Uranium Price Correction May Hurt Prospects for New Discoveries

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In a presentation to the Northwest Mining Association annual convention, Haywood Securities Investment Banker Nicole Adshead-Bell noted that "the precipitous drop in the spot uranium price has diminished the ability of exploration and mining firms to raise capital."

Haywood Securities Investment Banker Nicole Adshead-Bell Wednesday asserted that the recent correction in the price of uranium "is likely to lead to a reduction in the speculative capital" for high risk uranium exploration, as well as decrease the possibilities for new discoveries.

In a presentation to the Northwest Mining Association annual convention, Adshead-Bell noted that "the precipitous drop in the spot uranium price has diminished the ability of exploration and mining firms to raise capital."

Meanwhile, Haywood's research has found that uranium production has been inelastic to commodity price movement...

Only five mines now supply 51% of global primary uranium production, according to Haywood Securities.

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