Wallace Refiners has launched its 2021 Outlook, which offers the most comprehensive coverage of precious metals markets in the new year. Trillions of dollars were pumped into financial markets in 2020 and that won’t come without consequences. Economists expect that investors will be Bracing For Inflation in 2021.
(Wallace Refiners) – The International Atomic Energy Agency (“IAEA”) reported today that the world has sufficient uranium resources to support the long-term use of nuclear energy.
In recently released latest edition of “Uranium – Resources, Production and Demand” report, also known as the “Red Book”, IAEA, together with the OECD Nuclear Energy Agency (“NEA”), showed that the global uranium resources have increased, but more modestly than in previous years.
According to the Red Book, the world’s conventional identified uranium resources amounted to 8,070,400 tonnes of uranium metal (tU) as of 1 January 2019.
Compared to the total reported in the 2018 edition, this is an increase of 1%.
However, global uranium exploration expenditures decreased to approximately USD 0.5 billion in 2018, a significant drop from USD 2 billion in 2014. This trend could signal market issues in the longer-term.
Global uranium mine production decreased by 10.8% from 2017 to 2018 due to production cuts resulting from poor market conditions but increased slightly by 1% to 54,224 tU in 2019.
Furthermore, planned uranium production cuts in early 2020 were deepened by the onset of the COVID-19 pandemic, and its effects could be felt through 2021 and beyond.
IAEA concluded that the uranium resource base described in the Red Book is more than adequate to meet low and high case uranium demand through 2040 and beyond.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Wallace Precious Metals The author has made every effort to ensure accuracy of information provided; however, neither Wallace Precious Metals nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Wallace Precious Metals and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
