uranium spot price stability, page-25

Urenco turnover up by a quarter

Turnover has risen by a quarter at uranium enrichment manufacturer Urenco as the company moves to exploit new markets for nuclear energy.

The multinational saw annual revenue rise by 23 per cent to €1.6bn (£1.4bn) in accounts for the 2012 calendar year.
Earnings before income tax, depreciation and amortisation also climbed 29 per cent to €1.0bn (£856.4m) over the same period.

Meanwhile, its Capenhurst-based Urenco UK division, which owns and operates centrifuge plants in Cheshire, posted sales of £432.2m (2011: £420.8) and pre-tax profit of £212.7m (2011: £203.4m).

Urenco, based in Buckinghamshire, has had to adapt to a number of changes in the global market in recent years, with Germany and Japan announcing they would phase out the use of nuclear energy – although Japan has since indicated it will review the decision – while China, India and the US publicly committed to retaining their capability.

Meanwhile, the United Arab Emirates chose to adopt nuclear energy, with Urenco securing the country's uranium enrichment contract in August 2012.

Urenco chairman John Hood predicted global demand would rise in his statement accompanying the company's annual accounts.
"Looking to the years ahead, we are confident that the need and demand for nuclear energy around the world will continue to grow, and we will plan and adapt our business to ensure that we deliver for our customers to the highest standards of safety, security and quality," he said.

The UK government owns a third of Urenco, although it is currently seeking buyers for the stake. It is believed a sale could raise up to £3bn.

http://www.insidermedia.com/insider/north-west/88519-


Don't forget Urenco has the for sale sign out. Areva are apparently the front runner. Areva recently paid $200m to Paladin for future supply. Areva have a stake in Summit Resources which has a joint venture stake in a Mt Isa uranium deposit with PDN.

IMO - things may become interesting if Areva take over Urenco, as Areva would then be very keen to secure supply.

What this means for PDN is anyone's guess.