The price increase shows the bottlenecks. Uranium is mined, but then it has to be enriched and converted into nuclear fuel. The resulting fuel rods are then used in nuclear power plants. Only a few companies can convert uranium. Russia plays an important role in conversion and is responsible for around 22 percent of global conversion capacity and 44 percent of enrichment capacity. Although there is a US ban on Russian uranium, there are exemptions until 2027. Two nuclear power plants in Switzerland are currently being criticized because they obtain their uranium from Russia.

Now that nuclear power is experiencing a renaissance, uranium is in demand and in short supply. A supply bottleneck is mainly caused by the necessary converted uranium, as the conversion market is tight.

The world’s interest in nuclear fission technology is great, after all, generating energy in nuclear power plants is about providing a safe, unlimited and clean source of energy. The uranium industry, senior officials and experts are currently meeting at the COP29 climate summit in Baku, Azerbaijan. According to the Paris Agreement, the global temperature rise is to be reduced to below 1.5 degrees Celsius. However, according to a UN report, current investments and measures are still far too low. So, there is still a lot to do to combat climate change. Nuclear energy will certainly contribute to this and must do so as long as renewable energies are not sufficient. As uranium will therefore be in high demand, uranium companies such as Cosa Resources or Uranium Royalty should have good prospects.

Cosa Resources – https://www.commodity-tv.com/ondemand/companies/profil/cosa-resources-corp/ – and its uranium projects are located in the famous Athabasca Basin in Saskatchewan. The portfolio includes approximately 216,000 hectares of land near known uranium corridors. The company already has experience and success in Saskatchewan.

Uranium Royalty – https://www.commodity-tv.com/ondemand/companies/profil/uranium-royalty-corp/ – is the only royalty company to shine in the uranium sector. The company has recently added a royalty on uranium projects in Saskatchewan to its portfolio.

Current company information and press releases from Uranium Royalty (- https://www.resource-capital.ch/en/companies/uranium-royalty-corp/ -) and Cosa Resources (- https://www.resource-capital.ch/en/companies/cosa-resources-corp/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

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