RE:Yellow Cake 3,5Mlb+1Mlb buying is 4,5M near term spotbuying!Napalm1, when this is all over I think we all owe you a nice bottle of scotch. That's a lot of bottles.
Napalm1 wrote: Yellow Cake raised 110 + 30 million USD lately:
- 110M USD to buy 3,5M lb U3O8 from Kazatomprom at 28,95 USD/lb. But Kazatomproms operational U3O8 reserve (they aime 6 to 8 months of operational reserve) is too low since early 2020. That’s why Kazatomprom has been buying U3O8 in the spotmarket in 2020 and will buy more in the spot in 2021. ==> They will need to buy those 3,5M lb U3O8 in the spot too to fulfill their sell to Yellow Cake (purchase option: Yellow Cake has the initiative here, not Kazatomprom!)
- 30M USD to buy U3O8 +-1M lb U3O8 from elswhere then Kazatomprom, meaning directly from the spot.
That’s 4,5M lb U3O8 that will be purchased WITH PHYSICAL DELIVERY in the spotmarket, while the total annual volume traded in the spotmarket (mainly back and forth transactions WITHOUT PHYSICAL DELIVERY) was:
- 63,3 million lb in 2019
- 92 million lb in 2020
Next:
- big brother Uranium Participation buying U3O8 in the spotmarket (like Yelow Cake, phase2)
- hedge funds buying U3O8 directly in the spot (phase3)
- Cameco, Kazatomprom, Orano, Peninsula Energy, ... buying U3O8 in the spotmarket
Cheers