GLOBAL NUKE NEWZ

Grossi praises Brazil's contributions to nuclear development

25 June 2024

International Atomic Energy Agency Director General Rafael Mariano Grossi has highlighted the importance of Brazil for the global nuclear sector. During a trip to the country last week, he signed an agreement formalising the designation of Brazil's Institute for Energy and Nuclear Research as an IAEA Collaborating Centre.

The signing of the agreement by Grossi (left) and Rondinelli (right), formalising IPEN-CNEN's designation as an IAEA Collaborating Centre (Image: Douglas Troufa/CNEN)

"As we face the challenge of climate change, the key role of nuclear energy is set to grow and Brazil is uniquely situated to take full advantage of this," Grossi said in an address to the Chamber of Deputies, the lower house of the National Congress. "A global energy debate without Brazil makes no sense. A global nuclear debate without Brazil makes no sense."

Speaking with Minister of Mines and Energy Alexandre Silveira, Grossi said: "The IAEA encourages the continuous development of the fuel cycle in Brazil, given its potential to become a key actor in the nuclear sector production chain. These developments are crucial for strategic growth and energy security in the country."

He also addressed the Brazilian Nuclear Programme Development Committee, highlighting the critical role of nuclear energy for Brazil's economic growth and future decarbonisation plans.

During his visit, Grossi also highlighted the first-of-its-kind collaboration of the IAEA with the G20 on nuclear power. This new cooperation started this year when the Brazilian Presidency invited the IAEA to participate in the G20's Energy Transitions Working Group. The IAEA is presenting a series of briefings and reports to inform G20 members on the key role that nuclear energy can play in the energy mix and emphasising the need to accelerate financing in order to reach net zero targets.

In Rio de Janeiro, he visited the Nuclear Medicine Service at António Pedro University Hospital, where doctors explained how the IAEA's support, providing advanced equipment and training, has greatly improved early cancer detection and treatment quality.

The IAEA is also supporting the Brazilian Navy in its goals to increase medical services for remote communities located in the Amazon River delta. Two mammography machines have been installed on the ships Soares de Meirelles and Carlos Chagas, allowing these communities to have access to breast cancer diagnostic services for the first time.

Grossi also signed an agreement with Minister of Science, Technology and Innovation Luciana Santos to use nuclear science to study harmful algal blooms, microplastics, ocean acidification and more in Antarctica.

He also met with Admiral Marcos Olsen and discussions included Brazil's plans to develop naval nuclear propulsion. "The IAEA and Brazil are committed to working together for highest non-proliferation standards as Brazil advances naval nuclear propulsion plans," Grossi said.

Grossi also visited the headquarters of the Brazilian-Argentine Agency for Accounting and Control of Nuclear Materials (ABACC). "ABACC has played a key role in regional stability and its importance will only grow as Brazil embarks on naval nuclear propulsion. I am looking forward to continuing the strong cooperation between the IAEA, ABACC, Brazil and Argentina," he said.

IAEA Collaborating Centre

The IAEA's first Collaborating Centre on Nuclear Security in Latin America - the National Nuclear Energy Commission's (CNEN's) Instituto de Pesquisas Energéticas e Nucleares (IPEN-CNEN) - was also established during the trip. IPEN-CNEN, CNEN's technical-scientific unit in São Paulo, expressed interest in joining this scheme and, on 7 June, the IAEA approved the proposal for its designation.

An agreement was signed on 21 June by Grossi and CNEN President Francisco Rondinelli, formalising the designation. As an IAEA Collaborating Centre, IPEN-CNEN will assist the IAEA in activities in the areas of computer security, radiation detection and physical protection for nuclear security, for a period of four years.

"All the activities we have, of the International Atomic Energy Agency, in Brazil, need to have the indispensable cooperation of CNEN," Grossi said. "We recognise this crucial role of CNEN in the development of nuclear technology in the country. We are very grateful for this cooperation, which will continue and increase more and more."

Brazil currently has two operating nuclear power reactors and a third under construction. The country's 2050 national energy plan indicates that it could add 10 GW of nuclear in the next 30 years, which is enough to provide power for about 10 million people, with a possibility to include small modular reactors in its energy mix after 2030.

Ohi units cleared for another 10 years' operation

26 June 2024

Japan's nuclear regulator has approved Kansai Electric Power Company's long-term reactor management plan for units 3 and 4 of its Ohi nuclear power plant in Fukui prefecture, allowing the units to operate beyond 30 years. They become the first reactors to be permitted to operate up to 40 years under new legislation.

