China's Nuclear Plans Power Uranium
Source: The Australian, Robin Bromby (6/29/09)
"An official launch has just been staged at Fuqing. . .for a new nuclear power station."
It will have six reactors, be completed in 2014 and have generating capacity of 6000 megawatts.
To give you some idea of how big that is, the Snowy Mountains hydro stations have a combined capacity of 3800MW.
And Fuqing is just one of seven new power plants in China that have been given the green light.
The Dutch are about to clear the way for a new plant due for completion in 2018, the foundation plate has been laid for the Leningrad II nuclear plant in Russia, and Bulgaria—once it can get the financing—will get two reactors off the drawing board. It also looks like the South Africans are getting back on track to commission at least one nuclear power station.
Spot uranium keeps gaining ground week by week, up another $US1 a pound to $US54/lb last week.
The base metals complex remains a chancy game; one broker has put a sell on nickel, and it's anyone's guess as to what the Chinese are going to do. If Beijing decides enough copper, tin and zinc has been stockpiled, then you would expect more price uncertainty. And gold? Yes, but economic forecasts range from deflation to hyperinflation, so it's a case of hoard and hope.
That's why uranium seems to be one of the surer bets at the moment. Energy demand will continue to increase. Nuclear will have its place at the table.