RBC Capital Markets: Uranium Weekly (May 20, 2014)According to RBC Capital Markets:
May 20, 2014
Uranium Weekly
Ux spot price down $1.00 to $28.00/lb; TradeTech down $0.75 to
$28.25/lb
Spot Market
Ux spot price indicator was down $1.00 to $28.00/lb and TradeTech was down $0.75 to $28.25/lb. Ux reported that the continued decline in the spot price attracted additional demand and that multiple sellers dropped prices in order to secure business.
Ux reported 2.4 million pounds U3O8e in 16 transactions during May 2014 (month-to-date).
The 2014 YTD spot transaction volume is now 14.6 million pounds U3O8e in 110 transactions. At this time last year, the 2013 spot transaction volume was 16.6 million pounds U3O8e in 118 transactions.
Term Market
Ux term price indicator was unchanged at $45.00/lb, and TradeTech was unchanged at $45.00/lb (quoted monthly at month-end). Ux reported that term activity has picked up a little with a new US utility entering the market seeking up to 2.5 million pounds U3O8 over two periods beginning in 2016 and extending to 2020.
A non-US utility is seeking a total of over 7 million pounds U3O8 over multiple delivery periods beginning in 2016 and extending through 2025.
A non-US utility continues to evaluate offers for approximately 1 million pounds U3O8e contained in UF6 for delivery over a five-year period beginning in 2015.
A US utility is reviewing offers for nearly 3 million pounds U3O8e contained in UF6 or EUP to be delivered between 2014 and 2032.
A non-US utility is seeking up to 900,000 pounds per year U3O8e as either UF6 or EUP with delivery over the 2015 to 2020 time period.