RE:RE:RE:TD commentsThe answer to that is because many of the larger nuclear utilities in the states are not sure whether the current pricing environment for their power is conducive to operating their nuclear plants for another 10 years or whether their water rights for cooling water will be continued. No utility is going to lock in a 10 year supply if the plants will be shutdown in 5 years. However I think those issues will be resolved by politicians who really do not like the lights going off on their watch. Once these issues are resolved as they have recently in New Jersey utilities will have more certainty and will be back in the term market in droves. Watch the State politics going on and you will see what I mean. Malcolm
MegaMAxTZ wrote: Very unlikely MR will reopen in 2019 unless U prices have exploded. From what I understand , even if they chose in November of 2018 to reopen McCarthur R, it would be summer of 2019 at the earliest before LBS could be loading onto trucks.
Better to leave the LBS in the ground until they are getting $ 60 +/LB. I suspect that is the plan anyway - question is when $ 60 will return as a market price. If the Utilities really are acting as a herd, then they will all jump at the same time or in a very compact time frame.
As I have suggested before, why does XYZ Utility not walk into CCJ and say OK sign me up for $ 58 for 10 years . I suppose because they would not write up this deal because why sell at $ 58 if prices go north of $ 100.
MM