Below is a an article written by Anthony Milewski of Fission Uranium.
I’m asked more and more often if uranium has turned and whether we can now expect a sustained upwards movement. For those of us in the industry it’s been a long wait and, considering the underlying strengths of the market – growing demand and a vulnerable supply, the wait has been frustrating.
So, has it turned? No one has a working crystal ball. What I can do is draw your attention to a few facts:
At time of writing, the spot price is up 35% on its low of just over $28/lb in May 2014. The last four weeks in particular have seen the price trending positively, including a series of consecutive upward ticks in the last week or so.
In Japan, recent articles late last week from Reuters, Forbes and other high-profile business news outlets included news that Japan expects to switch the first two reactors back on in June. That’s just four months from now.
The worldwide reactor construction boom continues with 70 currently under construction, 183 in the planning phase and a further 311 in the proposal stage (World Nuclear Association).
Buying from Utilities in the second half of last year has eaten through much of the supply overhang that had built up with Japan’s power companies suspending further fuel purchases.
Continued instability in Eastern Europe has further highlighted the fact that Russia, which is a major player in secondary supply of uranium, cannot be relied on for reactor fuel.
Whether uranium has turned on not, we at Fission Uranium are feeling very positive about the overall indications and the prospects for the industry moving forward.
Anthony Milewski, Director of Fission Uranium
Fission Uranium and Dev Randhawa
Dev Randhawa is the founding Chairman and CEO of Fission Uranium. He has won numerous awards for his work in the industry, including Northern Miner Magazine ‘Mining Person of the Year 2013’ and as part of the Fission team, Mining Journal Excellence Award 2015 for Exploration.
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