Annual Report 2022
Annual Report 2022
Download the Annual Report 2022
Financial highlights
Revenue
(2021: €1,669.3m)
Cash generated from operations
(2021: €1,027.6m)
EBITDA
(2021: €971.1m)
Capital expenditure
(2021: €142.3m)
Net income/loss post exceptionals
(2021: €364.5m)
Net income/loss pre exceptionals
(2021: €364.5m)
Net cash
(2021 net debt: €11.5m)
100% of customer deliveries achieved
Reduced our water use by 12.2% compared to our baseline year of 2020
25.4% reduction in carbon emissions (scope 1 and 2) from our baseline year of 2019
Enriched enough uranium to generate an estimated 780,000 GWh of electricity from nuclear power, avoiding approximately 320 million tonnes of carbon emissions
Sustainability at Urenco means delivering for a net zero world whilst minimising our own impact on the environment, operating in an open and accountable manner and supporting our local communities.
Belgium
Belgium’s federal government has agreed to allow Doel-4 and Tihange-3 to continue operations until 2035 to enable the country to reduce its dependence on fossil fuels. The coalition government had earlier agreed to phase out the use of nuclear energy by 2025.
Canada
During Canada’s Fall Economic Statement, SMRs were included amongst clean energy technologies eligible for a new investment tax credit. This is the clearest signal yet that Canada considers nuclear power to be on par with other low carbon technologies.
China
China’s renewed commitment to nuclear following the release of last year’s 14th five-year plan has resulted in the sanctioning of 10 new nuclear power units in 2022, the highest yearly number in more than a decade. China aims to have 200 GWe of nuclear generating capacity in place by 2035.
Finland
Olkiluoto 3 was connected to the national grid in March 2022 and is due to achieve commercial operation in 2023. There were also applications to extend operations of units-1 and -2 of the Loviisa nuclear plant until the end of 2050, from the current end date of 2027.
France
President Emmanuel Macron has announced that the country will build six “next generation” European Pressurised Water Reactors (EPRs). The government has instructed EDF, the state-owned enterprise in charge of the nation’s nuclear reactors, to break ground for the first unit by 2027. To aid this commitment, France has drafted legislation to streamline bureaucracy for administrative permits needed to build new nuclear power plants and is also in the process of fully renationalising EDF by increasing its shareholding in the company from 84% to 100%.
Germany
Germany has had a policy to phase out nuclear power and close all of its remaining nuclear power plants, of which three remain in operation. However, the war in Ukraine and Germany’s high dependence on imports of natural gas from Russia, has led to a delay in implementing the full phase out, planned for the end of 2022 to at least mid-April 2023.
Japan
In a reversal on its no new build policy, Japan’s Prime Minister ordered the development and construction of next-generation nuclear power plants. It also aims to secure electric power in the medium to long term with a plan to restart up to 17 nuclear power plants beginning in the summer of 2023, as well as extend the maximum service period for the country's existing nuclear reactors beyond 60 years.
Netherlands
The Dutch Cabinet has approved the construction of two large reactors, preferably at the existing Borssele nuclear plant. The government hopes to commence construction in 2028, with the units producing electricity by 2035. The government will also pursue talks aimed at extending Borssele’s operation beyond its previously agreed 2033 closure date.
Poland
Poland awarded a contract to build its first nuclear power plant to Westinghouse as the country seeks to burn less coal and increase its energy independence. Separately, KEPCO is also pursuing opportunities to build four nuclear reactors in Patnow, central Poland. Poland also continues to be very active in its plans to deploy SMRs, with ongoing discussions with several next generation reactor vendors: Last Energy, NuScale’s VOYGR, GE Hitachi Nuclear Energy’s BWRX-300 and Ultra Safe Nuclear.
