalyk” LLP and JV “Khorasan-U” LLP, less any changes in the unrealized gain in the Group.

4 Includes income tax and interest paid

Operating and Financial Review and Financial Statements

The Operating and Financial Review, and Audited Consolidated Financial Statements provide detailed explanations of Kazatomprom’s results for the year ended 31 December 2023, as compared to the same period in 2022, and the Company’s guidance for 2024. All abbreviations, links and references provided below are related to respective abbreviations and sections used in the Operating and Financial Review.This press release should be read alongside these documents, all of which are available at www.kazatomprom.kz.

Update on geopolitical events

Amid the current global geopolitical situation, sanctions packages and lists of sanctioned goods, works and services were constantly updated throughout 2023.

The Company constantly works on the assessment and monitoring of sanctions risks and minimisation of potential consequences from their realization. Based on initial risk assessment and subsequent updates to sanctions packages and lists, the Company has developed an action plan to minimise possible negative impacts on the Company’s activities. This plan evolves upon identification of new risks and adapts to sanctions packages and lists’ updates in order to prevent adverse impacts on business.

To date, events in Ukraine have not affected the Group’s financial position. The majority of the Group's revenues are received in US dollars, and financing is also raised in US dollars, creating a natural hedging effect against currency risks. Accordingly, fluctuations in the exchange rate of the national currency do not have a significant impact on the Group’s financial results.

Due to active international sanctions processes against Russian banks, it is not advisable for the Group to engage in operations or interact with these banks and their subsidiaries. The Group took measures to redistribute available funds to banks that are not currently sanctioned.

The Group has a contract for uranium processing with Uranium Enrichment Center JSC (UEC), a resident of the Russian Federation. At the date of the financial statements, the Group expects that the provision of services under this contract will continue. Increased attention is being paid to this issue, and risks and plans associated with compliance with sanctions regimes are being analysed.

The Group exports goods through Russia, which creates risks associated with both transit through Russia and the delivery of goods by sea; logistics restrictions may also increase the cost of imports. The Group continuously monitors potential impact that sanctions may have on the ability to transport material. At the date of the Group's financial statements, there are no restrictions on the Group's activities related to the supply of the Group's products to end customers. Kazatomprom also has the permission to transit uranium along the Trans-Caspian International Transport Route (TITR), which the Company has successfully used since 2018 in order to mitigate the risk of the northern route being unavailable for any reason.

Late December, the U.S. House of Representatives passed H.R.1042, a legislative act prohibiting import of Russian enriched uranium products (EUP) starting from 2028. The ban, if passed, will start 90 days after enactment, with waivers available until 2028 in case of supply concerns among domestic nuclear reactors. The bipartisan bill is yet to be voted on by the U.S. Senate. If H.R.1042 passes, this will not have any effect on Kazatomprom, since Kazatomprom’s primary business is production of natural uranium. Whether shipped by Kazatomprom or its JV partners, Kazakh-origin uranium retains its origin until its arrival at a conversion facility.

As part of the ongoing risk assessment program, senior management analyses the impact of anti-Russian sanctions on the Group's activities. To date, the sanctions have not had a significant impact on the Group's operations, although the resulting market uncertainty caused by Russia’s invasion of Ukraine has resulted in significant volatility in the uranium spot price, domestic currency exchange rate and the Company's share price.

ESG updates in 2023

In 2023, the Company developed a Sustainable Development Program for 2023-2030 (the “Program”), approved by the Company’s Board of Directors. The purpose of the document is to ensure the implementation of the Company's development strategy in accordance with the principles of sustainable development to ensure shareholder value growth and long-term value creation for all stakeholders. The Program contains key goals, objectives and specific targets for Kazatomprom until 2030, grouped into three components - ecology, social responsibility and corporate governance.

During the reporting period in order to further enhance implementation of ESG principles and apply best global sustainable development practices, the Company implemented the activities from the 2023-2024 ESG Roadmap approved by the Company’s Board of Directors.

As part of promoting environmental sustainability, the Radioactive Waste Management Program for 2023-2030 was approved at Kazatomprom defining the Group’s medium-term unified policy and integrated approach in the field of radioactive waste management. In October 2023, the Board of Directors of Kazatomprom approved the Water Resources Management Strategy for 2023-2030. This strategic document emphasizes the Company’s commitment to the rational and careful use of water in the production processes and operations.

