World Gone Green Good for Uranium Miners
Source: Uranium Investing News, Melissa Pistilli (11/11/09)
". . .while the supply side is expected to be in a surplus over the short-term, the longer term outlook is still bullish "
Countries like China, South Korea, Russia, Japan and even the United Kingdom have made it clear they are moving toward nuclear to supply a greater portion of their energy needs.
The latest news comes out of the UK. The nation's Energy and Climate Secretary Edward Miliband announced this week that 10 new nuclear sites will be built across the UK over the next 15 years in order to cut carbon emissions while meeting the country's energy needs.
"The threat of climate change means we need to make a transition from a system that relies heavily on high-carbon fossil fuels to a radically different system that includes nuclear, renewable and clean-coal power," said Secretary Miliband.
The first nuclear plant of what some are calling "one of the world's most ambitious expansions of nuclear-power capacity" is expected to come online by 2018. Many of the 10 plants will replace existing reactors that will soon reach the end of their life. This way, the plants will be in areas that already support nuclear power.
Presently, nuclear power is responsible for about 13% of the UK's energy production. By 2025, that number is expected to rise to 25%.
"Change is also needed for energy security," said Miliband. "In a world where our North Sea reserves are declining, a more diverse, low-carbon energy mix is a more secure energy mix, less vulnerable to fluctuations in the availability of any one fuel."
Increasing global demand for nuclear power equals increasing demand for uranium supplies. And while the supply side is expected to be in a surplus over the short-term, the longer term outlook is still bullish.