Positive price drivers for uranium

Dundee's David Talbot Charges Ahead, Confident that Uranium Has a Bright Future 9/4/15

We have several catalysts. First is the Olympic Dam mill shutdown and the fire at the Rössing uranium mine. A mill shutdown due to electrical failure at the largest of three operating mills at Olympic Dam threatens 3–4 Mlb of global uranium supply in 2015 (~10% of spot demand). Details are still emerging from a fire at Rössing's product recovery plant, but mining/production appears unharmed (5.2 Mlb per annum).
Second is Russia/Ukraine fallout. With ongoing strife in the region, concerns about European Union/U.S. sanctions against Russia continue. This could impact both primary and secondary supply, enrichment capabilities and potentially banks that deal in the sector.
Russia, in general, is very aggressive. The country is working hard to become the one-stop shop for nuclear power: finance and build the reactors, supply and enrich the uranium, recover it at the end of the day. The Russians have a contract book of more than $100 billion, and have recently signed deals with Jordan and India, etc.
The third catalyst is Japanese restarts. We remain cautiously optimistic on restarts of the two Sendai reactors receiving Nuclear Regulation Authority and community approvals. It is possible the restarts are being pushed back to August—that would be 13 months after they received approvals. Two Takahama reactors have also received approvals, with restarts expected later this year, But if those restarts take as long as Sendai, then we might see them pushed into next year. Japan is a psychological driver—not a really demand catalyst at this stage.
"In this atmosphere of perennial uncertainty, the uranium producers are outperforming the developers and the explorers."
A fifth catalyst is Chinese resurgence. Three reactors were completed in 2014, but no new reactors broke ground until recently. Resurgence is now expected, with five reactors expected to start construction. Expect aggressive U3O8 procurement to continue. China comprises about 40% of the reactors under construction globally right now. In total, 26 reactors are being built, and by 2020, China could have about 14% of world nuclear generation capacity, up from about 6% now. And with that, we would expect its demand to increase to about, let's say, 32 Mlb from about 21 Mlb currently—and that has a chance to double again, to about 64 Mlb by 2030. China is a huge driver here.
India is also, potentially, a large driver. There are 21 reactors in use and six under construction, but the planned reactors are in third as far as growth, only behind China and Russia. It looks like the industry is setting up accident insurance policies in an effort to cope with the nuclear liabilities laws that are in place. This should help kick-start a resurgence of build in India.