How to profit as uranium prices head for a melt-up

How to profit as uranium prices head for a melt-up

Uranium mines can’t keep up with global demand And that has been the case during the pandemic. Cameco in Canada, the world’s second-largest producer, has shut every one of its uranium mines in Canada. Output at Kazatomprom, the world’s biggest producer, is at a multi-year low. The US produced a negligible amount of uranium in 2020. This sort of backdrop can trigger sudden surges: in 2007 prices increased fivefold in one year to $140 a pound (lb) as utilities panicked about scarcity of supply after a mine called Cigar Lake was flooded and another, Ranger, was damaged by a cyclone. More bullish news

There is one other issue worth mentioning. The increasing cost of supply has not necessarily been reflected in spot market prices. A recent panel of experts at an event hosted by investment bank Canaccord Genuity (CG) argued that marginal costs are well above current spot prices.

According […]

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