Romania
In addition to Romania’s plans to complete construction of the partially-built Cernavoda-3 and -4, the government reports that it will host the first SMR in Europe, following its announcement that NuScale Power and the Romanian National Nuclear Power Company have agreed to collaborate to build an SMR plant on the site of a former thermal power plant at Doicești.
South Korea
According to South Korea’s updated comprehensive energy plan, the government will resume the construction of Shin-Hanul-3 and -4 and continue operations of existing reactors, which is expected to increase the country's nuclear energy ratio to over 30% by 2030. The government also seeks to export 10 nuclear reactors by 2030 and target 400 billion won ($308 million) for the development of SMRs. As a reminder, the previous administration had a nuclear-free policy that suspended the construction of the above units, cancelled plans for more units and ruled out life extensions for the existing fleet.
Sweden
Sweden’s new government has promised the construction of new nuclear reactors to meet the growing demand for electricity and will instruct state-run utility, Vattenfall, to “immediately plan the construction of new reactors”. Vattenfall, meanwhile, has announced that it is launching a year-long study to assess the interest of constructing SMRs.
UAE
In February 2023, Barakah-3 joined units-1 and -2 by entering commercial operations. Barakah-1 and -2 started commercial operation in April 2021 and March 2022 respectively. The Federal Authority for Nuclear Regulation is also expected to issue the operating license for Barakah-4 in 2023.
UK
Nuclear’s share of energy in the UK is currently about 16%, however, almost half of the country’s current capacity is due to be retired by 2025 and all but one of its reactors will retire by 2030. To counter this, in early April, the Government published its British Energy Security Strategy, setting out its ambitions for up to eight new reactors, plus SMRs, helping to produce 24 GWe of nuclear generating capacity by 2050, representing about 25% of the UK’s projected electricity demand. To support this, the Government has introduced the Nuclear Energy (Financing) Act and has subsequently committed to taking a 50% stake in the two unit Sizewell C nuclear project. Rolls-royce has prioritised four sites in England and Wales, following a site selection study, where its SMR design could potentially be deployed.
USA
Significant support for the nuclear industry at the federal level was provided by the US Congress in the Inflation Reduction Act of 2022 (IRA) and the implementation of the Bipartisan Infrastructure Law’s Civil Nuclear Credit (CNC) program. The IRA provides a wide range of provisions to support the nuclear sector, including a production tax credit that will support continued operation of existing nuclear power plants with an estimated value of up to $30 billion over the next 10 years. This tax credit in the IRA is intended to avoid premature retirements of reactors due to financial challenges, which has forced around a dozen reactors to close. The IRA also includes $700 million for the US Department of Energy’s efforts to support development of new domestic capacity to produce high assay low enriched uranium (HALEU) fuels for advanced reactors, research reactors and medical isotope production in the United States.
The CNC is a $6 billion program to assist nuclear power plants at risk of closing, citing the need to continue the use of nuclear energy, which is the largest carbon-free energy source of power in the United States, to combat climate change. In California, PG&E became the first utility to receive a conditional award of credits valued up to $1.1 billion from the CNC program. This is to be used to extend operations at the Diablo Canyon Power Plant for five years beyond its current licence expiration in 2025.
On the new build front, the Nuclear Regulatory Commission (NRC) gave Southern Nuclear Operating Company (SNC) the green light to load fuel and begin the operation of Vogtle-3. Unit-3 of the two unit new build project, the first to be built in the US in over 30 years, is expected to enter service in the first quarter 2023, with unit-4 following in the fourth quarter.
EU
Following no objections by the European Parliament or Council, the EU Taxonomy Complementary Climate Delegated Act covering certain nuclear and gas activities came into force on 1 January 2023. It extends the EU Taxonomy Framework to permit certain economic activities involving gas and nuclear energy (not including enrichment) to be classified as “environmentally sustainable”. The inclusion of certain gas and nuclear activities will be time-limited and dependent on specific conditions and transparency requirements.
