The New Uranium Thread

Howard Urges Australian States to End Uranium Bans (Update5)

By Gemma Daley

Dec. 29 (Bloomberg) -- Prime Minister John Howard urged Australia's regional governments to end bans on new uranium mines that prevent the nation from tapping soaring demand for the reactor fuel.

The nuclear power boom provided a ``timely opportunity,'' Howard said today, releasing a government report that supported an end to the bans, enrichment of the metal for use in reactors and construction of as many as 25 atomic plants in the country.

Australia, with 40 percent of the world's uranium's reserves, contributes just 23 percent of global output because miners such as BHP Billiton have been prevented from opening new pits. The bans were introduced in 1983 by the Labor Party, which lost office in 1996 to Howard's coalition government. Labor controls all eight state and territory governments and the party's policy will be reconsidered at a conference in April.

``I call upon state governments to end their bans on uranium mining and exploration, which stand in the way of investment, jobs and exports,'' Howard said in a statement e-mailed to Bloomberg News.

Prices for uranium, which is used to power plants that supply 16 percent of the world's electricity, have surged almost fourfold in the past three years. Higher coal, gas and oil prices and pressure to cut greenhouse gas emissions, blamed for global warming, are driving increased use of nuclear power.

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