https://www.miningweekly.com

Bannerman hopeful on uranium price

7th September 2017

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

Font size: - +

PERTH (miningweekly.com) – Uranium developer Bannerman Resources is optimistic about the future of the uranium price, with CEO Brandon Munro telling delegates at the fifteenth yearly Africa Downunder conference, in Perth, that the current decade-low prices are unsustainable.

“The uranium spot price is languishing at a decade low price of $20/lb,” Munro said on Thursday.

“While all commodity markets are cyclical, and it is said that the best remedy for low prices is low prices, uranium has unique dynamics that point to an abrupt return to higher prices when its time comes,” he said.

Munro noted that owing to the long-term nature of nuclear power plants and the accompanying buying timeframes, uranium cycles were longer than most other commodities.

“We have been in a long-term bear market since the collapse of the Soviet Union.

“The recovery in the sector - bolstered by nuclear power’s clean, baseload attributes - has been coming since 2006, although the global financial crisis and then the Fukushima accident stalled the recovery.

“Because of the magnitude and depth of this bear market gestation period, we expect the next bull to be born large and to grow quickly.

“So now is a compelling time in the cycle for high-growth investment.”

Bannerman is currently developing its Etango uranium project, in Namibia, which was expected to deliver average yearly production of 7.2-million pounds of uranium oxide over an initial mine life of 15.7 years.

The project is estimated to cost some $870-million to develop.

Edited by Creamer Media Reporter

Comments

Latest Multimedia

Resources Watch
Resources Watch
21st February 2024

Showroom

Flameblock
Flameblock

FlameBlock is a proudly South African company that engineers, manufactures and supplies fire intumescent and retardant products to the fire...

VISIT SHOWROOM 
Rio-Carb
Rio-Carb

Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
Major hydrogen economy developments in SA
21st February 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.135 0.167s - 90pq - 2rq
Subscribe Now