Thrifty Banker
  • Politics
  • Business
  • World
  • Investing
  • Politics
  • Business
  • World
  • Investing

Thrifty Banker

Investing

Justin Huhn: Uranium Facing “Supply Black Hole,” Price Spike Likely

by September 27, 2023
September 27, 2023
Justin Huhn: Uranium Facing “Supply Black Hole,” Price Spike Likely

With aboveground mobile inventory now snapped up by the likes of the Sprott Physical Uranium Trust (TSX:U.U), Justin Huhn, founder and publisher at Uranium Insider, believes the uranium market has reached an inflection point.

‘The only inventory that exists right now in the world is strategic — this is held by nuclear utilities, and their inventories historically speaking are relatively low, and by nation states,’ he said, adding that he sees a ‘supply black hole’ emerging in the mid-term. That could have major consequences for prices moving forward, as well as for uranium equities.

Emphasizing the fragility of uranium supply, Huhn described it as ‘a big fat question mark.’

‘Finally we’re at this moment in time where the supply side has gotten so squeezed, for lack of a better word, that very, very low-volume demand in the spot market is moving the price significantly — and this is a big wakeup call to utilities,’ he said.

‘We don’t even approach anything resembling a balanced market until we’ve got Dasa producing, Honeymoon producing, all of the US in-situ recovery producing,’ Huhn continued, also mentioning Denison Mines’ (TSX:DML,NYSEAMERICAN:DNN) Phoenix deposit and NexGen Energy’s (TSX:NXE,NYSE:NXE) Arrow project. ‘Best-case scenario, we’re talking five years from now, and even then it’s like a moment in time snapshot — supply maybe reaches that structural demand,’ he added.

And of course, structural demand doesn’t account for inventory builds, or elements like small modular reactors. ‘It’s a structurally undersupplied market, and nobody knows where that relief is going to come from,’ Huhn said.

He encouraged investors not to ‘FOMO into positions,’ and to instead have a steady hand.

‘I think we’re healthily in the next leg up in this market, and the uranium price should continue to move meaningfully higher, potentially into a spike scenario,’ he said. ‘You want to have a seat at the table when that happens — don’t get too cute with trading in and out of positions, just hang on. It’s a volatile ride, but it can be a very, very rewarding sector to invest in for various reasons, and the volatility is one of them. You can’t have the upside volatility without the downside volatility.’

Watch the interview above for Huhn’s full thoughts on the topics discussed above.

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com
0
FacebookTwitterGoogle +Pinterest
previous post
Helium Evolution’s Farmout Well Encounters Helium, Proceeding With Completion and Testing
next post
How to Invest in Genetics (Updated 2023)

Related Posts

Alluvial Mining: Gold, Diamonds and Platinum (Updated 2023)

September 7, 2023

Galloper Gold

March 2, 2024

More Exceptional Metallurgical Results from McDermitt

January 20, 2024

Rare Earths Stocks: 8 Biggest Companies in 2024

January 12, 2024

Tech 5: Trump to Prioritize Crypto, Biden Blocks...

January 19, 2025

Carbon Done Right Developments Inc. Provides Update on...

June 1, 2024

Uranium Reserves: Top 5 Countries (Updated 2023)

August 9, 2023

Top 5 Canadian Mining Stocks This Week: Onyx...

June 28, 2025

Top 10 Emerging Technologies to Watch in 2024

May 24, 2024

The Lifecycle of a Mine: Discovery to Reclamation...

September 13, 2023

    Sign up for our newsletter to receive the latest insights, updates, and exclusive content straight to your inbox! Whether it's industry news, expert advice, or inspiring stories, we bring you valuable information that you won't find anywhere else. Stay connected with us!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Popular

    • 1

      Understanding Lithium Mineralogy from an Investment Perspective

      September 12, 2023
    • 2

      Top 10 Countries for Natural Gas Production (Updated 2024)

      April 6, 2024
    • 3

      US Capital Global Facilitates $50MM Financing to Accelerate Charbone Hydrogen’s North American Expansion

      June 6, 2025
    • 4

      A GOP operative accused a monastery of voter fraud. Nuns fought back.

      January 3, 2025
    • 5

      Israel confirms it is arming Hamas rivals in operation opposition calls ‘complete madness’

      June 6, 2025
    • 6

      Crypto Market Recap: Strategy Eyes US$1B Raise for Bitcoin Push, UK Regulator Reverses ETN Ban

      June 6, 2025
    • 7

      China’s aircraft carriers send message in the open Pacific for the first time – and bigger and more powerful ships are coming

      June 16, 2025

    Categories

    • Business (1,065)
    • Investing (2,098)
    • Politics (2,977)
    • Uncategorized (20)
    • World (3,407)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: thriftybanker.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thriftybanker.com | All Rights Reserved