Along with the constant improvement of sustainable development practices, the Company’s priority is to obtain independent ESG ratings and scores. In December 2023, based on the Corporate Sustainability Assessment questionnaire the international rating agency S&P Global Ratings rated Kazatomprom at the same level as last year. In 2023, Kazatomprom disclosed data on “Climate Change” for the first time as part of the CDP (Carbon Disclosure Project) climate score, receiving its first climate score at a level “B” (“management”). Such an assessment indicates the presence of environmental management that ensures proper management of the Company’s environment impact. It should be noted that the average CDP score for the Asia region is “C” and “B-” for the metals smelting, refining & forming sector. Thus, the Company exceeded the average score for the industry and the region. This confirms Kazatomprom’s efforts to reduce and prevent negative environmental impacts, through implementing its Decarbonisation Strategy aimed at achieving carbon neutrality by 2060.

Supporting global sustainable development agenda, in 2023, the Company prepared its first Progress Report to the UN Global Compact and joined the UN Global Compact SDG Ambition Program. The Company continued its work on improving non-financial information disclosure practices aimed at enhancing transparency. Since last year, information in Kazatomprom’s integrated annual report is disclosed in accordance with SASB, GRI and TCFD standards.

Health, safety and environment (HSE) results

Health, safety, and environmental protection, including nuclear and radiation safety, are priorities for the Company. The Company is continuously improving the management system of its industrial HSE programs as it strives to a goal of zero injuries.

The Company conducts its production activities in compliance with both Kazakh and international requirements for labour protection and industrial safety, implementing comprehensive measures to prevent incidents and accidents. Health and safety management systems that meet international standards (ISO 45001) have been implemented and annually confirmed by external audit, and the Company carries out systematic work to improve the safety culture among employees and managers at all levels.

The measures undertaken in 2023 to enhance the focus on safety awareness helped to prevent significant industrial accidents (including uncontrolled explosions, releases of hazardous substances or destruction of buildings) at the KAP’s enterprises. In 2023, the Company spent about KZT 12.47 billion (KZT 8.08 billion in 2022) on labour protection, fire and industrial safety programs. It is worth noting that 2023 amount includes the cost on fire safety in the amount of about KZT 1.3 billion.

The table below reflects the safety results of 2023 and 2022:





Industrial accidents1


LTIFR (per million man-hours)2




Unsafe conditions, unsafe actions, near-miss reporting




Number of accidents3








1 Defined as uncontrolled explosions, emissions of dangerous substances, or destruction of buildings.

2 Lost-Time Injury Frequency Rate (LTIFR) per million hours.

3 Defined as impact on the employee of a harmful and (or) dangerous production factor in performance of his work (job) duties or tasks of the employer, which resulted in an industrial accident, sudden deterioration of health, or poisoning of the employee that led to temporary or persistent disability, or death.

During the 2023, Kazatomprom continued taking active production safety measures, resulting in the prevention of major industrial accidents, including uncontrolled explosions, emissions of hazardous substances, building destructions, and fatal occupational injuries at the Company's operations.

Notwithstanding the continuing actions taken to improve workplace health and safety, four accidents were reported in 2023. The accidents included two slip-and-fall accidents and two cases of exposure to hazardous chemicals.

The Group continues to pay significant attention to constant improvement of HSE protocols. However, despite the comprehensive measures taken during the 2023, there were four accidents in which five employees were injured. These accidents include two cases of falling on a slippery surface and two cases of chemical burns, one of which involved two employees.

Following each accident, a thorough investigation was completed, the main causes were identified, preventative measures were developed and procedures were changed to prevent similar incidents in the future. The investigation results were reported to other Group entities to ensure all operations could learn from the event and adjust their processes accordingly. The Company will continue working to increase the involvement and awareness of employees in industrial safety.

