Kazatomprom

• Geological exploration
• Production of natural uranium
• Production of nuclear fuel cycle (NFC)
• Rare metals
• Scientific activity

Kazakhstan has the largest uranium reserves in the world. The first commercial deposit in the country (Korday) was explored in 1951. The most important discoveries were made later. In the late 60s, it was explored uranium in province of Shu-Sarysu and Ili in southern Kazakhstan, which became the world's largest reserves of uranium ores. With these discoveries, Kazakhstan has become a world leader in explored uranium reserves, suitable for practicing the method of in-situ leaching. Deposits of uranium, discovered on the territory of Kazakhstan, are different in terms of form and practical value. In common geological positions, genetic traits and territorial isolation, deposits in Kazakhstan can be considered as part of the six uranium ore provinces: Shu-Sarysu, Syrdariya, North Kazakhstan, the Caspian, Balkhash, Ili. Currently, 14 deposits out of 56 explored ones are in use, the remaining 42 are on standby.

JSC "Volkovgeology", which is the successor of Volkovskaya geological expedition, that opened Kordai field, provides geological ensuring for all activities of Kazatomprom and conducts technological drilling of mining and preparatory work on the uranium mining enterprises of the Company.

Kazatomprom operates through its subsidiaries, JVs and Associates, 26 deposits grouped into 13 asset clusters, all of which are located in Kazakhstan

In-situ recovery uranium extraction method was first used in 1960s and accounted for 50% of global uranium production in 2017. Benefits of ISR over conventional mining methods include lower cost of extraction, smaller environmental footprint and better health and safety performance.

ISR is only feasible at special geological conditions (e.g. as in Kazakhstan), which leads to KAP’s low costs and natural competitive advantage.

All of KAP’s production is carried out via ISR extraction of uranium, with eight of the ten largest ISR mines operated by KAP.

Kazatomprom expanded its activities in the front-end NFC, including enrichment, production of UO2 powders/fuel pellets, and in the near future plans to begin production of fuel assemblies.

In October 2013, Kazatomprom through the Kazakh-Russian joint venture Uranium Enrichment Center JSC became a shareholder of Ural Electrochemical Plant JSC which is the largest enterprise on uranium enrichment. This cooperation in the peaceful use of nuclear energy has enabled the company to gain access to uranium enrichment services. At the same time, in order to create the conversion production Kazatomprom is working on transfer of innovative technologies to Kazakhstan.

Kazatomprom's Subsidiary - Ulba Metallurgical Plant JSC provides services for reconversion and production of fuel pellets .

For nearly 40 years, Ulba Metallurgical Plant provided services for reconversion and production of uranium dioxide fuel pellets for Light Water Reactors.

Kazatomprom and China General Nuclear Power Corporation (CGNPC) are jointly implementing a project on construction of a plant for the production of fuel assemblies based on Ulba Metallurgical Plant for use in nuclear power plants of China as a nuclear fuel. The production of fuel assemblies is expected to begin in the end of 2020.

Rare metals (RM) and their compounds have a unique set of physical and chemical properties, and are widely used in instrument making, mechanical engineering, metallurgy, nuclear energy and medicine.

Tantalum - niobium and beryllium production deployed on the Ulba Metallurgical Plant, and is among the largest in the world.

Over 500 employees are engaged in research, design and development activities of the Company and its subsidiary and affiliated companies, including 8 doctors of science and 54 candidates of science. There is a Research and Design Institute (IHT LLP) under the Company, and research and production subdivisions of its affiliated companies (Central Research and Development Laboratory under Ulba Metallurgical Plant JSC (UMP); Central Experimental and Methodological Expedition under Volkovgeology JSC).

Kazatomprom and subsidiaries are patent owners and co-owners of over 300 protection documents on developed technologies and equipment. With regard to this indicator it ranks 1st in the Republic among industrial enterprises. To maintain global competitiveness, the Company developed the "Science and Technology Management" Policy, according to which scientific research is coordinated by four research centers on the following priority areas:

1) Geology, geotechnology and mining-development works - on the basis of Volkovgeology JSC;

2) Production and processing of productive solutions, associated extraction of REM - on the basis of Institute of High Technologies LLP;

3) NFC high technologies, extraction and processing of RM - on the basis of Central Research and Development Laboratory under UMP JSC;

4) Knowledge management, commercialization of intellectual property, general coordination of scientific and technical activities - on the basis of Science Coordination Department of Kazatomprom.

In 2017, the following was implemented:

• A mobile complex for processing productive uranium solutions with a capacity of 150 tons of uranium per year was put into operation for pilot development of Zhalpak field. The use of the mobile complex allowed reducing capital expenditures for experimental operation and production costs by 15%. The mobile uranium-mining complex was created by the Company's specialists and is protected by innovative patents of the Republic of Kazakhstan.

• A mobile unit for chemical treatment of the filter part of wells and performing repair and renewal operations (RRO) was developed and implemented. The mobile unit will provide safe conditions for pumping, preparing and supplying various kinds of chemical solutions of reagents – decolmatants - directly into the filter part of process wells, reducing their costs (cost of RRO accordingly) due to target use of reagents, and its uniqueness and mobility will increase the number of wells being processed per day and increase the effectiveness of the RRO.

• To expand the range of products on the basis of produced unique rare metals at UMP JSC, research activities were conducted and pilot batches of new competitive and high-tech products on a global scale were received: - medical implants from tantalum and tantalum-containing alloys; - powders of rare metals and their alloys, intended for additive (3D) technologies (consumables for 3D-printing); - superconducting wire for the production of magnetic resonance tomographs.