interesting article, page-3

Another article on U308 pricing:

Potash rising, uranium falling: report


By Cassandra Kyle, Saskatchewan News Network; Canwest News ServiceMarch 30, 2010



A new pricing outlook that touches upon Saskatchewan's two most popular commodities sees the minerals taking different paths to a more stable future.

The author of Scotiabank's commodity price index, released Monday, believes uranium has just reached its lowest price point while potash is steadily climbing from its bottom pricing level and is headed toward a successful first quarter.

Patricia Mohr, a commodity market specialist with the bank, said uranium reached its low in early March at $40.50 US per pound. It has since moved up to $42.25 US as producers pulled product from the market in hopes the price would stay above the $40 US level, she said.

"It really has moved down quite substantially in the past six months," Mohr said, explaining the sale of a large amount of uranium in the United States, increased global production in 2009 and a decrease in utility requirements for uranium supplies have helped to push down the value of uranium.

"I think this year will continue to be a year of lower prices for uranium, mostly because the uncovered utility requirements in OECD (Organization for Economic Co-operation and Development) countries are quite low," she said.

The drop in the price of uranium has affected the equity value of senior and junior uranium companies alike, Mohr said.

However, she added, prices for the radioactive commodity are set to rise in the coming years.

Mohr estimates spot uranium prices will improve to $55 US per pound in 2011 and $60 to $70 US per pound between 2012 and 2014.

(http://www.leaderpost.com/business/Potash+rising+uranium+falling+report/2741761/story.html)


Cheers, Skip