Revenue, net profit, EBITDA

The Group’s consolidated revenue was KZT 1,434,635 million in 2023, an increase of 43% compared to 2022 (in 2022 the Group’s consolidated revenue was KZT 1,001,171 million). The increase is mainly due to:

  • the growth in the average realized price associated with an increase in the market spot price for U3O8;
  • an increase in sales volume of U3O8 mainly related to additional requests from customers to flex up their annual delivery quantities within the frame of existing contracts, as well as some new long-term contracts with the delivery in a prompt window during 2023;
  • increase in revenue from sale of enriched uranium and other uranium products (including fuel pellets and tolling services) related to growth of FA deliveries by Ulba-FA in 2023, and an increase in revenue from UMP segment rare metal products.

Operating profit in 2023 was KZT 680,812 million, an increase of 49% compared to 2022 (KZT 455,962 million in 2022). The increase was mainly due to a higher revenue in 2023 as indicated above.

Net profit in 2023 was KZT 580,335 million, an increase of 23% compared to 2022 (KZT 472,963 million in 2022). The increase was mainly due to a higher operating profit in 2023.

Adjusted EBITDA comprised KZT 828,623 million in 2023, an increase of 31% compared to 2022 (KZT 630,898 million in 2022), while attributable EBITDA was KZT 639,407 million in 2023, an increase of 29% compared to 2022 (KZT 495,357 million in 2022). The changes were mainly driven by higher operating profit on consolidated level, higher EBITDA of JVs and associates, and growth in the average realized price associated with an increase of the spot price for U3O8.

Operating cash flows in 2023 totalled KZT 432,225 million, a significant increase compared to the 2022’s KZT 283,859 million mainly due to:

  • KZT 246,449 million increase in cash receipts from customers and under swap transactions during 2023 compared to 2022, due to a growth in the average realized price associated with an increase in the spot price for U3O8, as well as an increase in the sales volumes and change in timing of the sales schedules;
  • offset by KZT 50,546 million decrease in 2023 inflows from VAT refunds from the budget;
  • offset by KZT 39,573 million due to an increase in other taxes paid, primarily from the higher amount of accrued value-added tax resulting from an increase in intra-group sales within the territory of Republic of Kazakhstan, along with an in increase in the mineral extraction tax;
  • KZT 28,667 million increase in income tax paid due to an increase in profit before tax.

Cost of sales

Cost of sales totalled KZT 671,862 million in 2023, an increase of 41% compared to 2022 (KZT 475,097 million in 2022) mainly due to a higher production cost for uranium produced by consolidated subsidiaries and JOs, higher cost for purchased uranium (as described below) as well as increased sales volumes of U3O8 in 2023.

The cost of materials and supplies was KZT 364,841 million in 2023, an increase of 39% compared to 2022 (KZT 261,825 million in 2022) due to an increase in the cost of sales of uranium purchased from JVs and associates, as well as from third parties (when such uranium is sold, the cost of sales is predominantly represented by the cost of purchased materials and supplies at the prevailing spot price with certain applicable discounts). The growth of cost of materials and supplies was also due to an increase of purchase price of materials and supplies, including U3O8 as a result of inflationary pressure and an increase in the spot prices.

Selling expenses

Selling expenses totalled KZT 28,851 million in 2023 and significantly increased compared to 2022 (KZT 25,605 million in 2022). The increase is mainly due to an increase in sales volumes as well as higher volumes shipped through TITR.

General & Administrative expenses (G&A)

The increase in G&A expenses in 2023 includes compensation paid to the government in the amount of KZT 11,357 million and a provision for the payment of compensation to the second participant of Ortalyk LLP, in the amount of KZT 4,679 million as explained below.

In October 2017, the Group obtained a Subsoil Use Agreement (SUA) for uranium exploration at Zhalpak field for a period up to 31 May 2018. In May 2018, the Ministry of Energy of the Republic of Kazakhstan agreed to extend the exploration period for mineral resource assessment purposes under the SUA until 31 December 2022 However, the Project for Assessment Works was not approved by the Ministry of Energy of the Republic of Kazakhstan, therefore the pilot production stopped in April 2020. The volume of uranium mined at the Zhalpak field for the period from June 2018 to April 2020 amounted to 162.45 tonnes was recognized as unauthorised. On 15 August 2023 Ortalyk LLP paid a compensation of KZT 11,404 million including exchange rate difference at the date of payment for this unauthorized volume.

