Rising Uranium Prices Ignite Brazil’s Nuclear Ambitions

Brazil is strategically revitalizing its uranium exploration efforts to leverage the global interest in nuclear energy. As Latin America’s largest economy, Brazil holds 5% of the world’s uranium resources but produces only a small fraction of nuclear fuel.

According to the World Nuclear Association, Brazil ranks eighth globally in uranium resources, behind Australia, Kazakhstan, and Canada.

Despite not updating its reserves in 40 years, rising uranium prices have reignited Brazil’s ambitions to discover new deposits.

Nuclear Industries of Brazil (INB) seeks international partnerships to explore mineral-rich regions. The state-owned company plans to invite bids by the end of the year for exploration in Brazil’s northeast, central-west, and southern regions.

“Our goal is to advance 40 years in four,” stated INB President Adauto Seixas. “We have already hosted visits from companies in Russia, India, Korea, France, Australia, the United States, and China.”

This initiative aligns with a global interest in uranium as investors turn to this radioactive metal for carbon-free nuclear energy. Uranium prices peaked earlier this year and remain above historical averages despite some decline.

Brazil’s Uranium Mining Ambitions

The Brazilian initiative, called the Uranium and Associated Mineral Resources Prospecting and Mining Partnership Program (Prouranio), targets areas with other minerals like copper, gold, and rare earth elements found alongside uranium.

INB plans to mine already mapped areas with private company assistance. However, the Brazilian Mineralogical Industry Research Group (ABPM) argues that a partnership model may not suit private sector preferences for independence.

ABPM head Luis Mauricio Azevedo suggests opening up uranium exploration could bolster global supplies. “If we have the reserves we imagine, Brazil could become an energy warehouse for the world,” he remarked.

Miners are approaching INB for collaboration on developing potential uranium from rare earth deposits. Australian company OAR Resources signed a memorandum of understanding in August to assess project potential.

Currently, Brazil produces 105 tons annually, covering about a quarter of the uranium needed for two nuclear reactors near Rio de Janeiro.

Despite Brazil’s ambitions, government bureaucracy poses challenges. Fertilizer producer Galvani partnered with INB over a decade ago but still awaits permits for its Santa Quiteria project.

CEO Marcelo Silvestre mentioned operations could start by 2028, potentially producing 2,300 tons annually—enough to make Brazil an exporter. Galvani would consider future INB auctions.

In short, INB also seeks partners for production in Gandarela’s southeastern mining area and Lagoa Real in northeastern Brazil.

The company aims to expand its Caetite mine and concentration plant, the country’s only operational facility. INB aims to raise 66.7 billion reais ($11.9 billion) through production partnerships over three decades.