Why is this important
The 3.7 trillion profit is the result of uranium price rising from $60 to $83.45 per pound and high demand. Demand is expected to increase by 28% by 2030 due to the return of nuclear energy to AI, data centers, and increased energy consumption.
What happened
- Profit for 9 months — 3.7 trillion (+28.6%), 3rd quarter — 1.9 trillion (+149.2%);
- Eurobonds of $300 million at 6.7% for 5 years on the London Stock Exchange;
- Plans to enter the IPO in the second half of 2026;
- The price of uranium increased to $83.45 per pound, which is the highest in a year;
- Demand is expected to grow by 28% by 2030;
- Fitch rating: BB/Stable; S&P review scheduled for November.
Uranium price
- $83.45 per pound: maximum for a year on the COMEX exchange.
- Growth: from $60 (beginning 2025) to $83.45 — by 39%.
Drivers:
- Purchase of investment funds (Sprott Physical Uranium Trust, Yellow Cake) for speculation on growth;
- Expectations of increased demand for nuclear fuel — return of nuclear energy;
- US plans to increase strategic uranium reserves for energy security;
- The increase in energy consumption of AI, data centers — the need for stable energy.
Uranium demand
The World Nuclear Association predicts a 28% increase in industry growth and uranium demand by 2030.
Reasons:
- The return of nuclear energy — abandoning coal, fighting climate change;
- Construction of new nuclear power plants in China, India, Europe, and the USA;
- Extension of the operating period of old nuclear power plants;
- Small modular reactors (SMR) are a new trend.
Navoiyuran
- The largest producer: Uzbekistan ranks 7th in the world in uranium production (~3500 tons/year), 2% of global production.
- Deposits: Navoi region — Uchkuduk, Zarafshan.
- Export: Russia, China, Europe, USA.
Context
- Nuclear energy is returning: after Fukushima (2011), many countries abandoned nuclear power plants, but now they are returning due to the fight against climate change, abandonment of coal, increased energy consumption by AI, and data centers.
- USA, Europe, China are building nuclear power plants: USA invests in small modular reactors (SMR), Europe extends the operation period of nuclear power plants, China is building 20+ new stations.
- Investor funds are buying uranium: Sprott Physical Uranium Trust, Yellow Cake are buying physical uranium to speculate on price increases.
- Uzbekistan is the 7th producer: 3500 tons/year, 2% of the world market. Expansion of production to 5000 tons/year by 2030.
- IPO is a historic event: the first placement of a state-owned company on international exchanges will attract $500-750 million, increase transparency, and diversify financing.
