Overview on Uranium Activities in

Africa / Global Uranium Activities

New Developments

in cooperation with
Uranproduction vs. Uranium Requirements 2015
 Uranium and the Nuclear Fuel Chain
Prospection
Exploration

Mining

Uranium „mill“

Conversion

Enrichment

Production of fuel rods

NPP
Graphics: WISE Uranium Project
New Developments
since 2007 / 2008
 Uranium – Development of Price 1987 - 2013

www.world-nuclear.org/information-library/nuclear-fuel-cycle/uranium-resources/uranium-markets.aspx
 New Developments since 2007 / 2008

2007 / 2008 – Sudden rise of the price of uranium

Reasons not clear, probably based on excessive
expectations re: new-builts of reactors
Consequences
Ø approx. 200 new exploration companies start „chasing“ uranium
globally

Ø Africa becomes one target area … Why?

John Borshoff, (former) CEO of Paladin, Australia

Ø Exploration companies are „milking“ the capital market

Ø Focus on Africa in Presentation

 Exploration activities and ‚announced‘ mining projects

Europe
- Finland
- Portugal
What became of these PROJECTS ?
Africa
- Namibia
- Malawi What became of the COMPANIES ?
- Namibia
- South Afrika What to expect for the FUTURE ?
- Cameroon

North America
- USA
... some examples ...
- Kanada

Australia
Niger – Imouraren
Announced as „ ... the largest mining project ever undertaken in Niger,
the largest open pit uranium mine in Africa,
and the largest anywhere to use heap leaching …” (WNA)

2008 / 2009: Licensing, construction begins

Announced Investment: 1,2 billion €
Expected Production: 5.000 t Uranium / year

2013: AREVA announces postponement

to 2015 – 2020,
pays 35 Mio. € for postponement
to Gvt. of Niger (!)

2014: Imouraren Uranium Mine Project postponed indefinitely

AREVA changes deposit rating from „proven“ to „probable“
Deposit is considered „unmineable“ by other sources
2015 / 16: AREVA writes off 348 million € of Imouraren Project (WNA)
Niger – Azelik
2008 / 2009: Niger‘s then Presídent Tandja (1999 – 2010) tries to break
French monopoly on resource extraction,
attracts Chinese companies to Niger

2007: SOMINA, operator of Azelik mine, majority owned by CNNC –

Chinesese National Nuclear Corporation gets license to mine uranium

2010: President Tandja is overthrown in a (unbloody) coup

2010: Considerable shortcomings re: protection

of environment, Touareg women loose
water sources, the possibilty to produce
salt – and thus their lievelihood

2010, Dezember: First delivery of uranium to China

2014, August: SOMINA fails to secure a cheap loan

Investment higher than expected
Price of uranium LOW (after Fukushima)

2015, 17. Februar: CNNC mothballs Azelik – unprofitable

Mali – Falea
Uranium-Silver-deposit, known since the 1980ies
2010: Rockgate Capital announces Environmental Impact Assessment
2012: Feasibilty-Study

from 2011 onward: Strong resistance from local people,

international support, ARACF – Association des Ressortissants
et des Amis de Falea, www.falea21.org

2012, March: International Uranium Conference in Bamako

2013 / Jan 2014: Denison Mines (Canada) buys Rockgate Capital (US $ 26 Mio)
2016: GoviEx buys project from Denison Mines, Denison gets shares of GoviEx

Uranium mining plans currently not continued.

Tanzania
Region Bahi / Central part of Tanzania

2009: Gvt of Tanzania has given 70+ exploration licenses to foreign companies

Companies exploring for Uranium (mainly) from Australia:

Mantra Resources, URANEX, and others

since 2009: Local people stage considerable resistance,

informed by NGOs CESOPE, LHRC – Legal and Human
Rights Center etc. and supported internationally
Tanzania Atomic Energy Commission (TAEC) admits later:
„No social license“ for Uranium exploitation

2013: International Uranium Conference in Bahi/Dodoma and Dar es Salaam

2014: URANEX abandons plans to mine uranium in Bahi area

Mantra disappears from Bahi area

Uranium mining plans in Bahi area / Tanzania currently not continued.