The Ohi plant, with units 3 and 4 in the foreground and the shut down units 1 and 2 behind (Image: Kansai)

Under regulations which came into force in July 2013, Japanese reactors had a nominal operating period of 40 years. One extension to this - limited to a maximum of 20 years - could be granted, requiring amongst other things, a special inspection to verify the integrity of reactor pressure vessels and containment vessels after 35 years of operation.

However, in December 2022, the NRA approved a draft of a new rule that would allow reactors to be operated for more than the current limit of 60 years. Under the amendment, the operators of reactors in use for 30 years or longer must formulate a long-term reactor management plan and gain approval from the regulator at least once every 10 years if they are to continue to operate. The new policy effectively extends the period reactors can remain in operation beyond 60 years by excluding the time they spent offline for inspections from the total service life.

The legislation was approved by Japan's Cabinet in February last year and enacted in May 2023. It comes into full effect in June next year.

The Ohi 3 and 4 reactors gained permission for operation extensions to 40 years under the old regulatory system in November 2021 and August 2022, respectively.

Kansai submitted an application to the Nuclear Regulation Authority (NRA) on 21 December to operate the units for over 60 years. The two 1180 MWe pressurised water reactors were connected to the grid in June 1991 and June 1992, respectively.

With the NRA's approval, Ohi 3 can now operate until 17 December 2031, while Ohi 4 can operate until 1 February 2033.

"We will continue to actively incorporate the latest knowledge from Japan and abroad and reflect it in plant design and equipment maintenance, thereby striving to improve the safety and reliability of nuclear power plants," Kansai said.

Kyushu Electric Power Company submitted its long-term reactor management plan to the NRA on 24 June for units 1 and 2 of its Sendai nuclear power plant in Kagoshima Prefecture.

 

SMR power plant planned for Swedish site

26 June 2024

Small modular reactor project development company Kärnfull Next has announced the municipality of Valdemarsvik in Östergötland county in southeastern Sweden as a new candidate site to host up to six reactors.

The proposed site (Image: Latona Group)

The company has entered into an exclusive partnership agreement with landowner Latona Group for the exploration rights for nuclear power on the site. "The ongoing study, expected to be finalised after the summer, has shown promising preliminary results leading the companies to jointly inform the municipality, site neighbours and now the general public about the plans for an SMR Campus," Kärnfull Next said.

The company noted that the property includes areas that were identified as suitable for nuclear power in studies going back as far back as the 1970s. With more than 1300 hectares in total, it said the site was appealing for co-location with 2030s energy-intensive industries, such as AI data centres. The large coastal site in Östergötland would be part of Kärnfull Next's Re:Firm South SMR programme, aiming to expand carbon-free and dispatchable energy production across southern Sweden.

"Location, topography and cooling conditions in a forward-looking municipality with extensive rural areas are examples of early indications of a positive outcome from the current stage," it said. "The project in Valdemarsvik offers significant opportunities for local job creation - a single SMR is estimated to create around 500 direct and indirect jobs per year for 70 years."

Illustration of a multi-unit SMR campus (Image: Instance/MIT)

The SMR campus in Valdemarsvik is initially planned to host between four and six small light water reactors, adding between 10-15 TWh of electricity generation per year.

"We are very enthusiastic about the indications from our preliminary study in Valdemarsvik," said Kärnfull Next CEO Christian Sjölander. "This site has potential to become a key component in our programme to supply large amounts of stable and sustainable energy to regions with significant capacity needs, and create substantial economic and social benefits for the local communities."

Gustav Carp, owner of Latona Group, added: "We are very pleased to collaborate with Kärnfull Next on this exciting project. The property is likely to offer uniquely favourable conditions for nuclear power, and we look forward to being part of the development of fossil-free energy production in the region. This initiative can create significant value for Valdemarsvik and its residents."

In March 2022, Kärnfull Next signed a memorandum of understanding with GE Hitachi Nuclear Energy on the deployment of the BWRX-300 in Sweden.

Kärnfull Next has been conducting site selection and feasibility studies in several municipalities in Sweden since 2022. By establishing multiple SMR parks as part of the same programme, the company expects to achieve economies of scale in terms of technology selection, construction partners, power purchase agreements and financing partners.

In August 2023, Nyköping was announced as another candidate site within the programme. Kärnfull Next said further feasibility studies are expected "to reach sufficient maturity levels to be announced later this year".

GEN energija lists JEK2 studies to be published ahead of referendum

25 June 2024

Slovenia's GEN energija has published an analysis concluding that the proposed JEK2 new nuclear project location is suitable from a seismic activity point of view - and also outlined a series of studies it aims to publish before a referendum is held on nuclear energy later this year.

