Uranium price hikes in Niger
Price of uranium in Niger has recorded a slight hike following the recent military coup. The spot price of uranium, used for nuclear energy and medical purposes, rose slightly from $56.15 to $56.25 per pound after the military coup.
Increase may be due to concerns about potential disruptions to uranium mining operations. It has led to the detention of senior politicians, including the mines minister, and has defied international calls for the restoration of democratic rule.
Market demand
The market has been experiencing tight supply and increasing demand, with a nearly 40% year-to-date increase in the uranium spot price. Niger is the world’s seventh-largest producer of uranium, accounting for about 4% of global uranium supply.
According to Ben Godwin, head of analysis at London-based Prism Political Risk Management, the coup in Niger could have implications for uranium supply and demand dynamics, especially in Europe. While the European Union’s nuclear agency, Euratom, sees no immediate risk to nuclear power production in Europe due to uranium delivery cuts from Niger (thanks to existing inventories), there could be financial implications for Niger. About half of Niger’s uranium exports currently go to France and the wider European Union.
