Sean K
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Now we're going to be sending it to Mexico too!!..........
=DJ INTERVIEW: Mexico Seeks Australian Uranium - Macfarlane 05/10/2006 04:14PM AEST
By Barbara Adam
Of DOW JONES NEWSWIRES
CANBERRA (Dow Jones)--Mexico is seeking enriched Australian uranium to meet its growing energy needs, Australian Resources Minister Ian Macfarlane said Thursday after a G8+ energy ministers meeting in Monterrey, Mexico.
At the meeting, Mexico's Energy Secretary, Fernando Canales Clariond discussed the prospect of buying Australian uranium, to be enriched in the U.S. or France.
"They are looking to expand their nuclear capability in terms of generation," Macfarlane said in a telephone interview with Dow Jones Newswires from Mexico.
Mexico is a signatory to the Nuclear Nonproliferation Treaty but is yet to ratify a further nuclear safeguards agreement.
Macfarlane said that agreement could be ratified in coming months, allowing Australian uranium exports to Mexico in as little as three years.
Last year Australia produced about one-fifth of the world's uranium output and at present all the uranium from the country's three producing mines is exported.
Rio Tinto Plc. (RTP), BHP Billiton Ltd. (BHP) and San Diego-based General Atomics each own one of the mines. Canada's SXR Uranium One Inc. (SXR.T) last month announced it will proceed with its as-yet undeveloped Honeymoon project, with the first production expected in 2008.
Australia only allows its uranium to be exported to countries which have signed the nuclear nonproliferation treaty.
"If Mexico ratifies it then we could sell them the uranium direct or allow the uranium to be enriched and then delivered to Mexico," Macfarlane said.
Further talks on uranium exports are expected when Mexican President Vicente Fox visits Australia in mid-November.
If Mexico decided to expand its current nuclear power plant, it could look to increase its uranium imports in the next three or four years, Macfarlane said.
If it decided to built a new nuclear facility, the increased demand for uranium would probably occur in the next five to eight years, he said.
Most of Australia's uranium is committed under long-term contracts with the U.S., Europe, Japan and South Korea.
Surging uranium prices are expected to boost the value of Australian uranium exports by 45% to A$791 million in fiscal 2007.
The increased interest in Australian uranium raises the likelihood a fifth uranium mine will be developed, Macfarlane said.
"I think it (Mexican interest) does increase the opportunity for a new uranium mine in Australia," Macfarlane said.
"I remain optimistic that we will see an application (for a new uranium mine) in the next year or so."
Mexico is also interested in Australian coal and liquefied natural gas.
In January, Mexico awarded Xstrata plc (XTA.LN) and Rio Tinto contracts to supply the government-owned Petacalco power plant in Guerrero state with 8.84 million tons of thermal coal, a deal worth more than A$688 million.
At the time, Macfarlane expressed hope a similar deal to sell Australian LNG to Mexico could be struck but Australia's LNG output is fully committed for the next four years.
"The demand for LNG is growing," Macfarlane said Thursday. "That is an opportunity for Australia but one which, in the short term, we won't be able to meet because, basically, we're sold out."
Macfarlane promised his Mexican counterpart he would investigate the availability of Australian LNG post-2010 LNG supplies and discuss the matter further in November.
=DJ INTERVIEW: Mexico Seeks Australian Uranium - Macfarlane 05/10/2006 04:14PM AEST
By Barbara Adam
Of DOW JONES NEWSWIRES
CANBERRA (Dow Jones)--Mexico is seeking enriched Australian uranium to meet its growing energy needs, Australian Resources Minister Ian Macfarlane said Thursday after a G8+ energy ministers meeting in Monterrey, Mexico.
At the meeting, Mexico's Energy Secretary, Fernando Canales Clariond discussed the prospect of buying Australian uranium, to be enriched in the U.S. or France.
"They are looking to expand their nuclear capability in terms of generation," Macfarlane said in a telephone interview with Dow Jones Newswires from Mexico.
Mexico is a signatory to the Nuclear Nonproliferation Treaty but is yet to ratify a further nuclear safeguards agreement.
Macfarlane said that agreement could be ratified in coming months, allowing Australian uranium exports to Mexico in as little as three years.
Last year Australia produced about one-fifth of the world's uranium output and at present all the uranium from the country's three producing mines is exported.
Rio Tinto Plc. (RTP), BHP Billiton Ltd. (BHP) and San Diego-based General Atomics each own one of the mines. Canada's SXR Uranium One Inc. (SXR.T) last month announced it will proceed with its as-yet undeveloped Honeymoon project, with the first production expected in 2008.
Australia only allows its uranium to be exported to countries which have signed the nuclear nonproliferation treaty.
"If Mexico ratifies it then we could sell them the uranium direct or allow the uranium to be enriched and then delivered to Mexico," Macfarlane said.
Further talks on uranium exports are expected when Mexican President Vicente Fox visits Australia in mid-November.
If Mexico decided to expand its current nuclear power plant, it could look to increase its uranium imports in the next three or four years, Macfarlane said.
If it decided to built a new nuclear facility, the increased demand for uranium would probably occur in the next five to eight years, he said.
Most of Australia's uranium is committed under long-term contracts with the U.S., Europe, Japan and South Korea.
Surging uranium prices are expected to boost the value of Australian uranium exports by 45% to A$791 million in fiscal 2007.
The increased interest in Australian uranium raises the likelihood a fifth uranium mine will be developed, Macfarlane said.
"I think it (Mexican interest) does increase the opportunity for a new uranium mine in Australia," Macfarlane said.
"I remain optimistic that we will see an application (for a new uranium mine) in the next year or so."
Mexico is also interested in Australian coal and liquefied natural gas.
In January, Mexico awarded Xstrata plc (XTA.LN) and Rio Tinto contracts to supply the government-owned Petacalco power plant in Guerrero state with 8.84 million tons of thermal coal, a deal worth more than A$688 million.
At the time, Macfarlane expressed hope a similar deal to sell Australian LNG to Mexico could be struck but Australia's LNG output is fully committed for the next four years.
"The demand for LNG is growing," Macfarlane said Thursday. "That is an opportunity for Australia but one which, in the short term, we won't be able to meet because, basically, we're sold out."
Macfarlane promised his Mexican counterpart he would investigate the availability of Australian LNG post-2010 LNG supplies and discuss the matter further in November.
and even with ramped up supply the demand increase will either keep pace or outstrip supply growth
