nuclear-news

The News That Matters about the Nuclear Industry Fukushima Chernobyl Mayak Three Mile Island Atomic Testing Radiation Isotope

Uranium industry in permanent collapse? And thorium industry probably no better

Uranium Sector Won’t Catch A Break, Share Cafe, By Rick Mills September 23, 2019  One week ago Cameco announced it will maintain low output levels until uranium prices recover. The Canadian uranium miner also said it might cut production further, having already closed four mines in Canada and laid off 2,000 of its workers in the uranium mining hub of Saskatchewan.
News like this has stalked the uranium market for years, and while 2018 was a great year for the nuclear fuel, hope for a price pick-up is dim; once an important commodity at resource investing shows, uranium is now mostly ignored. Uranium bulls are as rare as white unicorns, having switched allegiance to metals that support Ahead of the Herd’s electrification of the transportation system thesis, like lithium, nickel and cobalt.  ….
No end to supply glut“We are not restarting mines until we see a better market and we may close more capacity, although no decision has been taken yet,” Cameco CEO Tim Gitzel told Reuters recently at the World Nuclear Association’s annual conference.

Just over a year ago Cameco made the difficult decision to close its MacArthur River and Key Lake mines, in response to low uranium prices, leaving the company’s flagship Cigar Lake facility as its only operating mine left in northern Saskatchewan, home to the world’s highest grade uranium deposit.

The mine closures by Cameco were preceded by 20% production cuts in Kazakhstan, the number one uranium-producing country. The former Soviet bloc country has said 2020-21 output will not rise above 2019 levels. In Canada, the second largest U producer, 2018 production was cut in half to 7,000 tonnes.

An estimated 35% of uranium supply has been stripped from the market since Kazakhstan’s supply reductions in December 2017…..

Eight years later, only nine of 33 remaining reactors have been re-started, and Japan’s nuclear operators are reportedly starting to sell their uranium fuel, as the chances fade of more reactors coming online, and adding to the six currently operating. Long-term contracts are also being canceled.

In another blow to the industry, Japan’s new environment minister, Shinjiro Koizumi, has said he wants all reactors shuttered to avoid a repeat of the Fukushima catastrophe that leaked radiation and forced 160,000 people to flee the area, many of whom have not returned.

As reactors close in the United States, Germany, Belgium and other countries, “traders and specialists say the market is likely to remain depressed for years,” Reuters reported in August.

Germany has pledged to shut down all its reactors by 2022 and the Belgian government has agreed to a new energy pact that will see nuclear power phased out over the next seven years…….

(makes case for thorium)….As far as disadvantages, thorium takes extremely high temperatures to produce nuclear fuel (550 degrees higher than uranium dioxide), meaning thorium dioxide is expensive to make. Second, irradiated thorium is dangerously radioactive in the short-term.

Detractors also say the thorium fuel cycle is less advanced than uranium-plutonium and could take decades to perfect; by that time, renewable energies could make the cost of thorium reactors cost-prohibitive. The International Nuclear Agency predicts that the thorium cycle won’t be commercially viable while uranium is still readily available………… https://www.sharecafe.com.au/2019/09/23/uranium-sector-wont-catch-a-break/

September 30, 2019 - Posted by | business and costs, thorium, Uranium

No comments yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: