U.S. Department of Energy plans surplus uranium sales

The U.S. Department of Energy (DOE) has announced plans to sell its surplus uranium inventory over the next nine years. The sales will total the equivalent of about 59 million lbs. uranium oxide until 2017, reaching a peak of about 10 million lbs. in 2014, and then decline to 5 million lbs. in 2017.

The plans have not yet been finalized, so the DOE may sell lower quantities. The Department intends to offer the material for sale in a competitive bidding process.

Firm plans include down-blending of about 12 tonnes uranium as highly-enriched uranium (HEU) to about 220 tonnes uranium as low-enriched uranium (LEU). Of that, 170 tonnes could be kept as DOE inventory.

Another firm plan involves offering for sale up to 4,461 tonnes uranium that is either off-specification or in the form of uranium hexafluoride, which will require considerable processing.

There are a number of potential sales which the DOE may finalize in future. One plan is to sell 7,700 tonnes of natural uranium, equivalent to 20 million lbs. uranium oxide.

Another potential plan involves selling up to 4,647 tonnes natural uranium, to be enriched to 500 tonnes LEU, which may be kept as DOE inventory.

Finally, the DOE may sell high-assay depleted uranium hexafluoride, or contract to re-enrich the material to natural uranium or LEU. The DOE may also sell any remaining natural uranium.

In a statement, Uranium Producers of America (UPA), a trade association, welcomed the plan, saying that it strikes the right balance for all stakeholders and brings predictability to the market, while allowing growth in the uranium mining industry. The UPA is particularly pleased that the sales will ramp up gradually.