Over the past several quarters, some market participants have taken the view that lower uranium term contracting volumes are the direct result of not enough Western conversion capacity.
Once EUP is enriched to the required assay, the UF6 needs to be converted back to U metal or U oxide. Why isn't this second conversion step shown in the ubiquitous fuel cycle chart like you're provided? Is it the same companies that do the reverse conversion? Does it complicate the picture you've painted?
Thanks for reading! We don't consider depleted uranium (DU) apart of the commercial picture today or in the near future. For us, it doesn't complicate our supply stack as we just don't believe they have commercial use anytime soon. The material will go to places like Urenco's new Tails Management Facility and hang out for a long time.
I think you've misunderstood me. Converters turn U3O8 into UF6, then enrichers enrich this (to, say, 4% U-235). The output of the enrichers is UF6, but obviously you can't use UF6 directly to fabricate fuel rods (it's a gas at highish temperatures!), so that UF6 needs to get converted back to U oxide before fabrication. It is this second conversion step I am asking about.
Yes, I misunderstood you. The step you're discussing happens in fuel fabrication, from enriched UF6 to uranium dioxide, as you mentioned, prior to pellet fabrication. The fuel cycle chart we shared is just a very simplistic overview of the major stops that material takes from ore to fabrication. At this time, we are not aware of any stress in fuel fabrication that would cause our views to change.
Thanks. That implies the UF6 > U dioxide conversion is much simplier/easier than going the other way. I've long suspected this, but didn't know for sure.
Another element that could be contributing to the hesitancy to invest in expanding conversion capacity is emerging enrichment technologies that bypass the need for conversion, like what ASP Isotopes and Ubaryon are working on.
Thanks for the feedback! Conversion has been a really tough business for a long time. I have no doubt they are closely monitoring emerging technologies.
Thanks for an excellent piece.
Once EUP is enriched to the required assay, the UF6 needs to be converted back to U metal or U oxide. Why isn't this second conversion step shown in the ubiquitous fuel cycle chart like you're provided? Is it the same companies that do the reverse conversion? Does it complicate the picture you've painted?
Thanks for reading! We don't consider depleted uranium (DU) apart of the commercial picture today or in the near future. For us, it doesn't complicate our supply stack as we just don't believe they have commercial use anytime soon. The material will go to places like Urenco's new Tails Management Facility and hang out for a long time.
I think you've misunderstood me. Converters turn U3O8 into UF6, then enrichers enrich this (to, say, 4% U-235). The output of the enrichers is UF6, but obviously you can't use UF6 directly to fabricate fuel rods (it's a gas at highish temperatures!), so that UF6 needs to get converted back to U oxide before fabrication. It is this second conversion step I am asking about.
Yes, I misunderstood you. The step you're discussing happens in fuel fabrication, from enriched UF6 to uranium dioxide, as you mentioned, prior to pellet fabrication. The fuel cycle chart we shared is just a very simplistic overview of the major stops that material takes from ore to fabrication. At this time, we are not aware of any stress in fuel fabrication that would cause our views to change.
Thanks. That implies the UF6 > U dioxide conversion is much simplier/easier than going the other way. I've long suspected this, but didn't know for sure.
Brilliant piece as always!
Another element that could be contributing to the hesitancy to invest in expanding conversion capacity is emerging enrichment technologies that bypass the need for conversion, like what ASP Isotopes and Ubaryon are working on.
Thanks for the feedback! Conversion has been a really tough business for a long time. I have no doubt they are closely monitoring emerging technologies.