Uranium: Weapons conversion looms

Journal Article · Tue Mar 01 04:00:00 EST 1994 · Engineering and Mining Journal; (United States)

OSTI ID:7205583

Pool, T C

Just when the uranium industry could begin to draw some comfort from a rapidly expanding gap between consumption and production, the possibility of huge supplies from the conversion of nuclear weapons has moved from an abstract concept to a near-term probability. The flow of material has yet to begin, but perceptions of the ready availability of fuel from converted weapons held prices and production at low levels during 1993. World uranium production declined to 87.5M lb U[sub 3]O[sub 8] down about 6% from 1992. Consumption increased slightly to 149.2M lb. It seems unlikely that any other major commodity would experience, or could support, such an imbalance. However, in every year from the inception of the nuclear era in 1939 through 1990, uranium production exceeded consumption. This excess accrued as substantial inventories in both the military and civilian sectors. Since 1990, consumption exceeded production, and the deficiency has been filled by a drawdown of civilian inventories. Military inventories are just beginning to enter the marketplace but are expected to make an increasing contribution to the supply picture in as few as three or four years. In 1993, market restrictions on uranium from the newly independent states (NIS) of the former Soviet Union continued to impact imports into both the United States and the European Community (EC). As a result, a two-tiered pricing system remained in effect with prices for NIS material averaging about $7/lb U[sub 3]O[sub 8], while uranium of other origins sold for about $10/lb. Negotiations continued on several fronts throughout the year to rationalize the participation of the NIS in the world market. In a major break-through at year end, the U.S. Department of Commerce (DOC) announced tentative agreement on a plan which would tie Russian imports into the United States to new U.S. production on a pound-for-pound basis. Such a plan would be a boost to both United States and Russian producers.

• OSTI ID: 7205583
• Journal Information: Engineering and Mining Journal; (United States), Journal Name: Engineering and Mining Journal; (United States) Vol. 195:3; ISSN 0095-8948; ISSN ENMJAK
• Country of Publication: United States
• Language: English

Related Subjects

350100* -- Arms Control-- Policy
Negotiations
& Legislation-- (1987-)
45 MILITARY TECHNOLOGY, WEAPONRY, AND NATIONAL DEFENSE
450200 -- Military Technology
Weaponry
& National Defense-- Nuclear Explosions & Explosives
98 NUCLEAR DISARMAMENT, SAFEGUARDS, AND PHYSICAL PROTECTION
ACTINIDES
CONSUMPTION RATES
ELEMENTS
INVENTORIES
MARKETING
METALS
NUCLEAR WEAPONS
PRICES
PRODUCTION
RECYCLING
SUPPLY AND DEMAND
URANIUM
WEAPONS