How JEK2 could look (Image: GEN energija)

In its latest update on the state of the JEK2 project for two new nuclear units near the existing Krško nuclear power plant, GEN said "several analyses were carried out, which investigated the geology of the Krška basin and the proximity of possible JEK2 locations. They showed that the area [of the existing plant and earmarked for the proposed plant] ... is suitable for these facilities from the point of view of seismic activity. The Krška basin is considered to be the most geologically, geotechnically and seismologically researched area in Slovenia and beyond. The results of the research so far show that the design seismic loads (displacements, velocities and accelerations of the ground) allow the safe operation of the nuclear power plant and the safe design, construction and operation of JEK2, in accordance with international nuclear standards".

GEN says that about 80 - 20% - of the world's nuclear power plants are located and operate safely in areas of moderate or high seismic risk, with Slovenia located in a "moderate" area and has referenced there has been on-going safety research dating back decades.

The company has also listed a series of studies and documents which, at the request of the Ministry of Finance and the Ministry of Environment, Space and Energy, will be published by October, to "enable citizens to make an informed decision in the autumn referendum".

As well as the seismic study, there will also be ones on flood safety, how the new units will be integrated within the national electricity grid, an economic analysis including the "related and indirect investment costs", the financial and security risks relating to the import of nuclear fuel and the planned handling of waste from the new plant.

GEN energija is also conducting an information roadshow across the country to present information and answer questions about the proposed project. There is also a dedicated jek2.si website.

The JEK2 project

Slovenia's plan is to build the new nuclear power plant, with up to 2400 MW capacity, next to its existing nuclear power plant, Krško, a 696 MWe pressurised water reactor which generates about one-third of the country's electricity and which is co-owned by neighbouring Croatia. Prime Minister Robert Golob has committed to holding a referendum on the project before it goes ahead, and has suggested it could be held later in 2024.

The current timetable for the project is for a final investment decision to be taken in 2028, with construction beginning in 2032. In October, GEN Energy CEO Dejan Paravan said there were three technology providers being considered for the project - Westinghouse, EDF and Korea Hydro & Nuclear Power - who all had strengths and "the decision will not be easy".

Construction of WIPP ventilation system complete

24 June 2024

Now that construction of the new large-scale ventilation system at the Waste Isolation Pilot Plant (WIPP) is complete, the US Department of Environmental Management is aiming for it to be fully operational in 2026.

Finishing off construction of the final large ductwork at the SSCVS (Image: DOE Office of Environmental Management)

WIPP, in New Mexico, is the USA's only repository for the disposal of transuranic, or TRU, waste which includes clothing, tools, rags, residues, debris, soil and other items contaminated with small amounts of plutonium and other man-made radioactive elements from the US military programme. The repository is excavated out of a natural rock salt layer 650 metres below ground, and has been operational since 1999.

The new Safety Significant Confinement Ventilation System (SSCVS) is being built in tandem with a new utility shaft. The SSCVS will pull air through the repository, pre-filter it to remove salt and can also, when required, send the air through a high-efficiency particulate air (HEPA) filtration system before releasing it to the environment. When it is fully operational, the new system will increase underground airflow from 170,000 cubic feet (4814 cubic metres) per minute up to 540,000 cubic feet per minute. The increased airflow will mean that activities to emplace sealed waste drums in the repository can take place at the same time as facility mining and maintenance operations.

WIPP's management and operations contractor, Salado Isolation Mining Contractors (SIMCO), was able to begin commissioning phase work of initial portions of the SSCVS facility and systems in October 2023. "Completing SSCVS construction allows us to pivot our focus to testing and commissioning the remaining SSCVS systems," said Ken Harrawood, SIMCO's president and programme manager at WIPP.

Testing and commissioning includes testing systems, integration, developing operational procedures and guidelines, training and qualifying staff, after which the facility will be handed over to trained WIPP operations personnel to bring it online. The SSCVS commissioning phase is currently 85% complete, the Office of Environmental Management said.

Construction of the SSCVS began in 2018 with completion originally envisaged for 2021, but progress was impacted when WIPP, like most of the office's field sites, focused on essential mission-critical operations during the COVID-19 pandemic. The office has identified completing the commissioning of the SSCVS, and initiating the readiness review process, as one of its top priorities for 2024.

Committee to evaluate nuclear power option for Norway

24 June 2024

The Norwegian government has appointed a committee to conduct a broad review and assessment of various aspects of a possible future establishment of nuclear power in the country. It must deliver its report by 1 April 2026.

