The Hindu Business Line : Uranium demand-supply mismatch to ease soon

The Uranium Corporation of India Ltd (UCIL) is all set to launch commercial production of uranium at its second processing plant in Singbhum district of Jharkhand by this month-end.

The Rs 343-crore, 3,000 tonnes per day (tpd) processing plant, which is nearing completion of trial runs, is expected to partially bridge the present demand-supply mismatch in the country’s ambitious nuclear power programme.

Describing the mismatch as purely temporary, the Chairman and Managing Director (CMD), UCIL, Mr Ramendra Gupta said, “The mismatch between uranium production and demand is essentially due to the fact that we could not open new mines in the country for a long time”.

Expansion plans

In the Singhbum belt and Jaduguda in Jharkhand, which is the sole provider of uranium, with extensive mining activity undertaken by the UCIL at present, it has firmed up expansion plans to invest Rs 700 crore in the near future. Four mines are under construction, Mr Gupta told Business Line here.

The UCIL chief asserted that for the 10,000-MW generation through the Pressurised Heavy Water Reactors (PHWRs), planned by the Department of Atomic Energy (DAE), enough uranium resources existed in the country.

The DAE has an ambitious target of generating 20,000 MW of nuclear power by 2020. At present, it has installed capacity of 4,120 MW in 17 operating nuclear reactors.

The UCIL, under DAE, is geared up to mine 5.5 lakh tonnes per year of uranium ore in the next 4-5 years to meet the growing demands from the Nuclear Power Corporation of India Ltd (NPCIL), which runs the chain of nuclear power stations, he said.

Andhra Pradesh project

Mr Gupta termed the foundation laying for the new 3,000-tpd Thummallapalle uranium project in the Kadapa district of Andhra Pradesh on November 20, as a major milestone for the DAE as it can usher in a new phase, with the opening up of mines outside of Jharkhand.

The Thummallapalle deposits with potential of 15,000 tonnes of uranium ore have been established since 1992, but the clearance and first step in mining just about to begin, augur well for the country’s nuclear power programme. The Rs 1,106-crore project is expected to become operational in 36 months.

Plans for Meghalaya

The UCIL chief expressed optimism that after AP, Meghalaya would follow suit. In the north-east State, about 10,000 tonnes of uranium ore deposits have been established by the Atomic Minerals Division (AMD), way back in 1992.

The UCIL is ready with an investment plan of up to Rs 1,000 crore in Meghalaya, where a 2,200-tpd plant has been proposed. The Detailed Project Report was ready and the eco-clearance expected. “We hope to start work early next year,” Mr Gupta said.

Karnataka, Rajasthan and expansion in AP are on the immediate radar of the UCIL, which hopes to take up mining for uranium resources estimated to be around 1.07 lakh tonnes in 10 States.

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