Is Uranium Set to Power Up?

Uranium (Nuclear Minerals) / Nuclear Power - Economics, Design, & Industry

Date posted: 06/19/15

Uranium prices have been low for years with prices currently in the mid-$30 per pound range but the tide is changing as more countries push ahead with plans to increase their nuclear generation capacity. China is on track to increase its nuclear capacity to 58 gigawatts equivalent by 2020 from the current 23 GWe while India has reiterated plans to increase its capacity 14 times to 63GWe in 2032. Indeed, Canadian Cameco Corporation announced in April that it will provide the Department of Atomic Energy of India with 7.1 million pounds of uranium concentrate through to 2020 under a C350 million dollars (A367.6 million dollars) deal. Japan is continuing its march towards restarting its nuclear reactors with its Nuclear Regulation Authority approving the restart of two reactors in Sendai along with partial approval to the Takahama and Ikata 3 reactors. The British and French governments have announced a nuclear power cooperation agreement, while France continues to derive some 75 per cent of its electricity from nuclear power. Further support could come from countries such as Saudi Arabia, which is proposing to build 16 reactors by 2030 and the Czech Republic expected to increase the share of nuclear power in its electricity generation mix to between 46 per cent and 58 per cent by 2040 from the current 35 per cent. In fact, at least one study has estimated that based on extrapolation of regional deployment data, there is potential for worldwide displacement of fossil fuels by nuclear energy for electricity generation within three decades.