Kazatomprom Sees 129% Profit Growth

In the first three quarters of 2024, JSC NAC Kazatomprom's net profit increased by 129% to 744.6 billion tenge, Orda reports.

The company’s financial statements indicate that Kazatomprom’s revenue increased by 31% (to 1.1 trillion tenge), while general and administrative expenses decreased by 26%, amounting to 30 billion tenge.

Oil and gas industry analyst Nurlan Zhumagulov notes that the sharp increase in profits is thanks to gaining control over the Budenovskoye joint venture,

Kazatomprom's share in this enterprise is estimated at 296 billion tenge.

Even without taking into account the Budyonnovsk asset, Kazatomprom's marginality is 40%, which KazMunayGas never dreamed of. It would be logical to expect an increase in the value of Kazatomprom shares against the backdrop of a weakening tenge, but as of January 1, 2025, Kazakhstan must increase the mineral extraction tax rate for uranium from the current 6% to 9%. And from January 1, 2026, additional mineral extraction tax payments will be made depending on production volumes and world prices for uranium,writes Nurlan Zhumagulov.

Reports recently surfaced that Kazatomprom received the right to explore the Severnoye section of the Budenovskoye deposit in the Turkestan region, where significant uranium deposits may be located.

Original Author: Nikita Drobny