Weekly Reports | Oct 15 2019
The global uranium market will have to wait at least another 30 days before Trump's Working Group delivers the report the market has been hanging out for.
-Climate change in focus
-Working Group report delayed
-Spot market falls quiet
By Greg Peel
"Finding the right approach to long-term, economic, and reliable electricity supply is the central challenge to the decarbonization of the future global economy," noted the director general of the Nuclear Energy Agency of the OECD last week. "A vision of the future that incorporates variable renewable energy sources and cost-effective, advanced nuclear energy in a balance based on economic reality is one path to success."
The NEA director general was speaking at the inaugural International Conference on Climate Change and the Role of Nuclear Power, organised by the International Atomic Energy Agency, at which some 550 attendees representing 79 countries and 18 international organizations participated.
The IAEA acting director general opened the conference by noting "Advances being made in several countries concerning the final disposal of high level radioactive waste may help to alleviate public concerns about the long-term sustainability of nuclear power."
The director general of the World Nuclear Association delivered the keynote speech at the event, stating, "The nuclear industry is committed to delivering what it needs to do to save our planet from climate change. Our technology is ready, our supply chain is ready, and our people are ready. But to achieve this we must have action from governments to create the conditions needed to allow nuclear energy to deliver its potential."
She noted that nuclear power avoids the emission of more than 2,500 million tonnes of carbon dioxide every year, compared to fossil fuels. This is equivalent to removing about 400 million cars from the world's roads.
Which is all well and good, but not of much consequence right now for a global uranium market still in waiting mode.
Donald Trump's Working Group into the US nuclear supply chain was due to report last Thursday, but no such report was forthcoming. The belief is the report deadline has been extended for thirty days. Perhaps the president has something else on his mind.
Adding to uncertainty is the pending expiry of the waivers on US sanctions on Iran – October 30. If the waivers are not extended, those companies working with Iran on its nuclear facilities will be sanctioned, being companies from Russia, China and Europe, thus disrupting US nuclear fuel imports.
The spot uranium market thus slowed to a crawl once again last week. Industry consultant TradeTech reports four transactions totalling 550,000lbs U3O8 equivalent concluded. The lack of interest saw sellers prepared to lower offer prices, hence TradeTech's weekly spot price indicator fell -US40c to US$25.00/lb.
TradeTech's term price indicators remain at US$27.00/lb (mid) and US$31.00/lb (long).
Find out why FNArena subscribers like the service so much: "Your Feedback (Thank You)" – Warning this story contains unashamedly positive feedback on the service provided.
FNArena is proud about its track record and past achievements: Ten Years On