Energy Minister Terje Aasland (left) and Kristin Halvorsen, who heads the new committee (Image: Arvid Samland, Energidepartementet)

"The need for emission-free and stable energy sources that can help deal with the natural and climate crisis and meet an increasing need for power, technological development, as well as plans for the establishment of nuclear power production by private actors in collaboration with municipalities, have contributed to the question of nuclear power being brought up to date again," said Energy Minister Terje Aasland. "Nuclear power is a complex energy source that affects a number of areas of society. There is therefore a need to obtain an updated and solid knowledge base on nuclear power as a possible energy source in the Norwegian power system."

The 12-person committee will be headed by Kristin Halvorsen, director of the Centre for International Climate and Environmental Research - Oslo (Cicero).

The Ministry of Energy said it has drawn up the mandate for the committee in consultation with several other ministries. The mandate "calls for a broad assessment of complex questions, and the selection is therefore put together by people with expertise and experience from various fields," the government said.

"An important topic the committee should shed light on is nuclear power's suitability for the Norwegian power system, research and technology development within various concepts for nuclear power (including fusion), costs and other significant consequences for authorities (including the municipal sector) and private actors, area and environmental effects, waste issues, nuclear safety, safeguarding and non-proliferation, preparedness and competence," the government said. "The committee shall discuss advantages and disadvantages of nuclear power, describe the current regulations and point out the need for regulatory development and other prerequisites that must be in place for any future establishment of commercial and industry-driven nuclear power.

"The committee shall provide an updated knowledge base on various types of nuclear power technology, technological maturity, assumed time perspective for scale-up and commercial availability, and costs. An account must also be given of relevant investment factors and requirements for infrastructure, including the need for network connection and what requirements must be made for a suitable location."

The Ministry of Energy has been given the authority to make small changes to the committee's mandate and to appoint a secretariat for the committee. "It is not realistic for the committee to possess all the necessary knowledge within the various areas of the themes," it said. "A resource group must therefore be established, consisting of professionals, who can assist and give input to the committee in important subject areas, and ensure the involvement of central specialist communities. The committee can engage external expertise if necessary."

Between 1951 and 2019, Norway operated four research reactors at the Kjeller and Halden sites, but these were not for power production. "As a starting point, Norway therefore has no experience with development, commercial operation, regulation and licence processing of this form of power production," the government said.

However, the government noted that nuclear power "has become part of the energy debate and plans for its development are being promoted".

In November 2023, the Ministry of Energy received notification of proposals for a study programme from Norsk Kjernekraft. This is the initial step in the licensing process, and triggers administrative law requirements for a proper case management. Norsk Kjernekraft wants to construct a nuclear power plant consisting of small modular reactors (SMRs) with a total output of 1500 MW in Taftøy Næringspark in Aure and Heim municipalities. The company has also announced ongoing work with several similar projects. In addition, several other municipalities and county councils have expressed an interest in nuclear power.

Kozloduy used fuel storage licence updated

26 June 2024

Bulgaria's Nuclear Regulatory Agency has issued a fresh non-time-limited licence to operate the used fuel storage facility at the Kozloduy nuclear power plant.

Tsanko Bachiiski, NRA chairman, right, handed over the new licence to Kozloduy NPP executive director Valentin Nikolov (Image: NRA)

The amended licence follows the amendments introducted in March this year to the country's Law on the Safe Use of Nuclear Energy. Instead of the licence being limited by time - notably for 10 years - it is open-ended but with a condition within the licence to carry out a safety review at least every 10 years.

The Agency said "the results of this review should justify the safe operation of the facility and are a prerequisite for the chairman of the NRA to issue an order for their approval and determine the period for carrying out the next periodic safety review".

The Kozloduy plant is in the northwest of Bulgaria on the Danube River and provides about 34% of the country's electricity. It features two Russian-designed VVER-1000 units currently in operation, which have both been through refurbishment and life extension programmes to enable operation for 60 years.

According to World Nuclear Association's Information Paper on Nuclear Power in Bulgaria, used fuel at Kozloduy is initially stored in a pool at the site which was built in 1990 and upgraded and given a new licence by the Bulgarian Nuclear Regulatory Agency in 2001. A dry used fuel storage facility was built near this at Kozloduy and opened in May 2011 with a capacity of 5200 fuel assemblies in 72 casks for storage for up to 50 years.