 URANEX / now Magnis Resources share value

2014

URANEX – now MAGNIS – share value – 2004 – 2017

 Tanzania / 2

Region Namtumbo / Songea / South Tanzania

2011: UraniumOne, with a bad track record
from its South African DRUM-Project,
becomes operator of Mkuju River
Uranium Project (MRP)
MRP majority owned by Russian
ROSATOM

2012: UNESCO World Heritage Committee ‚excises‘ in an “exceptional

and unique manner“ mine area from WH site to enable mining,
breaking its principle „Mining incompatible with status as WHS“

2014: UNESCO WHC lists Selous Game Reserve as „in DANGER“ due to
excessive poaching and „industrial developments“

2016, March: UraniumOne: NO start of mining at MRP until price of uranium

rises by 70% to US$ 55 / lb (price US $ 30/ lb)
Tanzanian Minister deplores „loss of millions investment“
Tanzania / 3
Region Namtumbo / Songea / Southwest of Tanzania
2009: Mantra discovered uranium deposit „Mkuju River“
Deposit is loacted in World Heritage Site Selous Game Reserve

2010, Dec.: ROSATOM / ARMZ buys Mantra, pays off share holders

delisted following the merger by

scheme of arrangement between
the company and
JSC Atomredmetzoloto effective
15/06/2011

Scheme of arrangement by which

JSC Atomredmetzoloto acquired all
of the issued shares in Mantra was
implemented with Mantra
shareholders receiving the
following amounts for each Mantra
share they held:
A$6.87 in cash and
an unfranked dividend of A$0.15

Mantra Resources Ltd - share price - 2008 – 15 / 06 / 2011

http://www.advfn.com/asx/CompanyInfo.asp?company=MRU and : http://www.delisted.com.au/company/mantra-resources-limited ;
Tanzania / 4
Region Namtumbo / Songea / Southwest Tanzania
Russian state corporation suspends $1.2 billion uranium project in
Tanzania Vladimir Basov | Jul. 7, 2017, 10:08 AM
Russian state nuclear corporation Rosatom suspends Mkuju River uranium project in Tanzania
for at least three years due to depressed uranium market. Rosatom, which previously hoped
to start construction and mining uranium at Mkuju River project in 2013, 2016 and in 2018
respectively, decided to suspend the development of this project until the demand for
uranium is restored, which is expected not earlier than 2020.

2017, July 7: ROSATOM announces 3 – 5 year suspension

of Mkuju River Uranium Project
ROSATOM continues to be owner of project
DR Congo
Radium Mine between 1st and 2nd World War:
Shinkolobwe Mine, Province of Katanga
Shinkolobwe closed after independence of DR Congo
Mining inofficially / illegally restarted
UN-Report re: Illegal trafficking of radioactive materials
2009: AREVA´s then CEO Anne Lauvergeon and then Pres. Sarkozy make
secret contract with Gvt of DRC – Joseph Kabila – granting
AREVA a monoply right to exploit uranium in DRC
2009: Human Rights-NGO ASADHO Katanga (Pres. Golden
Misabiko) publishes Report on illegal mining of uranium and a
secret contract; Misabiko is incarcerated, later liberated

2011: Due to insecurity in DR Congo (regime of Kabila),

NO mining activities by AREVA.
AREVA retains monopoly for uranium exploitation
(à „staking claims“)
Centralafric. Republic (RCA / CAR)
2007: UraMin starts Feasibility Study for Bakouma-Project
AREVA purchases UraMin
2008: RCA Gvt. upset since Mining License had been granted to
Canadian UraMin – not to French AREVA
August: End of dispute between AREVA and RCA Gvt.:
AREVA allowed to mine Bakouma Project
2011: AREVA suspends Bakouma Project, due to Fukushima
and difficulties with mining
2012, June: „Guerilla“ Attack on Bakouma Project (possibly staged)
since 2012: Bakouma Project abandoned
NO further activities, existing installations deteriorate …
2015: Investigation against AREVA in France re: corrupting foreign
officials, private individuals etc. related to purchase of UraMin

2012: Bakouma Project abandoned.

