Uranium prices are at their highest in 11 years

Spot uranium prices have reached their highest level since the 2011 Fukushima nuclear disaster, amid concerns about potential sanctions against Russia in an already tightened market. According to UxC LLC data, demand for uranium, which traded at $59.75 on Thursday, has spiked since Japan's decision to shut down all its reactors after the reactor meltdown in Fukushima in March 2011 caused demand for uranium to spike. While it was stated that the White House was considering announcing sanctions against the Russian public energy company Rosatom, this situation raised concerns about uranium imported from Russia. Rosatom and its subsidiaries hold a unique position in the global enriched uranium supply, accounting for 35% of the total. Russia exported 16.5 percent of the uranium to the United States in 2020.

"Prices are unlikely to come down before sanction concerns pass"

UxC President Jonathan Hinze said, "Concerns about an end to Russia's nuclear fuel purchase have caused buyers to turn to the sports market for the past two weeks. It doesn't seem possible." Aggressively cornering the physical market, The Sprott Physical Uranium Trust has been actively buying since last month, contributing to the market's rise. The fund increased its uranium holdings by 10 percent last month. A spokesperson for Cameco Corporation, one of the world's largest uranium suppliers, noted that if the prices on the subject improve sufficiently in the long term, the company may increase its production. World Nuclear Association Communications Director Jonathan Cobb said, "There is a significant potential to increase uranium production outside of Russia. Nuclear power plants generally keep the fuel produced to meet their needs for at least one year, this amount is often higher."