The uranium oxide spot price remained steady this week, standing at US$41.50/lb on May 17, according to Ux Consulting Company. Three days earlier, TradeTech put the spot price for one pound of U3O8 at US$41.25.
It reported the sale by USEC of 226tU as UF6 (equivalent to 590,000lb of U3O8) on behalf of the US Department of Energy (DOE) as the main focus of the market.
There was a strong response from traders, producers and utilities all submitting bids as USEC was prepared to consider bids on lots down to 50tU as UF6. Winning bidders have been selected with their prices below TradeTech’s UF6 value of US$114.00/kgU as UF6, reflecting the modest slip of uranium prices since April 30. In addition to the sale of the DOE material, three other transactions were reported.
After the sale of the DOE stock on offer, sellers are turning to unsuccessful bidders, hoping for price advances. Nevertheless, supply levels remain in line with market demand. “Utilities continue to command lower prices than those paid by non end-users as buyers strive to drive more demand into the market,” said TradeTech in its latest market report.