As Orano SA prepares to launch its $1.6 billion uranium project in Mongolia, observers point to a significant supply chain vulnerability — the operation’s likely dependence on Russian sulfuric acid imports.

The French state-controlled miner, which recently secured approval to begin production in 2028, faces a challenging regional market for sulfuric acid, an essential component in uranium extraction.

The concern stems from Mongolia’s industrial landscape — the country currently relies on Russia for nearly all its sulfuric acid needs. And the timing is particularly sensitive. Orano’s project, set to reach peak uranium production of 2,600 tons annually by 2044, emerges as the global nuclear industry struggles with supply chain reorganization.

Recent events in Niger, where Orano lost control of its mining operations following political upheaval, have highlighted the importance of secure supply lines.

Read: France’s Orano Loses Command of Uranium Mines to Niger Junta

Regional sulfuric acid production capacity may offer limited alternatives. While neighboring Kazakhstan is expanding its acid production facilities, growing domestic demand from its own uranium sector and agriculture may constrain export availability.

The project’s success could hinge on Orano’s ability to secure reliable acid supply chains before production begins, a challenge that will shape the venture’s role in meeting rising global uranium demand.

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