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Uranium Week: Russia Ban Moving Forward

Weekly Reports | Dec 12 2023

It has been long-awaited, but it appears US Congress may be about to ban imports of uranium from Russia.

-Congress moving towards Russian import ban
-Lack of sellers sees uranium prices higher still
-Nuclear energy makes a splash at COP28

By Greg Peel

Renewed activity around possible legislation that would seek to limit the import of Russian material into the US had been front of mind for uranium market participants in recent weeks, but the pace at which it appears to be moving forward has taken some market participants by surprise, industry consultant TradeTech reports.

What this meant for the market in the last two days of last week is that sellers have largely withdrawn from the market in order to assess developments this week.

TradeTech’s weekly spot price indicator rose US$1.50 last week to US$83.00/lb.

TradeTech’s term price indicators remain at US$82.50/lb (mid) and US$66.00/lb (long).

No Love for Russia

Following months of negotiations, the US House and Senate negotiators released the final Fiscal Year 2024 National Defense Authorization Act on December 6. The NDAA authorises appropriations and sets policies for Department of Defense programs and activities, as well as the Department of Energy’s national security program.

The NDAA includes language that promotes the domestic availability of High-Assay Low-Enriched Uranium (HALEU) to fuel advanced reactors and directs the DoE to create a “Nuclear Fuel Security Program.”

The Act now awaits procedural votes in the Senate and House.

The House is expected to consider legislation next week that would phase in a ban on uranium imports from Russia. The Prohibiting Russian Uranium Imports Act has been scheduled for consideration this week.

The legislation, which would ban Russian uranium imports 90 days after enactment and allow a temporary waiver until January 2028, was approved by a House committee in May. A Senate panel has approved similar legislation. If the House bill passes, it would create an opportunity to pass the same legislation in the Senate.

Cop That

The global nuclear energy industry gained considerable attention at the COP28 climate summit in Dubai last week with declarations that aim to triple nuclear power capacity by 2050 signed by many nations. In addition, five countries, including the US, France, Japan, and the UK, agreed to mobilise government-led investments totalling US$4.2bn to develop a global nuclear supply chain.

Uranium companies listed on the ASX:

1AE 08/12/2023 0.0700 -12.50% $0.20 $0.05
AGE 08/12/2023 0.0550 – 5.17% $0.07 $0.03 $0.080 45.5%
BKY 08/12/2023 0.3950 -12.22% $0.80 $0.28
BMN 08/12/2023 2.5900 – 7.50% $3.05 $1.19 $3.200 23.6%
BOE 08/12/2023 3.9500 – 7.28% $4.98 $1.97 43.7 $4.543 15.0%
DYL 08/12/2023 1.0100 – 6.48% $1.41 $0.48 $1.640 62.4%
EL8 08/12/2023 0.4300 -17.31% $0.59 $0.27
ERA 08/12/2023 0.0350 6.06% $0.30 $0.03
LOT 08/12/2023 0.2800 – 9.68% $0.32 $0.15 $0.530 89.3%
NXG 08/12/2023 10.1300 4.11% $10.80 $5.11
PDN 08/12/2023 0.9350 -11.37% $1.15 $0.52 154.9 $1.165 24.6%
PEN 08/12/2023 0.1050 – 4.55% $0.20 $0.08 $0.250 138.1%
SLX 08/12/2023 3.3700 4.01% $5.32 $2.65 $5.800 72.1%

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