In relation to this payment the Company has also accrued a provision for payment of compensation to the second participant of Ortalyk LLP in the amount of KZT 4,679 million due to a possible probability of paying compensation, depending on the applicability of certain conditions of the Sale and Purchase Agreement for a 49% share in the Ortalyk LLP, dated 2021.


The Group manages its liquidity requirements to ensure the continued availability of cash sufficient to meet its obligations on time, avoid unacceptable losses, and settle its financial obligations without jeopardizing its reputation.

(KZT million)




Cash and cash equivalents




Term deposit (deemed as cash equivalents)




Total cash




Undrawn borrowing facilities




Total cash at 31 December 2023 comprised KZT 211,920 million, compared to KZT 170,466 million at 31 December 2022, due to increase in cash flows from operations, investing and financing activities.

Undrawn borrowing facilities are the credit lines available to the Group and considered as an additional liquidity source payable within 12 months, primarily used to temporarily cover cash deficits related to uneven receipts of trade receivables.

As of 31 December 2023, the total limit on the Group's revolving credit lines was USD 253 million, which was fully available for use at the Company’s discretion (as of 31 December 2022, the limit on revolving credit lines was USD 235 million).

Debt leverage ratios

The following table summarises the key ratios used by the Company’s management to measure financial stability in 2023 and 2022. Management targets a net debt to adjusted EBITDA of less than 1.0.

(KZT million)




 Total debt (excluding guarantees)




 Total cash balances




 Net debt 




 Adjusted EBITDA*




 Net debt / Adjusted EBITDA (coefficient)




*Adjusted EBITDA is calculated by excluding from EBITDA items not related to the main business and having a one-time effect. Calculation: Profit before tax - finance income + finance expense +/- Net FX loss/(gain) + Depreciation and amortisation + Impairment losses - reversal of impairment +/- one-off or unusual transactions.

Uranium segment production and sales metrics






Production volume of U3O8 (100% basis)





Production volume of U3O8 (attributable basis)1





U3O8 sales volume (consolidated)





    Including KAP U3O8 sales volume2, 3





Group inventory of finished goods (U3O8)





    Including KAP inventory of finished goods (U3O8)4





Group average realized price





Group average realized price





KAP average realized price5





Average weekly spot price





Average month-end spot price6





1 The Production volumes of U3O8 (attributable basis) are not equal to the volumes purchased by KAP headquarters (HQ).

2 KAP U3O8 sales volume (incl. in Group): includes only the total external sales of KAP HQ and THK. Intercompany transactions between KAP HQ and THK are not included. Yet, some part of Group U3O8 production goes to the production of EUP, fuel pellets and fuel assemblies (FA) at Ulba-FA LLP.

3 Group sales volume and KAP sales volume (incl. in Group) does not include approximately 1,300 tonnes of natural uranium equivalent used for the supply of EUP in 2023 for the project of “Ulba-FA” LLP.

4 KAP inventory of finished goods (incl. in Group): includes the inventories of KAP HQ and THK.

5 KAP average realized price: the weighted average price per pound for the total external sales of KAP and THK. The pricing of intercompany transactions between KAP and THK are not included.

6 Source: UxC, TradeTech. Values provided represent the average of the uranium spot prices quoted at month end, and not the average of each weekly quoted spot price, as contract price terms generally refer to a month-end price.

Kazatomprom 2023 production and sales results were within the guided ranges. Production volumes on both a 100% and an attributable basis were slightly lower throughout 2023 compared to 2022, primarily due to an insignificant decrease in the production plan for 2023, compared to 2022.

In 2023, both Group and KAP sales volumes were higher compared to 2022, primarily due to additional requests from customers to flex up their annual delivery quantities within the frame of existing contracts, as well as some new long-term contracts with the delivery in a prompt window during 2023. Sales volumes may vary substantially each period based on timing of customer delivery requests during the year and terms of physical delivery activity.

Consolidated Group inventory of finished U3O8 products amounted to 7,242 tonnes as at 31 December 2023, 23% lower than at 31 December 2022. At the KAP HQ and THK level, inventory of finished U3O8 products amounted to 6,108 tonnes which was 21% lower than at 31 December 2022. Overall, the decrease in inventory is attributed to the increased sales volumes.

