Atomredmetzoloto, JSC, (ARMZ Uranium Holding Co.), the Mining Division of
Rosatom
Rosatom, ( rus, Росатом, p=rɐsˈatəm}) also known as Rosatom State Nuclear Energy Corporation, the State Atomic Energy Corporation Rosatom or Rosatom State Corporation, is a Russian state corporation headquartered in Moscow that speciali ...
State Atomic Energy Corporation, is a Russian uranium producer internally ranked sixth in the world in terms of uranium production and second in terms of in-situ uranium reserves.
History
ARMZ Uranium Holding Co. (Atomredmetzoloto, JSC) is a former state concern established in 1991, which evolved from the First Main Directorate of the USSR Ministry of Medium Machine-Building Industry. The concern was an industrial complex comprising mining and processing enterprises located in six countries of the Commonwealth of Independent States (i.e., Russia, Ukraine, Uzbekistan, Kazakhstan, Tajikistan, and Kyrgyzstan).
Early Days
The project for restructuring the nuclear industry resulted in the creation of Atomic Energy Power Corporation (
Atomenergoprom
Atomenergoprom (Atomic Energy Power Corporation, AEP, russian: AO Атомэнергопром) is a 100% state-owned holding company that unifies the Russian civil nuclear industry. It is a part of the Rosatom State corporation.
History
Atomenerg ...
, or AEP), a vertically integrated company embracing enterprises of the civil nuclear industry. In early August 2007, Atomenergoprom acquired a 100% stake in Atomredmetzoloto, which became Russia’s flagship uranium mining company.
The fundamental changes to restructure the nuclear industry were fraught with Atomenergoprom executing the consolidation of all
uranium mining
Uranium mining is the process of extraction of uranium ore from the ground. Over 50 thousand tons of uranium were produced in 2019. Kazakhstan, Canada, and Australia were the top three uranium producers, respectively, and together account f ...
companies in Russia. To achieve its goals, Atomenergoprom transferred its shares in mining companies to ARMZ, i.e., 80.3% in Priargunsky Industrial Mining and Chemical Union (PIMCU), 97.85% in Dalur, and 99.99% in Khiagda. ARMZ took over Rusburmash, JSC in 200, and acquired a 100% stake in the authorized capital of VNIPIpromtechnologii, JSC in 2010.
Mergers and Acquisitions
In late 2010, Atomredmetzoloto acquired 51.4% of
Uranium One
Uranium One is an international group of companies, part of the management circuit of the TENEX Group of Rosatom State Corporation. Since 2013, it is a wholly owned subsidiary of Moscow-based Uranium One Group, a part of the Russian state-owned nu ...
(U1), a Canadian uranium mining company.
In June 2011, it closed a transaction worth USD 983 million to purchase a 100% stake in Mantra Resources Limited, thus ensuring participation in the uranium development projects in Tanzania (including the Mkuju River area with over 39,000 tons of uranium reserves). In January 2013, ARMZ agreed with the U1 management to increase its stake in Uranium One up to 100%.
In 2013, a spin-off of ARMZ’s overseas assets was carried out to pass them under the management of Uranium One Holding, whereby ARMZ Uranium Holding Co. consolidated the uranium mining assets in Russia.
Ownership and Top Management
Atomenergoprom, JSC is the holder of 84.5% of Atomredmetzoloto, JSC shares.
Alexander Lokshin is the Chairman of the ARMZ Board of Directors.
In May 2013, the Board of Directors appointed
Vladimir Verkhovtsev as General Director of ARMZ Uranium Holding Co.
Operations
Atomredmetzoloto is engaged in exploration, mining, and processing of uranium and gold ores, rare and trace elements, while the uranium operations are run by its three existing enterprises (i.e., PIMCU, Dalur, and Khiagda).
Although ARMZ was a majority shareholder of the Canadian Uranium One, holding a 51% stake, in January 2013 it acquired the remaining shares in the company, thus becoming its sole owner.
Atomredmetzoloto also holds a 100% stake in Gornoe Uranium Mining Company (Chita, the Trans-Baikal Territory) and Elkon MMP, JSC (Aldan, the Republic of Sakha), a 99.78% stake in The First Ore Mining Company (TFOMC, Moscow), and a 50.003% stake in Lunnoye, JSC (the Lunnoye gold and uranium deposit, the Republic of Sakha).
In June 2019, ARMZ founded a new company — ARMZ Mining Machinery (Krasnokamensk, the Trans-Baikal Territory). Created under the business development strategy to diversify ARMZ’s core businesses, ARMZ Mining Machinery in cooperation with Aramine headquartered in France produces high-tech mining machinery, such as load-haul-dump units.
Its other business diversification projects include ancillary mining operations to produce scandium (Dalur), gold and silver (the Lunnoye gold and uranium deposit).
On the Novaya Zemlya archipelago in the Arctic, preparations are underway for The First Ore Mining Company to start mining zinc and lead concentrates. During the field season of 2020, the international team was engaged to carry out Geological Prospecting activities which created a foundation for ARMZ to conduct an appraisal of mineral resources and reserves of the Pavlovskoye deposit in accordance with the JORC Code.
Drilling and geological monitoring operations for the projects are performed by Rusburmash, JSC, both domestically and internationally.
Performance Indicators
In 2020, ARMZ Uranium Holding Co. produced 2,846 tons of uranium at its Russian enterprises, thus ranking among the world’s six top producers of uranium.
In total, the company employed 7,189 specialists in 2020, while its consolidated revenues amounted to RUB 20.4 billion.
See also
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Energy policy of Russia
Russia's energy policy which is set out in the government's ''Energy Strategy'' document, first approved in 2000, which sets out the government's policy to 2020 (later prolonged up to 2030). The Energy Strategy outlines several key priorities: ...
*
Nuclear power in Russia
Russia is one of the world's largest producers of nuclear energy.
In 2020 total electricity generated in nuclear power plants in Russia was 215.746 TWh, 20.28% of all power generation.
The installed gross capacity of Russian nuclear reactors ...
*
Rosatom
Rosatom, ( rus, Росатом, p=rɐsˈatəm}) also known as Rosatom State Nuclear Energy Corporation, the State Atomic Energy Corporation Rosatom or Rosatom State Corporation, is a Russian state corporation headquartered in Moscow that speciali ...
References
External links
Official website
Uranium mining companies of Russia
Rosatom
Companies based in Moscow
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