Weekly Reports | Feb 27 2018
The buyers are lined up in the uranium spot market but are not prepared to meet prices on offer.
-Utility demand driving off sellers
-Buyers not paying up
-US uncertainty continues
By Greg Peel
Last week there were two non-US utilities awaiting offers in the uranium market, industry consultant TradeTech reports. Of note is one utility seeking a total of 1.02mlbs U3O8 to be delivered in three tranches across April, September and December, with offers due by March 19.
This significant near-term demand has spot market sellers trying to milk their offers, resulting in price-sensitive buyers showing no interest.
This stalemate, and market stasis driven by uncertainty regarding US uranium export policy under review (see previous Uranium Weeks), ensured spot market activity was again relatively quiet last week. TradeTech reports five transactions totalling 500,000lbs U3O8 equivalent.
TradeTech’s weekly spot price indicator has leapt US5c to US$21.95/lb.