This interesting snippet appeared on the TradeTech web site:

“One transaction is reported this week in the spot uranium market. A US producer has entered the market to sell 100 thousand pounds U3O8 for June 15 delivery; bids are due by May 30. Another seller is requesting bids on 200 thousand pounds U3O8 and 100 tU as UF6; bids are due June 1. Open demand now stands at just over 1 million pounds. Several buyers have made firm bids to buy, but no transactions have been concluded as of Friday, May 18. TradeTech’s Uranium Spot Price Indicator is $122.00, up $2.00 from last week, which represents TradeTech’s judgment of the price at which a willing buyer and willing seller would conclude a transaction.”

Apart from the $2/lb price rise we have another ‘Sealed Bids Only Please’ situation upon us. The bids are due by the 30th May for 100 thousand pounds of U3O8. We thought that we were cavalier in the past with our predictions of the outcome of such auctions and came up with a price that was too low every time.

So 8 days from now could prove to be very interesting indeed. Rumours will no doubt abound as so called inside information does the rounds regarding who is likely to bid what, which we shall ignore as only the result counts.

However the rumour will no doubt be bought so this should be a good 8 days for the prices of uranium stocks.