JSC Atomenergoprom Annual Report

JSC ATOMENERGOPROM / ANNUAL REPORT / 40 | Average annual spot market quotations for conversion services, USD/kg of uranium 10.0 7.6 7.4 6.4 5.3 II 21.9 19.4 18.3 32.0 2014 2015 2016 2017 2018 2019 2020 2021 2022 On the North American market 10.3 8.0 7.9 6.9 5.7 21.1 19.0 18.1 32.0 2014 2015 2016 2017 2018 2019 2020 2021 2022 On the European market Uranium conversion and enrichment market overview Along with JSC Atomenergoprom, key players on the global market for uranium conversion services include Orano (France), Cameco (Canada), CNNC (China) and Converdyn (US). The main players on the global market for uranium enrichment services include JSC Atomenergoprom (35% of the global market), URENCO (UK, Germany, Netherlands; 33%), Orano (France) and CNNC (China) (13% each). Together, they control more than 90% of the market. At present, all players use modern gas centrifuge technology for uranium enrichment. Nuclear fuel fabrication market According to the Company, in 2022, the global nuclear fuel market capacity totalled about 10,200 tonnes of heavy metal (tHM), with fuel for light-water and other reactors requiring uranium enrichment accounting for approximately 7,200 tHM (including about 1,200 tHM of fuel for water-cooled water-moderated power reactors (VVERS)) and fuel for heavy-water reactors accounting for approximately 3,000 tHM. As the reactor fleet will be expanding, the demand for fabrication services may increase to 12,500 tHM by 2030. Global suppliers on the fabrication market include Westinghouse (with a market share of 22%), Framatome (AREVA until 2018, with a market share of 19%), JSC Atomenergoprom (17%), CNNC (13%) and Global Nuclear Fuel (7%). Forecast for changes in demand for uranium enrichment services by 2030 According to the World Nuclear Association, in 2022, global reactor demand for enrichment totalled about 52 million separative work units (SWU) 24. In 2022, average annual spot market quotations rose by 61%, while long-term quotations soared by 88%. Their growth was driven mainly by market concerns over the availability of enrichment services, including given the limited capacities of Western producers. The development of nuclear power generation until 2030 will have a positive impact on the market for uranium enrichment services. According to the base case scenario of the World Nuclear Association, global demand for enrichment will grow to 55 million SWU by 2025 and 63 million SWU by 2030. Average annual spot market quotations for enrichment services, USD/SWU 90 70 70 55 55 49 43 45 36 88 2014 2015 2016 2017 2018 2019 2020 2021 2022 24. Report by the World Nuclear Association, 2021 (at a tails assay of 0.22%). ROSATOM estimates this figure at 55 million SWU at a tails assay of 0.18% (which is equivalent to 50 million SWU at a tails assay of 0.22%). BUSINESS STRATEGY Shares of players on the nuclear fuel fabrication market, % 23% 22% 7% 2022 19% 13% 17% Westinghouse Framatome Atomenergoprom CNNC GNF Other In the reporting year, Russian nuclear fuel fully met the demand of Russia and a number of partner countries, including Belarus, Armenia and some Central European countries, for reactor fuel. The Company also partially met the demand of Finland, India, China and a number of other countries for reactor fuel. BUSINESS STRATEGY JSC ATOMENERGOPROM / ANNUAL REPORT / 41

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