-
Belgium
Belgium’s federal government has agreed to allow Doel-4 and Tihange-3 to continue operations until 2035 to enable the country to reduce its dependence on fossil fuels. The coalition government had earlier agreed to phase out the use of nuclear energy by 2025.
-
Canada
During Canada’s Fall Economic Statement, SMRs were included amongst clean energy technologies eligible for a new investment tax credit. This is the clearest signal yet that Canada considers nuclear power to be on par with other low carbon technologies.
-
China
China’s renewed commitment to nuclear following the release of last year’s 14th five-year plan has resulted in the sanctioning of 10 new nuclear power units in 2022, the highest yearly number in more than a decade. China aims to have 200 GWe of nuclear generating capacity in place by 2035.
-
Finland
Olkiluoto 3 was connected to the national grid in March 2022 and is due to achieve commercial operation in 2023. There were also applications to extend operations of units-1 and -2 of the Loviisa nuclear plant until the end of 2050, from the current end date of 2027.
-
France
President Emmanuel Macron has announced that the country will build six “next generation” European Pressurised Water Reactors (EPRs). The government has instructed EDF, the state-owned enterprise in charge of the nation’s nuclear reactors, to break ground for the first unit by 2027. To aid this commitment, France has drafted legislation to streamline bureaucracy for administrative permits needed to build new nuclear power plants and is also in the process of fully renationalising EDF by increasing its shareholding in the company from 84% to 100%.
-
Germany
Germany has had a policy to phase out nuclear power and close all of its remaining nuclear power plants, of which three remain in operation. However, the war in Ukraine and Germany’s high dependence on imports of natural gas from Russia, has led to a delay in implementing the full phase out, planned for the end of 2022 to at least mid-April 2023.
-
Japan
In a reversal on its no new build policy, Japan’s Prime Minister ordered the development and construction of next-generation nuclear power plants. It also aims to secure electric power in the medium to long term with a plan to restart up to 17 nuclear power plants beginning in the summer of 2023, as well as extend the maximum service period for the country's existing nuclear reactors beyond 60 years.
-
Netherlands
The Dutch Cabinet has approved the construction of two large reactors, preferably at the existing Borssele nuclear plant. The government hopes to commence construction in 2028, with the units producing electricity by 2035. The government will also pursue talks aimed at extending Borssele’s operation beyond its previously agreed 2033 closure date.
-
Poland
Poland awarded a contract to build its first nuclear power plant to Westinghouse as the country seeks to burn less coal and increase its energy independence. Separately, KEPCO is also pursuing opportunities to build four nuclear reactors in Patnow, central Poland. Poland also continues to be very active in its plans to deploy SMRs, with ongoing discussions with several next generation reactor vendors: Last Energy, NuScale’s VOYGR, GE Hitachi Nuclear Energy’s BWRX-300 and Ultra Safe Nuclear.
-
Romania
In addition to Romania’s plans to complete construction of the partially-built Cernavoda-3 and -4, the government reports that it will host the first SMR in Europe, following its announcement that NuScale Power and the Romanian National Nuclear Power Company have agreed to collaborate to build an SMR plant on the site of a former thermal power plant at Doicești.
-
South Korea
According to South Korea’s updated comprehensive energy plan, the government will resume the construction of Shin-Hanul-3 and -4 and continue operations of existing reactors, which is expected to increase the country's nuclear energy ratio to over 30% by 2030. The government also seeks to export 10 nuclear reactors by 2030 and target 400 billion won ($308 million) for the development of SMRs. As a reminder, the previous administration had a nuclear-free policy that suspended the construction of the above units, cancelled plans for more units and ruled out life extensions for the existing fleet.
-
Sweden
Sweden’s new government has promised the construction of new nuclear reactors to meet the growing demand for electricity and will instruct state-run utility, Vattenfall, to “immediately plan the construction of new reactors”. Vattenfall, meanwhile, has announced that it is launching a year-long study to assess the interest of constructing SMRs.
