Bannerman Poised to Break Out, page-349

In my opinion, the Kazatomprom news was a huge catalyst for the sector because Kazatomprom was often regarded as the bear case for the uranium thesis, with the idea that they could just turn the taps on and flood the market with uranium. But this announcement on Friday from Kazatomprom completely invalidates that idea, especially when you combine the issues listed in the RNS below with the exodus of high level management they have had over the last few years.



The utilities will have also been relying on Kazatomprom to be the ones to balance the supply demand deficit in the market and now they will be viewing Kazak supply with skepticism rather than optimism. With little supply response to these higher uranium prices possible from Kazatomprom and increasing geopolitical risks, I don't know what will balance this supply deficit over the coming years.