The price of uranium is officially blasting off.

The spot price is now over US$78/lb with an asking price of $80/lb

One Wall Street model suggested a surge to $300/lb was possible in 2024.

Markets have not seen uranium prices this high since at least before the global financial crisis, in 2007/8.

The price of uranium has been moving higher throughout the second half of the year, as the supply side starts drying up.

Adding to the mix, physical uranium trusts are raising cash and buying up supply, putting even more upward pressure on prices.

Another major factor at play is that nuclear energy fuel buyers are typically not focused on daily movements of the spot.

Those utilities will come to market to buy whatever is available and as needed. This may lead to a squeeze in prices if any current nuclear plant operator needs supply chains to deliver more fuel.

What happened? 

Uranium Markets reported the price of uranium had risen to at least $78/lb with an asking price of $80/lb.

The price of uranium has been moving up rapidly since the middle of the year, as the supply and demand imbalance becomes more apparent to the investment community. 

Wall Street analysis this week suggested Uranium could run a lot higher. One model projects uranium would need to rise to at least $120/lb to attract more mines to open – with a potential to go as high as $300/lb in 2024.

The demand side is extremely bullish, with China and India committing to massive new nuclear power builds.

Their governments are trying to lock in long-term deals. France and China are looking to Central Asia to fill the gap.

Leading Western nations are set to announce a commitment to triple nuclear energy at the COP28 Climate Change summit in Dubai.

Sweden earlier today said it will commit to building 10 new nuclear reactors.