04.02.202613:29:16UTC+00Uranium Declines from 2-Year High

Uranium futures in the United States have dipped to $92 per pound, retreating from the nearly two-year peak of $101.5. This decline is primarily due to a recent uptick in global supply, temporarily overshadowing the rising demand expectations that had bolstered prices in recent quarters. The Uzbek Atomic Energy Agency significantly increased its annual uranium production to 7,000 tonnes last year, surpassing market estimates, and revised its reserve figures upwards. However, the long-term price of uranium remains elevated amid expectations of expanded nuclear power capacity, driven by the growing demand from data centers and electrification needs. In response, the US government has eased regulations for uranium converter permits and secured agreements for constructing new facilities. Noteworthy initiatives include a collaboration with Cameco to develop Westinghouse reactors and allocating $2.7 billion in contracts to Centrus and two other companies to create new reactors and enrichment facilities, counterbalancing the loss of Russian nuclear fuel supply due to sanctions.