Uranium Week: US Reduces Reliance On Russia

Weekly Reports | Oct 13 2020

Existing protections for the US commercial enrichment industry are strengthened, as the weekly uranium price resumes the recent downward trend.

-DoCfinalisesamendment to RSA
-Nuclear power expands in Romania/contracts in Belgium
-Weekly spot prices fall incrementally

By Mark Woodruff

The US Department of Commerce (DoC) and Russia's State Atomic Energy CorporationRosatomhave signed a final amendment to the Agreement Suspending theAntidumpingInvestigation on Uranium from the Russian Federation Russian Suspension Agreement (RSA). This extends the Agreement through 2040, and reduces US reliance on uranium from Russia during that period, explains industry consultantTradeTech.

In an October 6 statement, DoC noted the amendment, which is unchanged from a draft amendment released for public comment on September 11, will extend the RSA that was previously set to expire on December 31.

The previous Agreement allowed Russian uranium exports to meet approximately 20% of US enrichment demand, explainsTradeTech. The amended Agreement drops this amount to an average of approximately 17% over the next 20 years, and will be no higher than 15% starting in 2028.

It also strengthens existing protections for the US commercial enrichment industry as the final amendment will enable the US enrichment industry to compete on fair terms, according to the DoC.

Country News

US Secretary of Energy DanBrouilletteand Romanias Minister of Economy, Energy, and Business Development VirgilPopescuinitialleda draft Intergovernmental Agreement to cooperate on the "expansion andmodernisation" of Romanias nuclear power program, reportsTradeTech.

However, on the flip side, Belgiums new coalition government plans to support the previous administration's plans to shut down the countrys reactor fleet in 2025. This is on the condition that security of the country's power supply will not be affected.

The closure of the nation's seven commercial reactors at two nuclear power plants was signed into law in 2003, and again confirmed in 2015 and 2018.

A commission has been appointed to assess the impact of the nuclear power phase out.

Uranium Pricing

TradeTechsWeekly Uranium Spot Price Indicator fell -US$0.20 to US$29.80/lb last week.

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