Most types of nuclear power reactors use uranium dioxide fuel. Power reactors using natural uranium dioxide fuel are of special interest to countries such as Australia that have their own uranium supplies. A wide range of uranium dioxide powders can be fabricated and the ideal one flows readily, presses without the need for binders or lubricants, sinters to the required density and gives low reject rates at all fabrication stages. Sinterable uranium dioxide is usually produced via the ammonium diuranate route.The Australian Atomic Energy Commission is aiming to demonstrate production of nuclear grade uranium dioxide from Australian concentrates, improving technology where possible. Details are given of the dissolution, solvent extraction, precipitation, filtration, drying, and calcination-reduction steps. Solvent extraction from sulphate media is also under study with a view to developing a process to produce a nuclear grade product at the mine treatment plant site.