At 30$/lb U3O8 only 40% of global annual U3O8 demand can be met by uranium miners!! => This is not an IF question, this is a WHEN question! Third. It's a mathematic fact that the global uranium supply and demand needs a sustainable 60+$/lb U3O8 to get back in equilibrium in the long term. Add to this the inflation between 2007 and today, and you have a easy multi-bagger sector here! Second. The entire market cap of uranium sector (17 billion$) = - 2% of the market cap of Tesla (810 billion$) - 40% of the market cap of Barrick Gold (42 billion$) - 34% of the market cap of Newmont (50 billion$) - 8% of the market cap of Exxon Mobil (205 billion$) - 9,5% of the market cap of Chevron (180 billion$) - 14,5% of the market cap of Boeing (117 billion$) In 2007 the total uranium sector market cap was 150 billion USD in USD of 2007. That's a very tiny sector!! To put this into in perspectif. Remember, the total uranium sector market cap today is only +-17 billion USD. Resources Investment funds and groups entering the U market! First. A good alternative if you don't know which onces to pick, is an investment in URNM etf. And even the more expensive once today will continu to go higher from the stock prices today (imo). There are uranium companies (producers, developers and explorers) that are cheaper than their peers. Don't try to get in at a cheaper price (imo), because Sprott Physical Uranium Trust activated their additional 1billion USD of their ATM yesterday! Buying now, doesn't mean you can't be more selective in your purchases. ) and the few well advanced uranium developers (Global Atomic, Denison mines.) Buy uranium stocks, if you didn't already. "To meet their own commitments" Boys and girls, the only industry participants that have commitments towards utilities and that need to buy from the spotmarket to meet those commitments at the moment are Cameco (only partially) and carry traders (100% of their uranium)!! The squeeze in the uranium spotmarket is on! Utilities, Welcome to the negotiation table with the few remaining uranium producers (producers: Cameco, Kazatomprom, Paladin Energy, Energy Fuels. But that's not our strategy." Those "folks" are trying to get the pounds from Denison Mines to have pounds to meet their own commitments, because they are have difficulties to get uranium from the conventional sources in the market. The first signes of carry traders getting into trouble! -> Now we know that there isn't enough uranium available through the spotmarket! Hi everyone, Do you remember that Denison Mines bought 2.500.000 pounds of uranium in March 2021? Ok, now listen good at what David Cates, CEO of Denison mines, is saying now (today)!! quote1: "What's very interesting lately, is the interest that our physical uranium has been getting from the uranium market" quote2: "And some of those folks in the industry are trying to get us liberate those pounds because they are having a hard time getting pounds. In fact he is confirming after the signs of TradeTech and the press release of Boss Energy a couple days ago, that the new multi-year wave of negotiations for the renewal of a lot of long term contracts (like in 12) HAS BEGUN! Slowly at first, but it will increase in intensity in 2022/2023! If you want a cheap entry point it’s now you have to buy uranium stocks, not in 2022! Cheers $CCJ $URNM $URA $SRUUF $FCUUF Paladin Energy, Global Atomic, Denison mines, Energy Fuels, UEX Corp, Goviex Uranium. ) -> 700M lb in 10y is a lot, knowing that the biggest part of those 700M lb are for the period 2025-2030! 8). for LT contracts and much bigger volumes (for delivery between 2024-2030) that they haven’t seen this past decade!!! 4) carrytraders are in trouble with their short term supply contracts because there is much less material available on the spotmarket 5) China is building a big warehouse at the boarder with Kazakhstan in China to store 23,000 Ton (that’s 60M lb!) of uranium by 2026!!! By 2026!!! 6) by 2040 twice as much of electricity will be produced by nuclear power than it is in 2020 7) between 20 there is an uncovered demand of ~700 million lb globally (just as a way to compare: SPUT bought only 11,519,724 lb of uranium between August 17 and OctoCigar Lake produces 18M lb a year, Langer Heinrich could produce ~6M lb a year, Honeymooncould produce 2 to 3M lb a year. It’s the same as what Tim Gitzel is saying about the restart of McArther River 2) Kazatomprom will not sell uranium to the spotmarket! 3) Kazatomprom confirms that much more utilities worldwide are sending RfP’s and tenders. Hi, I recommend to listen very carefully (and listen to it 2 or 3 times) to what Askar Batyrbayev is saying in this interview of Octo(last half hour of this video) 1) Kazatomprom needs LT contracts to justify the increase of their production (= stopping their 20% production cut after 2023).
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