The uranium market is one that is like a wild roller coaster, and many of the equities associated with it can make investors queasy from the ride. These equities are no different from many mining stocks; they have to be looked at very closely. Uranium trading was starting to become more stable, or so it seemed. Then, just as fast as it calmed down - bam! - it went right back up. The uranium price surged $5 to $29 in just two weeks last year.
After the market woke up and new buying came in, the ultra-precious metal's price climbed another $4, which set the highest uranium price since the early 1980s. The new speculation was triggered by growing expectations that China, India and Russia were planning to build new reactors and more reactors would cause a run on the limited supply of uranium. This speculation may well be right, if the International Atomic Energy Agency (IAEA) stats are even close to true.
According to a report by the IAEA, 130 new nuclear power plants may be built in the next 15 years. Who are the big players? The usual suspects, of course: China, India, Europe, Russia, etc. Nuclear power provides about 16% of the planet's total annual electricity generation and 34% of the European Union's needs.
Trust me, they need it - a lot. When my wife Katrin and I were in Estonia recently, it was frigid cold. Likewise, people are freezing to death in Moscow, right now. Nuclear power is a key component to economic survival in both Eastern Europe and the European Union.
I couldn't believe some of the stats for other countries that I found in a great nuclear energy report called Uraniumletter International:
“China: Announced that it plans to build up to 40 nuclear reactors within the next 15 years. Some experts feel this will increase the amount of electricity generated by nuclear power from 2.4% to 4%.
“India: Also getting aggressive and wants to increase mining of uranium ore at four mines, including the existing Jaduguda mine in Jharkhand. The country recently signed a nuclear energy agreement with the United States and could generate 40,000 megawatts of nuclear power in the next 10 years, compared with current production of 3,120 megawatts.
“France: Receives 78% of its electricity from nuclear power.
“Belgium: Gets almost 56% of its power from nuclear plants.
“Sweden: Close to 50% of Sweden's power is nuclear.
“Switzerland, Japan and the United States: Nuclear power provides 40%, 25% and 20%, respectively.
“Korea: Currently uses about 40%, operating on 19 nuclear reactors, and is expected to increase its dependence on nuclear power up to 60% in three decades.
“Asia: Nuclear energy is becoming more and more vital to the growing economies. Without it, Asia's bazillion factories would come to a grinding halt.”
I’m not a historical scholar by any stretch, but I am a big history buff and the history of atomic energy fascinates me. In the 1940s, the US government began buying large amounts of uranium in the effort to produce the world's first atomic bomb.
I mean, a country didn't simply go down to Wal-Mart in those days and buy some. So, it was a major undertaking. Don't laugh, maybe someday we will all have little nuclear reactors in our backyards, and instead of going to get some more wood for the fireplace, you’ll have to run to Wal-Mart to get a bag of uranium.
After the market woke up and new buying came in, the ultra-precious metal's price climbed another $4, which set the highest uranium price since the early 1980s. The new speculation was triggered by growing expectations that China, India and Russia were planning to build new reactors and more reactors would cause a run on the limited supply of uranium. This speculation may well be right, if the International Atomic Energy Agency (IAEA) stats are even close to true.
According to a report by the IAEA, 130 new nuclear power plants may be built in the next 15 years. Who are the big players? The usual suspects, of course: China, India, Europe, Russia, etc. Nuclear power provides about 16% of the planet's total annual electricity generation and 34% of the European Union's needs.
Trust me, they need it - a lot. When my wife Katrin and I were in Estonia recently, it was frigid cold. Likewise, people are freezing to death in Moscow, right now. Nuclear power is a key component to economic survival in both Eastern Europe and the European Union.
I couldn't believe some of the stats for other countries that I found in a great nuclear energy report called Uraniumletter International:
“China: Announced that it plans to build up to 40 nuclear reactors within the next 15 years. Some experts feel this will increase the amount of electricity generated by nuclear power from 2.4% to 4%.
“India: Also getting aggressive and wants to increase mining of uranium ore at four mines, including the existing Jaduguda mine in Jharkhand. The country recently signed a nuclear energy agreement with the United States and could generate 40,000 megawatts of nuclear power in the next 10 years, compared with current production of 3,120 megawatts.
“France: Receives 78% of its electricity from nuclear power.
“Belgium: Gets almost 56% of its power from nuclear plants.
“Sweden: Close to 50% of Sweden's power is nuclear.
“Switzerland, Japan and the United States: Nuclear power provides 40%, 25% and 20%, respectively.
“Korea: Currently uses about 40%, operating on 19 nuclear reactors, and is expected to increase its dependence on nuclear power up to 60% in three decades.
“Asia: Nuclear energy is becoming more and more vital to the growing economies. Without it, Asia's bazillion factories would come to a grinding halt.”
I’m not a historical scholar by any stretch, but I am a big history buff and the history of atomic energy fascinates me. In the 1940s, the US government began buying large amounts of uranium in the effort to produce the world's first atomic bomb.
I mean, a country didn't simply go down to Wal-Mart in those days and buy some. So, it was a major undertaking. Don't laugh, maybe someday we will all have little nuclear reactors in our backyards, and instead of going to get some more wood for the fireplace, you’ll have to run to Wal-Mart to get a bag of uranium.
