Brazil Proposes Opening Uranium Sector to Private Investment

Brazil plans to break the state monopoly on its uranium mining sector by allowing private investment and operational partnerships, provided the government retains at least a 20 percent stake in each venture, as noted in a draft regulation according to media reports.

The proposal would authorize Nuclear Industries of Brazil (INB), the state-owned corporation currently controlling the country’s entire nuclear fuel cycle, to solicit bids for joint mineral exploration.

Under the current proposal, the private partner must cover all project investment costs. The private firm would also hold a controlling stake if the value of INB’s contributed mining assets falls below the total capital required to develop the project.

Furthermore, existing mining-rights holders would have 12 months from the decree's enactment to report any nuclear substances discovered in their concession areas. Those operators must then either partner with INB or sell the ore directly to the state company.

Failure to comply could trigger the government's revocation of their mineral-exploitation rights.

The plan is currently under review by the Chief of Staff’s office and the Mines and Energy Ministry. The government expects to reach a formal position soon, though officials warned the draft remains subject to structural changes.

Recent efforts by the Brazilian government point towards a wider state initiative to assess the country's nuclear capability. Last week, the National Council for Mineral Policy established a working group under the Ministry of Mines and Energy, giving it 90 days to evaluate Brazil's current uranium resources and propose strategies for expanding reserves.

"We have an incredible window of opportunity and a window of concern," Figueiredo reportedly told the working group. "Today, the world produces 60,000 metric tons of uranium and will consume 65,000 metric tons … 5,000 metric tons have come from strategic reserves held by countries and the nuclear power plants themselves. Actually having this uranium requires significant investments."

The country itself had also aggressively pivoted to secure and monetize its critical mineral wealth amid intense geopolitical competition.

Beyond the proposed uranium overhaul, President Luiz Inácio Lula da Silva signed a framework agreement with India in February 2026 to deepen cooperation and exploration efforts for rare earth elements across both nations.

While Brazil holds approximately 3 percent of global uranium resources, its domestic output cannot currently sustain its two operating nuclear reactors located west of Rio de Janeiro.

The INB intends to use the private partnerships to expand yellowcake production and double its uranium concentrate output capacity to 800 metric tons annually at its Caetite facility in Bahia, South America's only operating uranium mine.

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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.