India's Uranium Corporation to Build Three Underground and One Open-Cast Mine in Andhra Pradesh

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Researched by Industrial Info Resources (Sugar Land, Texas)--Uranium Corporation of India Limited (UCIL) (Jaduguda, Jharkhand) has sought government clearance to begin construction on three underground mines and one open-cast mine to extract uranium from the Lambapur-Peddagutta region of the Indian state of Andhra Pradesh. The region is estimated to have a 6,000-ton resource of extractable reserves, with an average of 0.1% uranium content in the ore. UCIL, under the Indian Department of Atomic Energy (DAE), also will construct a processing plant at Seripalle, about 50 kilometers from the mining site.

The total Indian production of uranium is classified, but it is unofficially estimated to be about 450 tons per year. But after the conclusion of the Indo-U.S. civil nuclear deal and conclusion of nuclear collaboration agreement between India and France, Russia and Japan, India's requirement for uranium is forecast to increase by 1,500 tons every year to 8,000 tons per year, in order to feed all the nuclear power generation projects that have been planned. India's nuclear market is expected to grow to about $40 billion, with 18 new nuclear plants planned by 2020.

The Nuclear Power Corporation of India Limited (NPCIL) (Mumbai) will spearhead construction of all planned projects and will scout for imported uranium for feedstock. UCIL has been mandated to increase production to meet short-term requirements for existing plants under NPCIL.

UCIL has received government clearance to commission two deep-uranium mines, along with five in operation in the East Singhbhum district, in the eastern Indian state of Jharkhand. The need to increase uranium production in the short term stems from the fact that nine reactors with combined capacity of 2,620 MW are fuelled by domestically sourced uranium and are operating at only 70% plant-load factor, due to the non-availability of the required uranium feed.

India has a total of 17 nuclear reactors with an installed capacity of 4,120 MW. NPCIL, the monopoly, government-owned nuclear power generator, plans to increase installed capacity to 20,000 MW by 2020; it is against this backdrop that the DAE has initiated the exercise to increase domestic production of uranium.

According to data released by India's Ministry for Science and Technology, the total of Indian uranium reserves is estimated at 147,898 tons; of this, Andhra Pradesh accounts for 66,205 tons, Jharkhand accounts for 48,074 tons, and Meghalaya accounts for 17,252 tons. UCIL will invest $44 million during the current year on pre-mining activities across 422 hectares of uranium reserves in the West Khasi Hills of Meghalaya.

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