Uranium futures rose past $85 per pound in January, the highest in 17 months, as signs of stronger demand in the longer term spurred fresh buying from physical funds. The US cut regulations on the construction and permits for uranium converters and enrichers and announced deals for the construction of new power plants. These include a partnership with Cameco, which approved the development of Westinghouse reactors, and a fresh $2.7 billion in contracts to Centrus and two other reactors and enrichers to offset the shun of supply from Russia following sanctions on their nuclear fuel. Bets of higher investment in the sector due to governments aiming to increase energy security and pledges of expenditure on power-hungry datacenters supported buying from physical uranium funds. Most recently, Sprott’s physical uranium fund, the world’s largest, increased its holdings by of yellowcake 100,000 pounds.