The Group’s average realized price in KZT in the 2023 was KZT 65,344 per kg (55.09 USD/lb), an increase of 26% compared to 2022 due to an increase in the average spot price for uranium products. The average sales prices at the KAP level were also higher and for the same reasons.

The Company’s current overall contract portfolio price is correlated to uranium spot prices. The increase in average realized prices in 2023 was comparable to the increase in the spot market price for uranium. For short-term deliveries to end-user utilities, the spot price can vary between the time contract pricing is established according to Kazakh transfer pricing regulations, and the spot price in the general market when the actual delivery takes place. The impact of market volatility during the time lag between price-setting and delivery becomes more pronounced as volatility increases, in both rising and falling market conditions. At the same time, pricing mechanisms for some long-term contracts include fixed basic price components that were set in lower price conditions.

Uranium segment costs and capital expenditures

(KZT million unless noted)




C1 Cash cost (attributable basis)





Capital cost (attributable basis)





All-in sustaining cash cost (attributable C1 + capital cost)





Capital expenditures of mining companies (100% basis)1





1 Excludes liquidation funds and closure costs.

Compared to 2022, in 2023 C1 Cash cost (attributable) increased by 29% and All-in-sustaining cash costs (AISC) (attributable C1 + capital cost) increased by 32% in USD equivalent for 2023 compared to 2022. The increase in C1 Cash cost was primarily due to an increase in the MET tax expenses related to its calculation methodology changes introduced from 2023, as well as increase in wages and salaries of the production personnel and inflationary pressure on services, certain materials and reagents.

AISC increased due to an overall increase in capital cost on an attributable basis.

Capital expenditures of mining companies (100% basis) in 2023 totalled KZT 201,321 million, an increase of 37% compared to 2022 (146,499 million in 2022), primarily due to a shift in wellfield development activities, as well as a rise in purchase prices for materials, supplies, equipment and cost of drilling.

Kazatomprom’s 2024 Guidance


Guidance for 2024

Actual for 2023


460 KZT/1USD

456.24 KZT/1USD*

Production volume U3O8, (tU) (100% basis)1, 2

21,000 – 22,5002


Production volume U3O8, (tU) (attributable basis)3

10,900 – 11,9002


Group sales volume, (tU) (consolidated)4

15,500 – 16,500


Incl. KAP sales volume (included in Group sales volume), (tU)5

11,500 – 12,500


Revenue – consolidated, (KZT billions)6

1,700 – 1,800


Revenue from Group U3O8 sales, (KZT billions)6

1,300 – 1,400


C1 cash cost (attributable basis) (USD/lb) **

$16.50 – $18.00


All-in sustaining cash cost (attributable C1 + capital cost) (USD/lb)**

$26.00 – $27.50


Total capital expenditures (KZT billions) (100% basis)7

250 – 270


1 Production volume U3O8 (tU) (100% basis): Amounts represent the entirety of production of an entity in which the Company has an interest; it disregards that some portion of production may be attributable to the Group’s JV partners or other third-party shareholders. Precise actual production volumes remain subject to converter adjustments and adjustments for in-process material.

2 The duration and full impact including, but not limited to sanctions pressure due to the Russian-Ukrainian conflict and limited access to some key materials are not known. As a result, annual production volumes may differ from internal expectations.

3 Production volume U3O8 (tU) (attributable basis): Amounts represent the portion of production of an entity in which the Company has an interest, corresponding only to the size of such interest; it excludes the portion attributable to the JV partners or other third-party shareholders, except for JV “Inkai” LLP, where the annual share of production is determined as per Implementation Agreement as disclosed in IPO Prospectus. Actual drummed production volumes remain subject to converter adjustments and adjustments for in-process material. For JV Budenovskoye LLP, 100% of the 2024-2026 annual production is fully committed for supplying the needs of the Russian civil nuclear energy industry, under an offtake contract at market-related terms.

4 Group sales volume: includes Kazatomprom’s sales and those of its consolidated subsidiaries (according to the definition of the Group provided on page one of this document). Group U3O8 sales volumes do not include other forms of uranium products (including, but not limited to, the sales of fuel pellets).

