Australia sells uranium to China under new agreement
MIL/NYT, Apr 3, 2006.
Sydney - (3rd April) Beijing signed an agreement on Monday with Australia, one of the United States' nearest allies, for buying uranium for use in China's nuclear power plants. It was necessary for China to keep continuing its supply to meet its soaring energy needs.
It is felt in the global business sectors that this deal shall open the new avenue for China's investment in Australian uranium mines. The agreement was negotiated during last year in Beijing. Prime Minister Wen Jiabao of China Wen spent Sunday in West Australia, the state that provides most of Australia's raw material exports to China and he is satisfied.
As per Jane Perlez, New York Times, Australia is scheduled to make its first deliveries of liquid natural gas to China from the NorthWest Shelf gas development in West Australia in the next several months.
It is already one of China's biggest suppliers of iron ore. But because uranium is used in nuclear weapons, it is in a different category than other commodities.
The conservative government of Prime Minister John Howard has stressed that China has agreed not to use Australian uranium in its weapons program, or for other military purposes.
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