National Atomic Company Kazatomprom JSC (KZAP) Trading Update summary

Market and industry developments

• U.S. trade policy changes exempted Kazakh uranium from new tariffs, supporting stable exports to the U.S.

• Global nuclear sector saw major tech firms pledge to triple nuclear capacity by 2050, boosting uranium demand outlook.

• OECD/IAEA Red Book confirmed sufficient uranium resources for long-term nuclear growth, stressing need for timely investment.

• Several countries advanced nuclear projects, including Vietnam, Myanmar, Poland, China, Belgium, India, Russia, and Canada.

• Kazakhstan established an Atomic Energy Agency and a strategic uranium reserve for future domestic nuclear power.

Uranium market trends

• Spot uranium prices declined to $66.18/lb in 1Q25, down from $94.33/lb in 1Q24, due to tariff concerns and lower spot demand.

• Spot market transaction volume rose 10% year-on-year, while long-term market activity slightly decreased.

• Long-term uranium prices increased to $80.00/lb, up $2.50/lb from the previous year.

• Supply disruptions included Paladin Energy's guidance withdrawal and Peninsula Energy's delivery delays.

• U.S. domestic uranium production more than tripled quarter-on-quarter in Q4 2024.

Company operational and financial performance

• U3O8 production rose 11% (100% basis) and 9% (attributable basis) year-on-year in 1Q25, reflecting higher planned output.

• Group sales volume fell 7%, but KAP sales volume increased 10% due to timing of customer deliveries.

• Group average realized price dropped 13% to $54.70/lb, while KAP's realized price fell 3% to $54.69/lb.

• 2025 production guidance reiterated: 25,000–26,500 tU (100% basis), 13,000–14,000 tU (attributable basis).

• Revenue guidance: KZT 1,600–1,700 billion consolidated, with C1 cash cost at $16.50–18.00/lb and AISC at $29.00–30.50/lb.