Antinuclear

France’s nuclear company AREVA – business plunging in nuclear and uranium projects

The company has lost contracts worth hundreds of millions of euros….The company says its earnings will be
hit by a reduction in the number of new reactors being built, which will also depress the price of uranium…

.. the market is now shrinking. Areva said it expects to make an operating loss of between 1.4 and 1.6 billion euros (1.9 and 2.1 billion dollars) in 2011 mainly due to the depreciation of African mining assets…..

 all activities in Namibia are to be suspended….

Fukushima hits French nuclear giant hard, Monsters and Critics, By Ralf E Krueger Dec 13, 2011“……….Areva’s new chief executive Luc Oursel  announced the suspension of a planned nuclear enrichment plant project in Idaho in the United States, as well as several projects in Africa. Areva has also suspended plans to expand capacity at its reprocessing plant in La Hague, northern France.
The world’s biggest manufacturer of nuclear reactors, which is also
involved in uranium mining, sees the restructuring as absolutely
necessary, if it is to return to profit.
The company has lost contracts worth hundreds of millions of euros in
countries such as Japan and Germany since last March’s Fukushima
disaster, the worst nuclear catastrophe since Chernobyl in 1986.
Although Areva intends investing in renewable energy sources, nuclear
power remains its core interest. The company says its earnings will be
hit by a reduction in the number of new reactors being built, which
will also depress the price of uranium…..
Four similar reactors are under construction – one in Finland, one in
France and two in China. Areva had initially hoped to sell a total of
45 EPR reactors by 2020, even though the first models have turned out
to be considerably more expensive than planned, with construction time
also lagging behind plans.
The EPR reactor has long been considered a pilot project for the
entire European nuclear industry following the Chernobyl catastrophe.
But times have changed, and the market is now shrinking. Areva said it
expects to make an operating loss of between 1.4 and 1.6 billion euros
(1.9 and 2.1 billion dollars) in 2011 mainly due to the depreciation
of African mining assets…..
The value of mining projects in Namibia, South Africa and the Central
African Republic, which Areva purchased from the Canadian company
UraMin, has dropped by 1.46 billion euros – around a fifth of the
original price, according to media reports. The Trekkopje mining
project in Namibia is the biggest loss maker.
New studies have also shown that the Namibian deposits are smaller
than initially expected. The costs are meanwhile rising while the
price of uranium falls on world markets.
As a consequence, all activities in Namibia are to be suspended….
The turnover from the renewable energy sector is expected to rise from
750 million euros 2013 to 1.25 billion by 2015.
http://www.monstersandcritics.com/news/business/news/article_1680607.php/Fukushima-hits-French-nuclear-giant-hard

December 14, 2011 - Posted by Christina Macpherson | Uncategorized