-
UAE
In February 2023, Barakah-3 joined units-1 and -2 by entering commercial operations. Barakah-1 and -2 started commercial operation in April 2021 and March 2022 respectively. The Federal Authority for Nuclear Regulation is also expected to issue the operating license for Barakah-4 in 2023.
-
UK
Nuclear’s share of energy in the UK is currently about 16%, however, almost half of the country’s current capacity is due to be retired by 2025 and all but one of its reactors will retire by 2030. To counter this, in early April, the Government published its British Energy Security Strategy, setting out its ambitions for up to eight new reactors, plus SMRs, helping to produce 24 GWe of nuclear generating capacity by 2050, representing about 25% of the UK’s projected electricity demand. To support this, the Government has introduced the Nuclear Energy (Financing) Act and has subsequently committed to taking a 50% stake in the two unit Sizewell C nuclear project. Rolls-royce has prioritised four sites in England and Wales, following a site selection study, where its SMR design could potentially be deployed.
-
USA
Significant support for the nuclear industry at the federal level was provided by the US Congress in the Inflation Reduction Act of 2022 (IRA) and the implementation of the Bipartisan Infrastructure Law’s Civil Nuclear Credit (CNC) program. The IRA provides a wide range of provisions to support the nuclear sector, including a production tax credit that will support continued operation of existing nuclear power plants with an estimated value of up to $30 billion over the next 10 years. This tax credit in the IRA is intended to avoid premature retirements of reactors due to financial challenges, which has forced around a dozen reactors to close. The IRA also includes $700 million for the US Department of Energy’s efforts to support development of new domestic capacity to produce high assay low enriched uranium (HALEU) fuels for advanced reactors, research reactors and medical isotope production in the United States.
The CNC is a $6 billion program to assist nuclear power plants at risk of closing, citing the need to continue the use of nuclear energy, which is the largest carbon-free energy source of power in the United States, to combat climate change. In California, PG&E became the first utility to receive a conditional award of credits valued up to $1.1 billion from the CNC program. This is to be used to extend operations at the Diablo Canyon Power Plant for five years beyond its current licence expiration in 2025.
On the new build front, the Nuclear Regulatory Commission (NRC) gave Southern Nuclear Operating Company (SNC) the green light to load fuel and begin the operation of Vogtle-3. Unit-3 of the two unit new build project, the first to be built in the US in over 30 years, is expected to enter service in the first quarter 2023, with unit-4 following in the fourth quarter.
-
EU
Following no objections by the European Parliament or Council, the EU Taxonomy Complementary Climate Delegated Act covering certain nuclear and gas activities came into force on 1 January 2023. It extends the EU Taxonomy Framework to permit certain economic activities involving gas and nuclear energy (not including enrichment) to be classified as “environmentally sustainable”. The inclusion of certain gas and nuclear activities will be time-limited and dependent on specific conditions and transparency requirements.
Diversity of supply
We are the only company in the world to operate enrichment facilities in four countries.
Customer focus
We supply uranium enrichment services and fuel cycle products to more than 50 customers in 19 countries.
50 years
We have a proud, 50 year history as a leading nuclear services technology company.
.
