China intends to buy BHP Billiton's uranium mine in Namibia

SMM, Sept. 29-BHP Billiton, the world's second-largest mining company, has been in talks with China Nuclear Corporation (CNNC) to sell its stake in (Rossing uranium mine) at the Rohin uranium mine in Namibia.

Although the mining giant has yet to formally acknowledge negotiations with the China Nuclear Corporation, Namibia's energy minister, Simi Gaibo (Simeon Negumbo), confirmed the news to the local newspaper Namibians (the guinea).

BHP Billiton has a nearly 69 per cent interest in Rossing, the longest-running open-pit mine in the world. The rest is owned by the Iranian Foreign Investment Corporation (15 per cent), the South African Industrial Corporation (10 per cent), the Government of Namibia (3 per cent) and local interest groups (3 per cent).

BHP has a nearly 69 per cent interest in Rossing, the world's longest-running open-pit mine.

CNNC seems to be a reasonable buyer for Rossing because it already owns a nearby Husab mine. The Husab mine is the third largest pure uranium mine in the world, with an annual production capacity of 15 million pounds.

Rossing now accounts for about 3 per cent of the global supply of radioactive material, which has rekindled interest and prices, rising more than 30 per cent in the past four months alone.

However, experts remain cautious about the long-term outlook for commodities. Decades of low prices have had a negative impact on the profitability of existing mines.

Bank of Montreal analysts Colin Hamilton and Alexander Pierce said earlier this month: "the entire nuclear fuel chain remains a challenging environment. The low price of the whole chain puts pressure on the profit margins of producers and consumers. "

In part because of the decline in global production and the imminent production of the Husab mine, Namibia has upgraded its status as a major producer of uranium in the world

The status of. At present, the African country is the fifth largest producer of uranium in the world, after Kazakhstan, Canada, Australia and Niger.