Reasons for increased demand The demand of uranium energy has increased in recent years. Currently, the world uranium market is suffering from a supply deficit, which is expected to continue for the next several years, but despite this, nuclear generators in the U.S. have been shutting down because of poor economics. This article examines the uranium market outlook, the factors contributing to the uranium supply deficit, and the potential for uranium exploration and production in the U.S.
The latest uranium news is pushing uranium prices higher, with some analysts forecasting prices could reach $100 per pound by the end of next year. The spot price for uranium ore on the London Metal Exchange is currently $66.20 per pound and reached $20.30 per pound in June, the lowest level since September 2010.
Higher prices will enable more companies to enter into production, stimulate competition, and provide U.S. utilities with greater variety of supply for their nuclear fuel.