Energo: Russia bans enriched uranium exports to US

The Russian government has imposed temporary restrictions on the export of enriched uranium to the US, according to the November 15 announcement.

“The decision was made on the President's [Vladimir Putin’s] instructions in response to the US restrictions imposed for 2024-2027 and the ban on imports of Russian uranium products from 2028,” the government said.

The restrictions will apply both to direct uranium exports to the US and to exports under agreements with US-registered entities. At the same time, shipments under one-off special licences issued by the Federal Service for Technical and Export Control remain permitted.

As followed by bne IntelliNews, in September 2024 Putin has instructed the government to consider limitations on exports of uranium, titanium and nickel in response to restrictions on imports to Russia.

Unconfirmed reports suggested that the limitations on exports of strategic metals could be actually be Putin’s response to Ukraine’s allies potentially allowing the use of Western ammunition for long-range strikes into Russian territory. The decision to allow such strikes was reportedly made this week.

"Russia 'temporarily' banning EUP [enriched uranium product] exports to the US has been a card that has been near the top of the deck and should not surprise anyone in the nuclear fuel business," an unnamed US uranium market participant told S&P Global, adding that the ban "could be a significant challenge for some US utilities but [the] timing [is] uncertain." 

Uranium is exported by the Russian nuclear power agency and contractor Rosatom. While it did not disclose the volume of uranium exports at the end of 2023, Rosatom’s annual report estimated the company’s global uranium market share at 17%. 

In September 2024 report, Rosatom already claimed to be a leader in the world's uranium enrichment services industry, holding a 36% stake in the global market, according to S&P.

Rosatom's imports of low-enriched uranium into the US market are estimated to be close to 3mn SWU/year, enough for the annual uranium consumption of 20 large reactors, S&P notes citing the estimates of Alexander Uvarov, head of the Russian analytical service Atominfo-Centre.

EU countries, especially Finland and Eastern Europe, where Russian-designed VVER reactors are mainly operated, continue to depend heavily on imports of Russian uranium, conversion and enrichment services, as well as spent fuel and depleted uranium utilisation.

According to the Euratom Supply Agency (ESA, the EU nuclear regulator), natural uranium supplies to the EU in 2023 increased by 72.7% to 3,400 tonnes, while Russia accounted for 23.45% of these.

According to the EIA agency, Russian uranium raw materials also accounted for 12% of purchases by US nuclear power plant operators in the US.

As followed by bne IntelliNews, in April 2024 the US Senate a ban on imports of Russian enriched uranium. However, nuclear power plant (NPP) operators with long-term contracts with Tenex (Rosatom’s uranium exporting subsidiary) can receive exemptions from the ban until 2028.