Paladin Energy (ASX:PDN) said term contracting activity is a key factor in shaping the outlook for uranium prices, as nuclear utilities seek long-term supply amid growing demand for clean energy, according to a Wednesday filing with the Australian bourse.
The company noted that utilities have sourced over 90% of their uranium supply via term contracts over the past three years.
While term contract volumes have increased, they remain below replacement levels, with global nuclear utilities facing around 1 billion pounds of uncovered uranium requirements over the next decade.
Shares of the company rose nearly 4% in recent Wednesday trade.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.