- In the short term, the price of U3O8 is expected to consolidate at lower levels following recent sharp gains to more than $16 per pound. Such consolidation is in line with a better short-term balance between uncommitted requirements and uncommitted supply.
- In the long term, there is a five-year window of mine deficit conditions that should support peak U3O8 prices in a range of the low to mid-US$20s per pound.
- The price of UF6 is forecast to remain unchanged to slightly lower, reflecting a fairly balanced market, but with negative implications regarding the integration into the world market of its source availabe from Russia as a component of its inventories of low enriched uranium (LEU) and from highly enriched uranium (HEU).
- Separative work unit (SWU) prices are forecast to remain under competitive pressure because of surplus market conditions and their source in Russia as a component of its inventories or LEU and from HEU. This is expected to remain a buyers' market for the foreseeable future.
- The preferred investment area remains the raw material protion of the nuclear fuel cycle, i.e. U3O8 market, in which prices are fundamentally supported by mine deficit conditions for the foreseeable future.
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