ABARE predicts supply deficit 2009

–“World uranium requirements are forecast to increase faster than world supply in 2009,” the agency reports. “As a result, the uranium market is expected to remain in deficit for a sixth consecutive year. Supported by this deficit, spot prices are forecast to recover gradually in 2009 to end the year at around US$62 a pound…In 2010, the spot uranium price is forecast to average around US$70 a pound, an increase of 35 per cent on 2009 prices. Strong consumption growth and a decline in secondary supplies of uranium are forecast to support this price increase.”