Mestena Uranium Auction Expecting Aggressive Bidding

By the end of March, Mestena Uranium LLC is expected to offer another 100 thousand pound U3O8 for sale through a sealed-bid auction. Each spot uranium auction conducted by Mestena has resulted in strong price increases in the spot uranium market. ”Bidding is expected to be aggressive,” wrote Nuclear Market Review

”The market is already under upward price pressure due to thin supply,” said Klingbiel. The uncertainty of supply accompanying the recent flooding at ERA’s Ranger mining operations in Australia has not yet worked its way through the market. ”Several parties are nearing completion of negotiations of deals,” Klingbiel wrote. With nine buyers hoping to obtain about four million pounds U3O8 equivalent, ”more demand (is) on the horizon,” she added. Much of the current demand depends upon how soon ERA can bring Ranger’s operations back to the expected production level.