AREVA retains right to mine à „staking claims“
Malawi
Uranium mine „Kayelekera“ / PALADIN

2000: Paladin (Australia) purchases Kayelekera Uranium Project

Founder and CEO: John Borshoff
2005 ff: Paladin starts licensing procedures
HumanRights groups oppose, protest against 15 year tax break
2006 / 2007: EIS, Mine Development Agreement with Gvt
Mineral Policy Institute (Australia):
Mine would not have been licensed in Australia
CSOs, church groups protest, take to court
Repeated confrontations with workers/ strikes for better payment etc.
2013: Depreciation of mine (US $ 99 Mio.) due to low price of uranium

2014, May 27: Production is stopped due to low price of Uranium

2014 ff: Environmental problems continue

NGOs: Malawi lost 12 Mio US $ in taxes due to tax break for Paladin
Namibia / 1
Trekkopje Uranium Mine

2006: Preliminary Feasibility study

2007: Heap-leaching planned, construction of a desalination plant
35% of production to be sold to China
2007, May: AREVA purchases UraMin at 2,5 billion (!) €
2009: First production of uranium from heap leaching
2011, Dec: AREVA scales down uranium reserves of by 42% …

2011: Depreciation (write-off) of 1,46 billion (!) € (58% of purchase price)

Uranium reserves not existing or not mineable …

2012: AREVA abandons Trekkopje Uranium Mine, mothballs mine

In addition: Suspicions of corruption / betrayal etc.

AREVA investigated in France by police
Anne Lauvergeon, CEO of the time, steps down …
Uranium project Trekkopje / UraMin à AREVA
arte - Documentation
Ermittlungsverfahren wegen
„Betrugs, Veruntreuung und
Bestechung ausländischer Amtsträger“.

Das zweite Verfahren wegen der „Verbreitung falscher Informationen, Verwendung oder
Vorlage falscher Bilanzen, Machtmissbrauch und der Fälschung von Dokumenten und der
Verwendung von gefälschten Dokumenten“
www.arte.tv/sites/de/story/reportage/zeitbombe-der-franzoesischen-
atomindustrie/?lang=de

Die Machenschaften um den Kauf von UraMin zu

überhöhtem Preis werden zur Staatsaffäre in
Frankreich, die überhöhten Zahlungen tragen
erheblich zur Pleite von AREVA bei

Buch von Vincent Crouzet:

„Eine atomare Affaire - UraMin / AREVA – der haarsträubende Saga
eines Staats-Skandals“
Namibia / 2
Langer Heinrich Uranium Mine / PALADIN (Australia)

2002: Paladin purchases „Langer Heinrich“ Uranium project

2004 / 2005: Paladin is granted Mining License for 25 years
EARTHLIFE Namibia and HumanRights-NGOs protest
German ÖKO-Institut: massive underestimation of radiation impact
2007: First production of uranium, delivery of uranium to China planned
2016 – 2017: Due to low price of uranium, mining is stopped
to save expenses only uranium ore already mined is processed
2016 / 2017: Paladin cannot pay back US$ 277 loan from EdF (!)

2017: Paladin faces bankrupty, calls in „administrator“

July: Paladin shares suspended from trade at stock exchange
August: Paladin manages to stop take-over by Chinese CNNC
Future of company remains unclear
Namibia / 3
Zonghe Uranium Project
... one of the most secretive uranium projects in Namibia ...

2010: ´first sighting´ of project (hundreds of garbage bags left … )

Deposit 100% owned by Chinese companies
58% - China Uranium Corporation (“CUC”)
42% - Namibia-China Mineral Recources Investment and Development

2012: CUC – China Uranium Corporation – is granted Mining License

Public participation does not happen …
2013: 2 years after writing and 1 year after granting of Mining License
Environmental Impact Statement is published …

Nothing known about construction, start of production etc.