Researched and written by World Nuclear News

New Candu design could boost Canadian GDP, report finds

26 June 2024

Construction of a four-unit Candu Monark plant would boost Canada's GDP by more than CAD90 billion (USD66 billion) and create thousands of jobs over the project's lifetime - and each unit built overseas would have a GDP impact of CAD4.8 billion. So says a new report from the Conference Board of Canada.

The independent report, which was commissioned by AtkinsRéalis, found that the manufacturing, engineering, and construction phase of four Candu Monark units would generate more than CAD40.9 billion of GDP impact for Canada, with CAD49.5 billion of GDP impact during the operation phase. It would generate the equivalent of more than 20,000 "full time, well-paying jobs" and more than 324,000 person-years of employment during manufacturing, engineering and construction and sustain 3,500 full-time equivalent jobs per year over a 70-plus year operating life. The report also found an additional CAD29.1 billion in additional tax revenue across municipal, provincial and federal governments over the life of the project.

AtkinsRéalis unveiled the Candu Monark, a Generation III+ reactor design, in November 2023. The natural uranium-fuelled reactor design builds on the design of currently operating Candu units and features a larger output of 1,000 MW, improved cost per megawatt-hour, a longer operating life of 70 years, and sustainable design principles to minimise environmental impact. The company says it is the easiest reactor design to build, operate and maintain in AtkinsRéalis's Candu nuclear portfolio.

The Candu supply chain underpins a Canadian nuclear ecosystem that already supports more than 76,000 stable and well-remunerated jobs across a wide variety of professional and skilled trades fields, the company said, and is "perfectly suited" to a new build of Monark reactors. The intellectual property for the design is 100% Canadian owned, and the domestic supply chain would benefit "strongly" from exporting the reactor, the report found.

"We have a world-class, made-in-Canada solution in Candu nuclear technology that will allow us to navigate the energy transition successfully and accrue many economic advantages for Canada," said AtkinsRéalis President, Nuclear, Joe St. Julian.

"As Ontario looks to ramp up capacity to meet the 18,000 MW of new nuclear power, large nuclear reactors like Candu reactors will be key to addressing the forecasted demand. Candu reactors will optimise the amount of energy provided from scarce grid-connected regions in Ontario, and if they are designed, built, supplied and serviced from within Canada, it is a win-win for all Canadians," AtkinsRéalis Executive Vice-President, Nuclear, Canada Gary Rose said.

All of Canada's currently operating nuclear power plants use Candu - taken from Canada Deuterium Uranium - technology. The pressurised heavy water reactor design was developed by federal Crown corporation Atomic Energy of Canada Ltd (AECL), in cooperation with Canadian industry, from the late 1950s onwards and the first commercial unit began operation in 1971. AtkinsRéalis is the original equipment manufacturer of Candu technology (SNC-Lavalin Group Inc rebranded to AtkinsRéalis in 2023).

The government of Ontario last year announced the start of pre-development work to build up to 4800 MWe of new nuclear capacity at Bruce Power's existing site, in what would be Canada's first large-scale nuclear build in more than 30 years, in addition to plans to deploy small modular reactors in Ontario, Saskatchewan, New Brunswick and Alberta.

In February, AtkinsRéalis launched the Canadians for CANDU campaign to promote the deployment of Candu nuclear technology at home and abroad in support of Canadian and global efforts to reach net-zero emissions.

OPG expands green financing to include new nuclear

26 June 2024

Ontario Power Generation's new Sustainable Finance Framework replaces its 2021 Green Bond Framework and will permit funding of a broader range of clean energy technologies. It now allows net proceeds from the bond to be used for new nuclear projects as well as to provide funding for existing nuclear facilities.

OPG plans to build SMRs at the Darlington New Nuclear site (Image: OPG)

Green bonds are financial instruments that finance green projects and provide investors with regular or fixed income payments. The key difference between green bonds and regular bonds is that the money raised from investors is used exclusively to finance projects that have a positive environmental impact.

Ontario Power Generation (OPG) was the first Canadian utility to release green bonds in Canada and, together with its subsidies, has issued more than CAD3 billion (USD2.2 billion) of green bonds to date. In 2022, it updated its Green Bond Framework to allow net proceeds from green bonds to be used to finance maintenance and/or refurbishment of existing nuclear facilities, and issued a first-of-its-kind nuclear green bond offering for CAD300 million. The net proceeds from the issuance were allocated to the Darlington nuclear power plant refurbishment project.

OPG says the new Sustainable Finance Framework will permit funding of a broader range of clean energy technologies as well as initiatives to create opportunities for Indigenous communities and businesses. New nuclear projects, such as small modular reactors and large new nuclear, may now be financed from the net proceeds from OPG's sustainable bond issuance, as well as the maintenance or refurbishment of existing facilities.

