an update on the uranium industry: the current paradox and its resolution michael angwin
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An update on the uranium industry: The current paradox and its resolution Michael Angwin Chief Executive Officer. Darwin Mining Club 12 June 2013. The current paradox. Supportive politics coexists with negative economics . The negative economics. Resource industry challenges - PowerPoint PPT PresentationTRANSCRIPT
Level 1, 499 St Kilda Road, Melbourne Vic 3004 ABN. 30 005 503 828T: +61 3 8616 0440 F: +61 3 8616 0441 W: www.aua.org.au
An update on the uranium industry:The current paradox and its resolution
Michael AngwinChief Executive Officer
Darwin Mining Club12 June 2013
The current paradox
Supportive politics coexists with negative economics
The negative economics
Resource industry challenges• Relatively fast increases in Australian capital costs • Commodity rivals with competitive cost structures• Delays in approvals add costs
Uranium industry challenges• Uncertainty following Fukushima • Low spot prices• Access to capital
Supportive politics
Long term political support in NT and SA
National bipartisanship since 2007
Newly supportive State policies• WA, Queensland, NSW
Exports to India
Australia’s uranium policy In the national interest
Expansion of production
Exports to selected countries
A platform for building regional relationships
How will this paradox be resolved?(1) Short term
Demand will exceed supply later this decade
Uranium spot price: US$70/pound by 2018
How will this paradox be resolved(2) Long term
By growth in the nuclear power industry of by 25% to 100% by 2030s
Nuclear outlook: IEA
2010 2035
394 GW(e) 583 GW(e)
Nuclear outlook: IAEA
2012 2030
Low estimate 368.8 GW(e) (actual)
456 Gw(e)
High estimate 740 Gw(e)
Nuclear power in 2035
Realising opportunity, raising competitiveness
Align domestic production and export policiesTreat uranium on merit
Fukushima: UNSCEAR findings
UNSCEAR finds no health risks attributable to Fukushima accident
Level 1, 499 St Kilda Road, Melbourne Vic 3004 ABN. 30 005 503 828T: +61 3 8616 0440 F: +61 3 8616 0441 W: www.aua.org.au
An update on the uranium industry: The current paradox and its resolution
Michael AngwinChief Executive Officer
Darwin Mining Club12 June 2013