Namibia / 4
HUSAB Uranium Mine

2009: Rössing plans to exploit „Rössing South“ deposit

owner: Extract Resources
2010: KEPCO, Korea, ROSATOM consider partnership
2011: Mining License granted in record period of 2 months
2012: HUSAB becomes majority owned by Chinese companies (90%)

Note:
Chinese companies pushed Rössing / RioTinto and others out of
Rössing South, ROSATOM also not successful

HUSAB becomes one of the biggest uranium mines, 100.000 t Uran

Production 5.000 t Uranium / year, area 19 qkm
Zone 1 pit: 2.5 km long, 1.0 km wide and 400 m deep.
Zone 2 pit: 1.9 km long, 1.4 km wide and 390 m deep
What AREVA dreamt of,
the Chinese have done …
Centrales chinoises, uranium namibien
Avec l’ouverture, fin 2016, de la mine géante de Husab, en Namibie, la Chine est
parvenue à sécuriser ses approvisionnements. Désormais, elle lorgne le Niger.
Par Sébastien Le Belzic (chroniqueur Le Monde Afrique, Pékin)
LE MONDE Le 11.04.2017 à 15h28 • Mis à jour le 11.04.2017 à 15h30

Areva en rêvait, les Chinois l’ont fait. Le géant public du nucléaire, China General Nuclear Power
Corporation (CGNPC), a ouvert, le 30 décembre 2016, sa mine géante de Husab, en Namibie, pour un
investissement de 2 milliards de dollars (environ 1,9 milliard d’euros). L’ancien président chinois Hu
Jintao était venu en personne négocier avec le gouvernement la signature du contrat qui, en 2012, a
accordé 90 % des parts au groupe chinois et 10 % à l’Etat namibien.

www.lemonde.fr/afrique/article/2017/04/11/central
es-chinoises-uranium-
namibien_5109570_3212.html
 Announced mining projects in Africa - SUMMARY

Ø Most of the new uranium mining projects announced in Africa

did not succeed
Ø AREVA overpaid dearly for UraMin, this contributed heavily to AREVA‘s
near bankruptcy and now split-up

Ø However, AREVA sucessfully ‚staked claims‘ in Niger, DR Congo and

Centralafric. Republic for exploitation later on.

Ø AREVA is involved in a major scandal

Ø Newcomer Paladin, Australia, is in serious trouble, with one of ist two U

mines mothballed

Ø ROSATOM / UraniumOne announced ‚suspension‘ of ther Mkuju River

Project, supposedly also overpaid

Ø Chinese CNNC successfully launches Husab U mine, Namibia

The Nuclear Companies
(some …)
AREVA
Uranium mining, building of NPPs,
all parts of the nuclear fuel chain

AREVA – share value 2004 – 2017 (from € 33 to € 4,44)

The Nuclear Companies …
AREVA in its known form has ceased to exist
2009 / 2010: AREVA over-pays for UraMin´s uranium mines,
approx. € 3 billion
Monies probably used to convince S.A. then president Mbeki to contract
AREVA to built new NPPs in S.A. … does not work.
Inside deals, corruption, etc. researched by French financial police,
published on „arte“and other media channels …
2015 ff: Depreciation of u mines (mainly Trekkopje / Namibia and Bakouma / RCA)
à high losses, AREVA factually bankrupt

2016 / 2017: AREVA group split up into

Ø AREVA NP (reactors and fuel operations) and
Ø New AREVA group (fuel cycle operations)
The Nuclear Companies …
The „restructuring“ of France's Areva group (…)
§ implementation of a € 2.0 billion ($2.3 billion) capital injection
from the French state.
§ NewCo – Areva's separated nuclear fuel cycle activities – is also
to receive a € 2.5 billion capital increase from the state by the
end of this month (July 2017).
www.world-nuclear-news.org/C-Areva-implements-capital-increases-1307174.html

„Old“ company has only TWO tasks:

§ Pay-off of (old) debts
§ Finishing building of Olkiluoto NPP,Finland

2017, 17./ 20. August: Shares of AREVA suspended from trading at

Stock Exchange, final departure days later
AREVA becomes „ltd.“, 99% owned and controlled by French Gvt.