The sustainable bonds may also be used to finance renewable energy projects like hydro refurbishment, solar, wind and hydrogen production; energy efficiency and management solutions such as energy storage and clean fuel storage; clean transportation initiatives such as zero-emissions vehicles; and developing climate adaptation and resilience capabilities for flood protection and extreme weather.

"As Canada's largest corporate green bond issuer, expanding our eligible use of proceeds from these bonds recognises growing demand for clean electricity and OPG's commitment to advancing economic Reconciliation with Indigenous Nations and communities," said OPG Chief Financial Officer and Corporate Services Officer Aida Cipolla. "Partnerships will be key to achieving economy-wide decarbonisation and lasting environmental benefits."

OPG recently completing early site works for the construction of the first of four BWRX-300 small modular reactors at its Darlington New Nuclear project, as well as being more than half-way through a CAD12.8 billion project to refurbish the four Candu units at its Darlington plant, which is scheduled to be completed by the end of 2026. It is also initiating a project to refurbish units 5-8 at its Pickering plant.

Paladin acquires Fission, creating multi-asset uranium company

24 June 2024

Australia-headquartered Paladin Energy Limited is to acquire Canadian uranium project developer Fission Uranium Corp in a transaction the companies say will create a "globally significant uranium company" listed on Australian and Canadian stock exchanges and will help advance Fission's Patterson Lake South project towards production.

Langer Heinrich returned to commercial operation earlier this year (Image: Paladin)

The combination will mean shareholders of both companies will benefit from an enhanced project development pipeline, with "multi-asset production" expected by 2029, and a diversified presence across leading uranium mining jurisdictions of Canada, Namibia and Australia, they said.

Paladin, which is listed on the Australian Securities Exchange (ASX), has a 75% ownership of the Langer Heinrich uranium mine in Namibia, which returned to commercial operation earlier this year for the first time since 2018. The company's portfolio of uranium exploration and development assets in Canada and Australia includes the Michelin project in Newfoundland and Labrador, which is at the preliminary economic assessment stage. Fission, listed on the Toronto Stock Exchange (TSX), is the 100% owner of the Patterson Lake South (PLS) high-grade uranium project in Saskatchewan, for which a feasibility study has highlighted the potential for a 10-year mine life with production of 9.1 million pounds U3O8 (3500 tU) per year.

Paladin will acquire 100% of the issued and outstanding shares of Fission by way of a court approved plan of arrangement under the Canada Business Corporation Act. On completion of the transaction, Fission shareholders will own 24.0% of Paladin, which will have a pro-forma market capitalisation of approximately USD3.5 billion, the companies said. Paladin has applied for listing of the Paladin Shares on the Toronto Stock Exchange, concurrent with completion of the transaction, so that Fission shareholders will receive TSX-listed Paladin shares.

Paladin CEO Ian Purdy said Fission is a "natural fit" for the company's portfolio. "The addition of PLS creates a leading Canadian development hub alongside Paladin's Michelin project, with exploration upside across all Canadian properties," he said. The transaction would also de-risk the development of PLS for Fission shareholders, underpinned by production from Langer Heinrich and Paladin's offtake contract book. "Paladin will bring the required investment to PLS in order to advance it towards production," he added.

Fission President and CEO Ross McElroy said the combination would create a world class diverse uranium producer, adding a class leading development project in a Tier 1 jurisdiction with the ability to expand production and cash flow profiles in the near term. "With commercial production at Langer Heinrich and further development milestones at PLS, this opportunity will create a diverse pureplay uranium company with current production and a deep pipeline of near and mid-term assets available to investors," he added.

The combination will create "one of the largest amongst pure-play uranium companies" with pro-forma U3O8 mineral resources of 544 million pounds U3O8 and ore reserves of 157 mllion pounds across conventional open-pit and high-grade underground orebodies, with multi-asset production expected "by the end of the decade," the companies said.

The transaction is targeted to close in the third quarter of this year, subject to satisfaction of conditions.

Researched and written by World Nuclear News

Exxon, South Korea’s SK On sign non-binding deal for lithium supply

Reuters | June 25, 2024 | 

Image by Harry Green | Adobe Stock.

US energy major Exxon Mobil said on Tuesday it had signed a non-binding agreement to supply lithium from its proposed Arkansas project to South Korean EV battery maker SK On.


The agreement has the potential to be a multi-year offtake deal of up to 100,000 metric tons, the company said.

