Wanted: our uranium

Saturday, 30 December, 2006

by MANDI ZONNEVELDT
NT News

CHINA is planning an all-out assault on the Territory's uranium reserves.

The giant China National Nuclear Corporation has applied for registration as a foreign company in Australia.

It wants to exploit the Angela and Pamela deposits, which are just outside Alice Springs and are believed to hold more than 10,000 tonnes of uranium.

The NT Government is believed to have received nearly 40 applications to explore the deposits.

A decision on the leases will be made next year. The state-owned corporation's consultant, Xu Gang, last night confirmed China's interest in Australia. He said a Chinese delegation had visited the NT recently.

Mr Gang said the company would consider developing mining operations, as well as exploration.

The Chinese corporation controls assets worth more than $20 billion, including more than 100 nuclear reactors.

It has already dipped its toe in Australia, signing a letter of intent with Uranex to explore and develop uranium projects. Uranex has uranium prospects in the NT.

China aims to quadruple its nuclear power capacity by 2020 and is looking for ways to secure its uranium supply. Existing mines supply only about 55 per cent of demand, with the shortfall made up by dwindling stockpiles of military uranium.

The gap between supply and demand has seen uranium prices rise from about $US35 a pound in January to more than $US70.

China appears to be jostling for position in the uranium industry ahead of a mooted change to Labor's policy on the development of new uranium mines next year.


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