French nuclear industry rescued by French state at the cost of

€ 4,5 billion at taxpayers expense.
The Nuclear Companies …
ROSATOM, state-owned by Russia
Russia – creating a global nuclear power empire (?)

from: ROSATOM website

“About us …”, 2016
The Nuclear Companies …
ROSATOM

July 3, 2017: ROSATOM loses hope in int´l nuclear builds …

Amid decreasing world demand for nuclear energy, Speaking at last month’s Tekhnoprom-2017
Russia’s state nuclear corporation last week warned conference, a technical conference in the
it would likely be receiving fewer requests to build Siberian city of Novosibirsk, Rosatom’s
nuclear power plants abroad. deputy director Vyacheslav Pershukov called
the market for nuclear power stations
The announcement marks a sharp departure for the abroad “exhausted.”
corporation, which until recently has posed its
http://bellona.org/news/nuclear-issues/2017-07-rosatom-loses-hope-
contracts with other countries as the bread and in-its-international-nuclear-builds-eyes-renewables
butter of its bottom line – as well as a potent tool creating a global
for broadening Moscow’s sphere of political
nuclear power empire?
influence.
… probably not.
The Nuclear Companies …
MARCH 29, 2017 Westinghouse, once one of the major
builders of nuclear power plants,
owned by Toshiba

Westinghouse Files for Bankruptcy, a

Blow to Nuclear Power
Slowing demand for electricity and General Electric, a pioneer in the field,
tumbling prices for natural gas have has scaled back its nuclear operations,
eroded the economic rationale for expressing doubt about their economic
nuclear power, which is extremely viability. Areva, the French builder, is
costly and technically challenging to mired in losses and undergoing a large-
develop. Alternative-energy sources like scale restructuring.
wind and solar power are rapidly Among the winners could be China,
maturing and coming down in price. which has ambitions to turn its growing
The 2011 earthquake in Japan that led nuclear technical abilities into a major
to the nuclear disaster at the export. That has raised security concerns
Fukushima Daiichi plant renewed in some countries.
worries about safety.
August
2017
Uranium company PALADIN /Australia/Africa
Founded by John BORSHOFF
Ø Former employee of Uranerz Australien, subsidiary of
German Uranerzbergbau GmbH; he secures their database …
Ø Paladin purchases several projects with positive feasibility studies
during time of low price of uranium
2005: Price of uranium starts to rise, Paladin starts mines
John Borshoff is highly acclaimed as CEO,
Paladin becomes „the market´s darling“ …
from 2011 on: Value of Paladin´s shares starts to go down

2014: Kayelekera Uranium Mine, Malawi, mothballed

2014: Langer Heinrich Uranium Mine / Namibia, Paladin´s second mine)

in serious financial problems …

Share value dropped from $ 10 to $ 0,10

Uranium company PALADIN

www.finanzen.net/aktien/Paladin
_Energy-Aktie

2017: Paladin faces bankrupty, calls in „administrator“

July: Paladin shares suspended from trade at stock exchange
August: Paladin manages to stop take-over by Chinese CNNC
Future of company remains unclear
Uranium Company CAMECO, Canada
Uranium Company CAMECO, Canada

CAMECO – Share value – 2004 – 2017

Summary ...
1. Regional Shifts …
... re: Uranium Mining
Ø away from US, Canada, also partially from Australia

Ø towards Kasakhstan (currently world´s biggest uranium producer)

(low environmental standards, politically no problems …)
Ø and targeting Africa
(due to low environmental standards, lack of enforcement of laws,
and cheap labour)

... re: Nuclear Power Plants (NPP)

Ø Central Europe, USA, Canada: very few new builts of NPPs
(economically not feasible, much resistance, renewables cheaper)
Ø New builts / new connections to grid 80% in Asia (China, India …)
Summary ...
2. Shifts re: Companies
... re: Uranium Mining
Ø ´Traditional´ uranium miners (AREVA, CAMECO) in difficulties
Ø AREVA successfully ´staked claims´ (DR Congo, RCA, Canada)
‚Newcomers‘ (such as Paladin) à serious problems by now
Ø KAZATOMPROM – leading position in the world market
ROSATOM -
Ø CNNC – Chinese National Nuclear Corporation – in Namibia
à quietly launched big U mine (Husab, 5.000 t U / year)

... re: Nuclear Power Plants

Ø AREVA bankrupt, restructured, future re. NPP new builts unclear
Westinghouse filed for bankruptcy (March 2017)
ROSATOM ´looses hope´in int´l new builts of NPPs (July 2017)
Ø New builts of NPPs mainly Asia (China, India …)
What to expect in the
Future?
World Nuclear Industry Status Report 2017
published 12. Sept. 2017

The report makes clear, in telling detail, that the debate is over. Nuclear power has been
eclipsed by the sun and the wind. These renewable, free-fuel sources are no longer a dream
or a projection-they are a reality that are replacing nuclear as the preferred choice for new
power plants worldwide.

