This week’s single-name stock report covers Uranium Energy Corp. (NYSE: UEC), a North America-based uranium mining company with operations located across Texas, Wyoming, Canada, and Paraguay. The firm has undergone some interesting steps in recent history as they have taken a pause on mining operations with plans to restart operations in the near-term.
The economics for uranium appear to be lining up for the firm as 2024 demand is expected to be 198MMlbs of U3O8 with production expected to only supply roughly 162MMlbs with 36MMlbs being taken from inventory. This spread is expected to widen in the coming years as more power capacity becomes dependent on nuclear reactors. UxC anticipates this dispersion to increase to 54MMlbs in 2025 and 402MMlbs by 2033. This research firm also anticipates nuclear energy production to triple by 2050 as more nations pledge to eliminate carbon emissions. The Nuclear Energy Institute estimates 300 SMRs (small modular reactors) will be added to the grid across the US over the next 25 years.
Comparing my uranium futures chart as published in Is Uranium In Another Bubble? (NYSEARCA: URNM) & (NYSEARCA: URA), I was pretty spot on in modeling out future performance of uranium prices. The first chart depicts the original chart published on December 5, 2023, followed by the current chart.
Pretty cool when the market agrees with you. Might be time for you to follow the market and upgrade that subscription to a premium subscription so you can make some money in the market, too!
Uranium Energy Corp. (NYSE: UEC): Uranium Producer In The Wild West
Uranium Energy Corp. (NYSE: UEC) is a domestic, pureplay uranium mining company with two in-situ recovery uranium mining projects in South Texas and Wyoming. Each of these projects is fully licensed with operating processing capacity at their two processing facilities, Hobson and Irigaray. In addition to these projects, UEC has 7 additional projects with permits in place with locations across the US, Canada, and Paraguay.
Keep reading with a 7-day free trial
Subscribe to ThePeachPit to keep reading this post and get 7 days of free access to the full post archives.