Exxon in November announced plans to produce lithium from pumped out brine in Arkansas, from regions considered to hold significant deposits of the metal.

SK On, a unit of SK Innovation, intends to use the lithium for making EV batteries in the US.

The company, which supplies to Volkswagen and Ford Motor, operates two facilities for making batteries in Georgia. It is building four more plants jointly with automakers.

“Through this partnership with ExxonMobil, we will continue strengthening battery supply chains in the US,” said Park Jong-jin, executive vice president of strategic procurement at SK On.

(By Sourasis Bose; Editing by Mohammed Safi Shamsi)

Lilac Solutions releases lithium extraction data amid rising competition

Reuters | June 25, 2024 | 

(Image courtesy of Lilac Solutions).

Lilac Solutions said on Tuesday the latest version of its lithium extraction technology can recover more than 90% of the lithium found in many brine formations, and that it has cut the construction cost of its system by 50%.


The release of the long-awaited data on Lilac’s process for recovering lithium – a key component in electric vehicle batteries that is abundant but can be hard to process – is aimed at rebutting claims its technology is inefficient and uneconomical as it works to woo clients across the globe.

Oakland, California-based Lilac, which was founded in 2016 and counts BMW and Breakthrough Energy Ventures as investors, has long been reticent to release data related to its version of a direct lithium extraction (DLE) technology.

Despite growing interest in the DLE sector from Exxon Mobil, Saudi Aramco and others, no DLE technology has worked at commercial scale without the use of traditional evaporation ponds.

Lilac on Tuesday released a 24-page white paper on the fourth generation of its technology, which uses ion exchange ceramic beads to attract lithium in batch cycles – akin to a laundry machine – after which a water-and-acid mixture is used to wash off the metal.

The data release comes as Lilac and its rivals – including International Battery Metals, EnergyX, Sunresin and others – are heavily marketing their DLE technologies to potential customers across the globe.

EnergyX to build lithium plant in US ‘Ark-La-Tex’ region

“Our technology works and I want to show that,” Raef Sully, who became Lilac’s CEO in February, said on the sidelines of the Fastmarkets Lithium Supply and Battery Raw Materials Conference, one of the world’s largest gatherings of lithium producers.

“We’re trying to close that gap between rumor and perception and be like, ‘Hey, here we are. Here’s the data.'”

A short seller in July 2022 attacked Lilac partner Lake Resources for relying on what it called “Lilac’s yet-to-be-proven technology.”

The short seller alleged that Lilac’s beads only work for 150 cycles, making the technology uneconomical. Lilac at the time said the short seller’s report was “inaccurate”, but did not release hard data to refute it.

On Tuesday, the company said that the latest version of its technology works for 4,000 cycles, and can reduce water usage with the use of recycling equipment, Sully said.

Lilac plans to use the latest version of its DLE technology at Utah’s Great Salt Lake, where a pilot plant should be online by October, Sully said. Lilac is also eyeing lithium projects in Arkansas, South America and Europe, he added.

The company’s rivals have also been touting their own DLE data, including Koch Engineered Solutions, which has been testing its technology in Arkansas with partner Standard Lithium that it says has an average lithium recovery rate of 95.9% at certain conditions.

“We’re trying to change the narrative and show this whole ‘phantom DLE’ thing is no longer phantom,” said Garrett Krall, head of Koch’s lithium business. “We now are ready to guarantee our (DLE) process in any brine resource around the world.”

(By Ernest Scheyder; Editing by Jan Harvey)

Trafigura clinches share of major zinc deal snubbed by Glencore

Bloomberg News | June 26, 2024 |

The Kipushi zinc-copper-silver-germanium project in DRC. 

(Image courtesy of Ivanhoe Mines.)

Production from a large new zinc mine in the Democratic Republic of Congo will be split between several new buyers including trading giant Trafigura Group, after rival Glencore Plc backed away from a previous deal for the entire supply.


Ivanhoe Mines Ltd.’s Kipushi zinc mine started production in the past few days and is finalizing deals to sell its zinc to Trafigura, China’s Citic and Boliden AB, according to people familiar with the matter, who asked not to be identified as the matter isn’t public.

Kipushi is set to be one of the world’s largest zinc mines, with output planned at more than 250,000 tons per year, and will produce a semi-processed form of ore known as concentrate that is currently in tight supply.

Ivanhoe, Gécamines to reopen historic Kipushi mine

For Trafigura, the deal will help cement its position in the zinc concentrates market, with neither of its major competitors Glencore or IXM getting a share of the offtake. Glencore, long a dominant player in the zinc market, has recently been making changes at the top of its zinc unit and taking steps to exit certain investments.

