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On 7 February 2014 Cameco announced the following (note comments relating to soft demand and inventories):

The long-term outlook for the uranium industry continues to be very positive, despite the uncertainty that exists today.
Against the backdrop of the world’s growing need for safe, clean, reliable and large-scale sources of energy, nuclear
energy continues to play a significant role in the global energy mix. The challenge for the industry is the pathway and timing of the transition from today’s stagnant, over-supplied short-term market to the promise of nuclear growth and positive uranium market conditions in the long term.
Market conditions deteriorated in 2013 and we believe the uncertainty could continue, depending on how events
unfold. In particular, the slower than expected pace of Japanese reactor restarts, unexpected reactor shutdowns in
the United States and temporary shutdowns in South Korea led to demand erosion. Compounding the issue, the
supply side performed well: primary supply remained stable while secondary supply increased modestly, primarily
due to enricher underfeeding. The impact of these conditions was the extension of the post-Fukushima inventory
overhang and further downward price pressure.
This market dynamic also led to a reduction in market contracting activity. Utilities are well covered under long-term contracts for the time being and are not under pressure to buy. Similarly, existing suppliers appear reluctant to enter into meaningful contract volumes at current prices. The result was very low levels of long-term contracting in 2013 — around 10% of current annual reactor consumption estimates, highlighting a cordial stalemate between buyers and sellers. How this stalemate is resolved between buyers and sellers will be a key factor influencing the pace of market recovery.