Global Uranium Prices Hit 15-Year High, Surpassing $80 USD per Pound Milestone
Uranium prices have exceeded the US$80 per pound mark for the first time in more than 15 years.
On the American stock exchange Nymex, futures contracts for yellowcake, a crude form of uranium, exceeded $80.25 on Monday, November 20, 2023.
According to certain specialists, this historic peak comes after months of rising fuel prices, in a global context marked by the return to favor of nuclear power.
Supply contracts with utilities responsible for purchasing uranium for nuclear power plants continue to intensify, according to Colin Hamilton, director of commodities research at BMO Capital Markets.
In Niger, for example, the Canadian Global Atomic has already concluded similar agreements worth more than $250 million for the future production of its Dasa uranium project.
“There is very little uncommitted generation available to meet unmet utility needs,” says Hamilton. Which he says is contributing to rising futures prices.
Aware of the opportunities currently available on the market, uranium producers and companies that have projects in maintenance and upkeep regime are working to put them back into production.
This is the case of the world number 1 in the sector, the mining giant Kazatomprom, which decided at the end of September to end its restrictions from 2025 in order to exploit its uranium mines at full capacity.
