Uranium is one of the latest metals to see its price surge on clean energy demand. The key fuel in nuclear power plants had been declining for decades, but a recent renewed interest in nuclear power as a clean energy source to help economies transition to a fossil fuel-free future has revived investor interest. Uranium prices are up more than 19% since the start of the year as of this writing, trading above $58 per pound in August – the highest it’s been since April of last year, according to data from Trading Economics.
Nuclear Power Is The Not-So-New Clean Energy Rising Star
The recent surge in uranium prices has been driven largely by recent policy shifts that have made nuclear energy a higher priority as nations work to meet sustainability goals as quickly as possible. Earlier in August, for example, Sweden said it needs to triple its nuclear power capacity over the next decade in order to keep up with rising electricity demand in the country.
In the United States, tax credits and investment initiatives in last year’s Inflation Reduction Act have clearly indicated the renewed focus on nuclear energy in the country. Joining Sweden are the UK, Canada, Japan and France which have each announced plans to ramp up uranium supply in efforts to reduce the world’s dependency on Russian uranium.
The news has made some investors wonder why all the sudden interest in nuclear energy is cropping up now. But those in the industry are saying it’s actually always been here.
“Nuclear is one of those silent contributors,” said Nuclear Energy Institute’s Director of Markets and Policy Benton ...Full story available on Benzinga.com
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