The market for zinc concentrates has been extremely tight, with processing fees paid by miners to smelters plunging as mine supply disappoints and smelters in Europe reopen in the wake of the 2021-2022 energy crisis. On the spot market, the so-called treatment charges have fallen to just $5 a ton, the lowest since at least 2014, according to Fastmarkets, while annually agreed “benchmark” treatment charges dropped 40% this year.

Glencore deal

Ivanhoe last year announced that it had signed a term sheet to sell the entire zinc output of the Kipushi mine to Glencore in exchange for a $250 million financing facility.

But since then, Glencore has pulled back from that deal, the people said, amid several senior changes in its zinc department. Nick Popovic, the co-head of zinc and copper trading who was pictured at the signing ceremony for the Kipushi term sheet, retired from the company a few months later.

Ivanhoe taps Glencore for $250 million to start Kipushi zinc mine ahead of schedule

Meanwhile IXM, the metals trader owned by China’s CMOC Group Ltd., had been in advanced negotiations for a share of the offtake from Kipushi but failed to agree a loan deal in time, the people said. IXM’s head of lead and zinc, Xavier-Alexandre Ortiz, left the company last week, with a spokesperson saying that “ambitions for the business differed.”

Ivanhoe declined to comment. The miner had previously said that it had received “significant additional interest” from potential buyers of Kipushi concentrate since agreeing the term sheet with Glencore, and that it was in negotiations with numerous parties for deals that would include financing of “$200 million or higher.”

While the contracts are being finalized, it’s still possible they may not all result in deals.

Spokespeople for Citic Metal, which owns a 24% stake in Ivanhoe, and Trafigura declined to comment. Boliden, which owns zinc smelters in Finland and Norway, said on Tuesday it does not comment on ongoing contract negotiations and had not signed a contract for supply from Kipushi. Glencore and IXM also declined to comment.

Glencore’s failure to go ahead with the deal it had agreed last year comes amid wider changes in its zinc unit — a market where it once dominated, boasting a more than 50% share of the “addressable” market for zinc metal and concentrates in its 2011 IPO prospectus.

In addition to Popovic’s retirement, Glencore earlier this year named a new head of its lead and zinc assets, Suresh Vadnagra, replacing the previous co-heads Denis Hamel and Aline Coté. The company also recently sold its controlling stake in Peruvian zinc miner Volcan Cia Minera SAA.

(By Jack Farchy and Michael J. Kavanagh)

Legal & General unit to sell Glencore stake over thermal coal plans

Reuters | June 26, 2024 |

Image courtesy of Glencore.

Legal & General’s investment management unit said on Wednesday that it is selling its stake in global commodities trader Glencore this year on concerns over its production of thermal coal.


Legal & General Investment Management (LGIM) is also selling its stake in New York-listed retailer TJX, it said, raising the number of divestments under its Climate Impact Pledge to 16, applying across funds covering around 176 billion pounds ($223 billion) in assets under management.

“While divestment is one of the many stewardship tools we use as a mechanism for driving change, we see it as a last resort and by no means the last stage of engagement,” Stephen Beer, LGIM senior manager for sustainability and responsible investment, said.

LGIM said that its decision on Glencore followed a shareholder resolution last year, requesting the miner to disclose how its thermal coal production aligns with the Paris Agreement’s objective to limit the global temperature increase to 1.5 degrees Celsius.

UK-based LGIM has a 0.44% stake in Glencore, according to LSEG data.

“We remain concerned that Glencore does not meet our red line asking mining companies to disclose whether they plan to increase thermal coal capacity,” LGIM said.

Glencore declined to comment on the news, while TJX did not immediately respond to a request for comment.

Environmental, social and governance (ESG) investing boomed in 2020 and 2021 during the Covid-19 pandemic as low oil prices spurred more investors to diversify beyond fossil fuels, and as fund managers sought to be more climate-conscious.

Through its Climate Impact Pledge, LGIM assesses over 5,000 companies across 20 ‘climate-critical’ sectors. It has also highlighted concerns about climate risk management with Woodside Energy and Nippon Steel in the past.

Glencore mines and trades thermal coal, which is a major contributor to greenhouse gas emissions. The company also has coking coal assets.

It plans to run down its thermal coal mines by the mid-2040s, closing at least 12 by 2035.

($1 = 0.7907 pounds)

(By Echha Jain and Yadarisa Shabong; Editing by Savio D’Souza, Sonia Cheema and Emelia Sithole-Matarise)