Spot Price of Uranium Climbs

After months of being range bound the spot price of Uranium oxide has climbed 15% from its year low of $45 a pound two months ago.

This has been reflected in renewed interest in uranium miners with Denison Mines (DNN) gaining over 52 cents to $1.70 at the New York close on Friday.

Other uranium miners became active with Cameco Corporation, the worlds biggest producer and UEX Corp putting on substantial gains.

The rise has been prompted by Areva S.A. applying for government approval to build its first uranium enrichment plant in the US as interest in nuclear power returns with the advent of a new administration.

Uranium producers have seen substantial falls in their stock prices since peaking a year ago with Denison down by 80% and UEX losing 90%. Both have mining agreements with Areva.    

Tags: