Sustainable uranium for future energy
WHY URANIUM NOW
Recent catalysts for further uranium exploration
The Green Transition
Recent emphasis on addressing energy security and finding green energy solutions has led to proactive regulatory and financial support to advance nuclear power.
The 10+ Year Bear Market
Extreme underinvestment over the previous 10 years has led to a structural uranium production deficit of approximately 26% that is expected to only widen in the future.
The Shift to SMRs
The first generation of small modular reactors (SMRs) are now being deployed, increasing the scope of demand to areas previously unsuitable to nuclear energy production.
Nuclear energy’s inclusion in the EU’s green taxonomy came into effect Jan 2023, allowing new capital to flow into the nuclear sector and lower the cost of capital.
Persistent supply deficits have caused reliance on spot inventories that are now approaching exhaustion, requiring utilities to return to long-term contracting to secure critical supply.
Impact of SPUT
Sprott Physical Uranium Trust has injected billions of liquidity with uranium spot purchases, aiding price discovery and accelerating the inducement of new exploration.