- Over 1,700 highly skilled and well-trained employees
- Leading centrifuge technology
- Excellence in safe operations and maintenance
- Research and development
- Strong customer service
- Rigorous supplier and compliance audits
- Detailed market intelligence
- Robust commitment to nuclear safeguards and non-proliferation through the Treaties of Almelo, Washington and Cardiff and Government oversight
- Integrated and diverse nuclear fuel supplier helping to deliver energy security
- Advancement of the evolution of the nuclear fuel cycle through the development of next generation fuels
- Commitment to meet net zero emissions within our direct operations by 2030 and our wider supply chain by 2040
- Reliable transatlantic transportation services
- Enhanced stable isotopes offering for medical, industrial and research applications
- Responsible nuclear stewardship, including materials management and decommissioning
- Revenue: €1,716.5 million (2021: €1,669.3 million)
- EBITDA1: €824.6 million (2021: €971.1 million)
- Net income: €1,173.2 million post exceptional, €285.1 million pre exceptional (2021: €364.5 million)
- Cash generated from operations: €1,133.7 million (2021: €1,027.6 million)
- Capital expenditure: €184.0 million (2021: €142.3 million)2
- Net cash was €627.2 million (2021: net debt €11.5 million)
- Contract order book: approximate value of €10.8 billion, extending into the 2030s
1. EBITDA is defined as earnings before exceptional items, interest (including other finance costs), taxation, depreciation and amortisation and joint venture results. Depreciation and amortisation are adjusted to remove elements of such charges included in changes to inventories and SWU assets and net costs of nuclear provisions. A reconciliation to income from operating activities (pre-exceptional items) is set out on page 122.
2. Capital expenditure includes net cash flows on the purchases of property, plant and equipment and intangible assets of €166.6 million and on the decrease of capital accruals of €17.4 million (included in working capital payables). Capital expenditure for the year ended 31 December 2021 has been represented from €129.8 million to €142.3 million and comprised net cash flows on the purchases of property, plant and equipment and intangible assets of €143.5 million and on the increase of capital accruals of €1.2 million (included in working capital payables).
- Safety performance – strong compared to external peers; Total Recordable Injury Rate (TRIR) of 0.445 resulting in 11 total recordable injuries. (2021: TRIR 0.27)
- More than 50 customers in 19 countries
- Global enrichment capacity of 17.900 tSW/a
- 100% of customer deliveries met
- Enriched enough uranium to generate an estimated 780,000 GWh of electricity from nuclear power, avoiding approximately 320 million tonnes of carbon emissions
- Carbon emissions increased by 4.8% (scope 1 and 2 – direct operations) from 2021 (using location-based emissions factors), but fell by 25.4% from 2019 baseline year1
- The volume of our annual stable isotopes sales equates to approximately two million patient treatments being performed using medical radioisotopes produced from our products
- Our Global ‘Richie’ STEM education programme is estimated to have reached more than 47,000 schoolchildren
- Global social impact partnerships established supporting environmental, health and educational goals
1. As a proportion of the nuclear carbon offset as calculated by the IEA.
Our strategy
Our long term strategic aim is to transform the organisation into a more flexible operation by 2030, while adding a refurbishment and decommissioning capability and targeting organic growth in new business activities.
-
June 2022
Dutch Minister for Climate and Energy, Rob Jetten, visited Urenco Nederland (UNL)
-
September 2022
We sponsored and hosted the opening Welcome Reception of the World Nuclear Symposium 2022 at the Victoria and Albert Museum in London. Chief Commercial Officer, Laurent Odeh, spoke on a Sustaining Fuel Supplies panel.
-
October 2022
Boris Schucht moderated an International Industry Forum at IAEA’s International Ministerial Conference on Nuclear Power in the 21st Century, Washington DC.
-
November 2022
Emilie Isaacs, Head of Government Affairs, delivered a speech and took part in a plenary session at the International Youth Nuclear Congress (IYNC) 2022 in Koriyama, Japan.
-
November 2022
Urenco attended the 2022 American Nuclear Society (ANS) Winter Meeting and Technology Expo held in Phoenix Arizona, with Urenco USA President and CEO, and Managing Director, Karen Fili participating in the Opening Plenary Session.
-
November 2022
Head of Market Development and Technical Sales, Magnus Mori, participated in a panel on fuels for advanced reactors at the 2022 American Nuclear Society (ANS) Winter Meeting and Technology Expo held in Phoenix, Arizona.
-
November 2022
Our Head of Sustainability, Rob Little, took part in a discussion organised by Climate Action at the Innovation Zone at COP27 in Sharm El-Sheikh, Egypt.