Commodities: Uranium
PDN -11.26%: The June quarter update showed a decent recovery given rain events earlier in the year, though the FY26 guidance disappointed and highlighted continued operational underperformance.
Good morning MM. E&P analysts reportedly expect a 2-3% uranium supply surplus (4-6 million pounds annually) in 2026-27. Some 2026 price forecasts have been adjusted accordingly. Do you remain positive toward uranium stocks medium term?
Uranium stocks and ETFs have rallied strongly recently, albeit from a low base for some ASX names. The uranium price has bounced ~25%, although the forward prices, as reflected in the long-term supply contracts, an opaque market, have probably advanced more.
We are trimming Cameco (CCJ US)
Would you mind explaining, in layman’s terms, this huge Sprott Uranium deal that’s put a fire under the equities prices and is it a one-off (or two-off now)?
Silex, in conjunction with Cameco (CCJ US), is developing a laser technology to enrich uranium at a facility in Kentucky, US.
The Sprott Physical Uranium Trust (SPUT) is the world’s largest physical uranium fund. SPUT is an investment company that was established in 2021 to buy up physical uranium on the spot market and take it out of circulation. SPUT currently holds around 66mlb of U308 with a value of US$4.65b.
The Sprott Physical Uranium Trust (SPUT) is the world’s largest physical uranium fund. SPUT is an investment company that was established in 2021 to buy up physical uranium on the spot market and take it out of circulation. SPUT currently holds around 66mlb of U308 with a value of US$4.65b.
The Betashares Uranium ETF which holds heavyweights like Cameco (CCJ US) and NAC Kazatomprom (NATKY US) saw it’s US version rally more than 5% overnight, which should be supportive of the ASX listed version today.
