State-owned enterprise Eastern Mining and Processing Plant, or SkhidGZK, Ukraine’s only producer of natural uranium, will receive UAH 555 million in repayable financial assistance from NNEGC Energoatom. The funds will be directed toward modernizing production facilities, increasing uranium ore mining and expanding output of uranium oxide concentrate, according to First Deputy Prime Minister and Minister of Energy of Ukraine Denys Shmyhal.
According to him, the financing is being provided under a government mandate and will be structured as a loan from Energoatom to the enterprise until the end of 2027. The support is expected to become part of a state program to restore the operations of the strategic enterprise and strengthen the raw material base of Ukraine’s nuclear energy sector.
The funds received are planned to be used for the implementation of a technical modernization and production capacity development program. In particular, the project provides for the purchase of modern mining equipment, tunneling works and a gradual increase in uranium oxide concentrate production to 45 tonnes per month.
In addition, the development program includes the creation of new mining horizons, reconstruction of hoisting installations and mine ventilation systems, as well as the design and construction of a new sulfuric acid production unit with a capacity of 85,000 tonnes per year. Sulfuric acid is one of the key components of the technological process for mining and processing uranium ore, so the creation of in-house production will allow the enterprise to reduce dependence on external suppliers and improve operational efficiency.
Despite its strategic importance for the country’s energy security, SkhidGZK’s financial position remains difficult. According to YouControl, in 2025 the enterprise recorded a net loss of UAH 886 million on net revenue of UAH 1.85 billion.
At the same time, SkhidGZK remains the only producer in Ukraine and one of the largest producers of uranium concentrate in Europe. The enterprise covers around 40% of the uranium raw material needs of Ukrainian nuclear power plants, while the remaining fuel volumes are supplied through imports.
The financing is part of a broader reform of the enterprise. On May 13, the Cabinet of Ministers adopted a decision to stabilize SkhidGZK’s operations and submitted a draft law to the Verkhovna Rada on the corporatization of the enterprise. The document provides for the transformation of the state-owned enterprise into a joint-stock company with 100% state ownership.
The next stage of the reform is expected to be the integration of SkhidGZK into NNEGC Energoatom. According to Denys Shmyhal, the goal is to create a vertically integrated state holding that will combine the full production cycle of the nuclear industry — from uranium ore mining and uranium concentrate production to electricity generation at nuclear power plants.
The government expects that the implementation of this model will improve the efficiency of sector management, strengthen Ukraine’s energy independence and reduce dependence on imports of strategic nuclear raw materials.