5 KAP sales volume: includes only the total external sales of KAP HQ and THK. Intercompany transactions between KAP HQ and THK are not included.

6 Revenue expectations are based on uranium prices taken at a single point in time from third-party sources. The prices used do not reflect any internal estimate from Kazatomprom, and 2023 revenue could be materially impacted by how actual uranium prices and exchange rates vary from the third-party estimates.

7 Total capital expenditures (100% basis): includes only capital expenditures of the mining entities, includes significant CAPEX for investment and expansion projects. Excludes liquidation funds and closure costs. For 2024 includes development costs for mining infrastructure of JV Budenovskoye LLP, JV Katco LLP (South Tortkuduk) and MC Ortalyk LLP (Zhalpak) for a total amount of approximately KZT 85 billion.

* The average exchange rate for 2023.

** Note that the conversion of kgU to pounds U3O8 is 2.5998.

*** For some JVs, the Company has a right to purchase additional volumes beyond its attributable share if the JV partner chooses to forgo its entitled share of production (beyond the production volume attributable to Company).

Production in 2024 is expected to be in the range of 21,000 – 22,500 tonnes of uranium on a 100% basis and 10,900 – 11,900 tonnes of uranium on an attributable basis (in 2022, the Company announced its initial intentions to produce 25,000 – 25,500 tonnes of uranium on a 100% basis in 2024). Adjustments to the previously announced production intentions are due to challenges related to the availability of sulphuric acid and construction delays at the newly developed deposits, as highlighted in the Company’s announcement on 12 January 2024.

The Company anticipates that the production volume for the majority of its uranium mining operations will be approximately 20% below the levels stipulated in the Subsoil Use Agreements. Nonetheless, the Company projects a modest annual growth in production for the year 2024. The Company will use all reasonable efforts to ensure it complies with its production volume obligations under the Subsoil Use Agreements. Concurrently, entities engaged in mining operations at newly established deposits face the potential challenge of descending beneath the threshold of minus 20% (in relation to the stipulations of the Subsoil Use Agreements). This risk is primarily attributed to delays in the construction of surface facilities and infrastructure. These delays, in turn, are a consequence of the extended timelines required for the development and subsequent approval of project design documentation.

The Company has contracted the relevant volumes of sulphuric acid to meet its 2024 production guidance of about 20% below Subsoil Use Contract levels. However, delays in construction works at new deposits/sites make significant uncertainties and may affect the Company's forecast operating performance for 2024. The Company will inform stakeholders accordingly.

Sales volume guidance for 2024 is aligned with the Company’s market-centric strategy as well. The Group expects to sell between 15,500 tU and 16,500 tU, including KAP sales of between 11,500 tU and 12,500 tU. Decrease in 2024 sales volume guidance in comparison to 2023 at both the Group and KAP levels is due to higher sales of EUP to Ulba-FA LLP for subsequent production of fuel assemblies and aimed at ensuring sufficient level of inventories for the future periods.

Revenue, C1 cash cost (attributable basis) and All-in Sustaining cash cost (attributable C1 + capital cost) may vary from the guidance provided if the KZT to USD exchange rate fluctuates significantly during 2024. Increase in spot market price for U3O8 affecting the MET as well as procurement and supply chain issues, including inflationary pressure on production materials and reagents, are expected to continue throughout 2024, this may affect the Company’s financial metrics and giving rise to an expectation that C1 cash cost and All-in Sustaining cash cost will be higher in 2024 than in 2023. Guidance will be updated if the aforementioned uncertainties persist throughout 2024.

Total capital expenditures on 100% basis guidance for 2024 increased significantly in comparison to 2023 results to cover increase in purchase prices for materials, supplies, equipment and cost of drilling, as well as development costs for mining infrastructure of JV Budenovskoye LLP, JV Katco LLP (South Tortkuduk) and Ortalyk LLP (Zhalpak) for a total amount of approximately KZT 85 billion.

The Company may purchase uranium from the spot market, while continuing to monitor market conditions for opportunities to optimise its inventory.

