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Kazatomprom to maintain uranium output cuts through 2022

Kazatomprom KZAP.KZKAPq.L, the world’s biggest uranium miner, will keep its output reduced by 20% through 2022, it said on Wednesday, in order to help the market recover.

“The decision to keep production similar year-over-year, and extend production curtailment into 2022, is indicative of a global uranium market that is still recovering from a long period of oversupply,” CEO Galymzhan Pirmatov was quoted as saying in a statement.

“We are simply not seeing the market signals and fundamental support needed to ramp up mine development in 2021 and take our low-cost, tier one production centres back to full capacity in 2022.”

The full implementation of this decision would remove up to 5,500 tonnes of uranium from anticipated global primary supply in 2022, with uranium production in Kazakhstan staying similar to the level expected in 2021, the company said.

Source: Nasdaq.com