It no longer matters whether your greatest concern is nuclear power or climate change the
answer is the same. The modern-day “Edisons” have learned to harness economically the
everlasting sources of energy delivered to earth by Mother Nature free of charge.

The value of this report is that this conclusion no longer relies on hope or opinion but is
what is actually happening. In country after country the facts are the same. Nuclear
power is far from dead but it is in decline and renewable energy is growing by leaps and
bounds.
(…)
It is more than symbolic that the Japanese Government has formally accepted the death of its
breeder reactor, which was the original holy-grail of nuclear power.

Most revealing is the fact that nowhere in the world, where there is a competitive market for
electricity, has even one single nuclear power plant been initiated. Only where the government
or the consumer takes the risks of cost overruns and delays is nuclear power even being
considered.
Future ...
Impacts on (future) demand for uranium

Ø Some 350 NPPs remain in operation, continue to need uranium

Ø New builts of NPPs

§ Central Europe, US, Canada ´dead´ or only minimum numbers of NPPs
§ Attempts to extend life-span of existing NPPs

Ø ? Re-start of NPPs in Japan ?

(much slower than expected / advertised by nuclear industry)

Ø Other sources of uranium not relevant (i.e. programs like „Megatons to

Megawatts not expected to be renewed under Trump and Putin)

Ø Some of the ´traditional´ uranium companies in trouble

Ø 80% of new connections to the grid in the past 3 - 4 years in Asia

(mainly China, India)
Future ... NPPs connected to the grid 2014 – 2017
2014 2015 2016
5 connections 10 connections 10 connections
China 3 China 8 China 5
Russia 1 Russia 1 Russia 1
Argentina 1 South-Korea 1 South-Korea 1
India 1
Pakistan 1
USA 1

2017 – projected 2018 – projected Grid Connections

.

16 connections 8 connections 2014 – 2017 (total 41)

China 10 China 2 China: 64%
Russia 1 Russia 1 81%
South-Korea 1 South-Korea 1 Asia (others): 17%
India 1 UAE Emirates 1 Russia: 9,8%
Pakistan 1 Slowakia 1
UAE Emirates 1 France 1 (?) USA, Canada: 2,5%
Slowakia 1 Finland 1 (?) Central-Europa: 2,5%
 China: Increase in Nuclear - Increase in Renewables

uranium-network.org / 2017
Future ...
Projected Uranium Production Capacity vs.
Reactor Requirements

IAEA-OECD
RedBook 2016
(p119)
Future ...
Historic Development Projections

? ?

World Nuclear Industry Status Report 2017 OECD – IAEA ´Red Book´ 2016
Future … Projections Uranium Demand by OECD / IAEA

HIGH estimate

LOW estimate

IAEA-OECD
„RedBook“ 2016
(p101)
Future ... End of Nuclear Age ?
US, Canada, Central Europe
very few new builts
Life-time expansion of existing NPPs

China, India, some Asian countries

numerous new builts of NPPs
however: China also invests heavily in renewables

? Japan: future of NPPs unclear, no fast re-start, though

Africa
à targeted for uranium mining
à Nuclear companies push for and IAEA promotes nuclear power

Note:
Ø Nuclear industry pushes for small scale reactors
Ø EU European Union keeps investing heavily in nuclear research
via EURATOM
 Future ... re: Uranium Mining
„Traditional“ uranium miners (AREVA, CAMECO …) in difficulties

Chinese Companies advancing

China‘s future uranium needs will raise to 16% of the world uranium market

Uranium / Exploration companies continue to „milk thecapital market“

(for ex. Azincourt ... and others)

à In fact, few new starts of uranium mines due to low price of U

à Companies “stake claims“, wait for rise of the price of U

à African Gvt. WANT U mining - income for the state / Gvt.

à Pressure on the resources has ´relaxed´ a bit

and thus also pressure on the (grassroots) people …
 …thanks for your attention !

… and LEAVE URANIUM in the GROUND!