Australia's Energy Metals to Ship Uranium Concentrates to Shanghai
Australia will be soon seeing its first uranium concentrate shipment, after Chinese-owned Energy Metals signed an agreement to ship third-party uranium from Adelaide to its parent company in Shanghai.
China Guangdong Nuclear Power Co. (CGNPC) owns 60 per cent of Australian-listed Energy Metals. It is one of two Chinese companies authorized to import and export uranium in China, The Australian reported.
Energy Metals will export 150,000 pounds (68 tonnes) of uranium oxide concentrate to Shanghai at $53 a pound, no later than April 30, 2012.
Energy Metals, however, will not identify the seller of the $8 million shipment. Energy Metals said it is still discussing with CGNPC to sell the concentrate, where it expects to generate a profit from the sale.
Before the Fukushima nuclear disaster affected uranium markets, Energy Metals had received federal government approval to export third-party uranium.
Data from the Department of Foreign Affairs and Trade showed that since 2006, uranium expors to China have been controlled. The first was in 2008 by Energy Resources of Australia, while BHP made a trial in 2009.
Uranium displacements from Australia last year reached a record 431 tonnes. However, this represents only 7 per cent of the 5,926 tonnes transferred, where half went to the US.