Commodities | Dec 07 2010
By Rudi Filapek-Vandyck
After the buying frenzy over October and November, the spot U3O8 market has come to a stand still in December with industry consultant TradeTech registering only one small deal being concluded in the week ending on Friday. No surprise thus, the consultant's spot price indicator hasn't moved either: unchanged at US$60.25/lb.
TradeTech's two other price indicators remained equally unchanged, leaving the Mid-Term Price Indicator at US$62/lb and the Long-Term Price Indicator at US$65/lb.
There is good news for the industry, however, with TradeTech pointing out calendar 2010 is on its way to become one of the busiest ever in terms of spot market transaction volumes. Year-to-date TradeTech has registered some 40.6 million pounds of U3O8 equivalent changing hands, which is already above last year's total of 38.8 million pounds of U3O8 equivalent. Only one other year, 1990, managed to record a higher volume trading through the uranium spot market, reports TradeTech.
So no matter what happens to the spot price in the weeks ahead, 2010 will prove to be a record year for global uranium producers.