Conference Call Reminder – 2023 Full-Year Operating and Financial Review

Kazatomprom has scheduled a conference call to discuss its 2023 year operating and financial results later today, 15 March 2024. The call will begin at 17:00 (Astana) / 12:00 (GMT) / 08:00 (ET). Following Management remarks, an interactive English Q&A session will be held with investors (remarks in Russian/English, with a simultaneous Russian translation of the Q&A available on a listen-only line).

For the English live webcast (participants on the webcast can also submit questions during the event), conference call dial-in details and for information on how to participate in the Q&A, please visit:


For the Russian live webcast (listen-only, no Q&A) and corresponding dial-in details, please visit:


A recording of the webcast will also be available at www.kazatomprom.kz shortly after it concludes.

For further information, please contact:

Kazatomprom Investor Relations Inquiries

Botagoz Muldagaliyeva, Director of Investor Relations

Tel: +7 (7172) 45 81 80

Email: ir@kazatomprom.kz

Kazatomprom Public Relations and Media Inquiries

Askar Atagulin, Director of Public Relations

Tel: +7 (7172) 45 80 63

Email: pr@kazatomprom.kz

About Kazatomprom

Kazatomprom is the world's largest producer of uranium, with the Company’s attributable production representing approximately 20% of global primary uranium production in 2023. The Group benefits from the largest reserve base in the industry and operates, through its subsidiaries, JVs and Associates, 26 deposits grouped into 14 mining assets. All of the Company’s mining operations are located in Kazakhstan and extract uranium using ISR technology with a focus on maintaining industry-leading health, safety and environment standards.

Kazatomprom securities are listed on the London Stock Exchange, Astana International Exchange, and Kazakhstan Stock Exchange. As the national atomic company in the Republic of Kazakhstan, the Group's primary customers are operators of nuclear generation capacity, and the principal export markets for the Group's products are China, South and Eastern Asia, Europe and North America. The Group sells uranium and uranium products under long-term contracts, short-term contracts, as well as in the spot market, directly from its headquarters in Astana, Kazakhstan, and through its Switzerland-based trading subsidiary, Trade House KazakAtom AG (THK).

For more information, please see the Company website at www.kazatomprom.kz

Forward-looking statements

All statements other than statements of historical fact included in this communication or document are forward-looking statements. Forward-looking statements give the Company’s current expectations and projections relating to its financial condition, results of operations, plans, objectives, future performance and business. These statements may include, without limitation, any statements preceded by, followed by or including words such as “target,” “believe,” “expect,” “aim,” “intend,” “may,” “anticipate,” “estimate,” “plan,” “project,” “will,” “can have,” “likely,” “should,” “would,” “could” and other words and terms of similar meaning or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company’s control that could cause the Company’s actual results, performance or achievements to be materially different from the expected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company’s present and future business strategies and the environment in which it will operate in the future. THE INFORMATION WITH RESPECT TO ANY PROJECTIONS PRESENTED HEREIN IS BASED ON A NUMBER OF ASSUMPTIONS ABOUT FUTURE EVENTS AND IS SUBJECT TO SIGNIFICANT ECONOMIC AND COMPETITIVE UNCERTAINTY AND OTHER CONTINGENCIES, NONE OF WHICH CAN BE PREDICTED WITH ANY CERTAINTY AND SOME OF WHICH ARE BEYOND THE CONTROL OF THE COMPANY. THERE CAN BE NO ASSURANCES THAT THE PROJECTIONS WILL BE REALISED, AND ACTUAL RESULTS MAY BE HIGHER OR LOWER THAN THOSE INDICATED. NONE OF THE COMPANY NOR ITS SHAREHOLDERS, DIRECTORS, OFFICERS, EMPLOYEES, ADVISORS OR AFFILIATES, OR ANY REPRESENTATIVES OR AFFILIATES OF THE FOREGOING, ASSUMES RESPONSIBILITY FOR THE ACCURACY OF THE PROJECTIONS PRESENTED HEREIN. The information contained in this communication or document, including but not limited to forward-looking statements, applies only as of the date hereof and is not intended to give any assurances as to future results. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to such information, including any financial data or forward-looking statements, and will not publicly release any revisions it may make to the Information that may result from any change in the Company’s expectations, any change in events, conditions or circumstances on which these forward-looking statements are based, or other events or circumstances arising after the date hereof.

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