Iraq's enriched uranium and powdered uranium

I was researching something else when I came upon this BBC report from 2004. Note the date of the report: 7 July, 2004 - 7/7 2004 - exactly one year prior to the Muslim terror attacks on London.

Along with 1.77 tons of enriched uranium, about 1,000 "highly radioactive sources" were also removed.

Note the "enriched" uranium. Now, I wonder what they were going to use that for?

More worrying is the fact that those 1,000 "highly radioactive sources" were in powdered form.

Bryan Wilkes said much of the material was "in powdered form, which is easily dispersed".

Now, why would you want to disperse a radioactive source in a powdered from?

Strangely, none of these questions are explored by the BBC.