Q: What significant geopolitical events have disrupted the global uranium supply chain? A: Russia’s invasion of Ukraine and the military coup in Niger have created major disruptions. This is particularly impactful because Russia controls 5% of uranium production, 27% of conversion, and 39% of enrichment capacity globally, while Niger produces 2% of global uranium.
Q: Why are previously nuclear-skeptical countries changing their stance on nuclear power? A: Countries like Japan, Belgium, and South Korea are reversing their anti-nuclear policies due to growing concerns about energy shortages and soaring energy prices. This shift reflects a broader recognition of nuclear power’s role in energy security.
Q: How does nuclear energy’s current electricity generation compare to its contribution to low-carbon emissions? A: Nuclear power generates only about 9% of the world’s electricity but produces more than 23% of low-carbon emissions electricity, showing its outsized impact on reducing carbon emissions in the energy sector.
Q: What’s the current state of uranium pricing compared to its historical peak? A: While uranium prices reached a peak of $139/lb in 2007, the current bull market has driven prices to $81.95/lb, suggesting potential room for growth while still being significantly below historical highs.
Q: How is the nuclear power industry expanding globally? A: There are currently 67 new nuclear plants under construction worldwide, with an additional 87 planned. However, current uranium production is not meeting the demand requirements for these facilities, creating a structural supply deficit.