June 9, 2026: Roughly 70% of utilities are contracting at triple digit prices

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This week on Uranium Spotlight Podcast: 

1. Term markets tell a different story
2. Utilities are already paying triple digits
3. China and Russia strengthen their uranium alliance
4. Japan moves further into the market

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Transcript

It’s June 9, 2026, and this week on Uranium Spotlight: the spot market drifts lower while long term prices remain firm, Cameco reveals utilities are already contracting at triple digit prices, China and Russia deepen their uranium partnership, and Japan accelerates its nuclear restart strategy.

Term Markets Tell a Different Story

The uranium spot price closed last week at $85.00 per pound U₃O₈, down $1.10 from the previous week. While the weekly move appears modest, the underlying market activity paints a more interesting picture.

Early in the week, buyers entered the market during the World Nuclear Fuel Market conference in Scottsdale, briefly pushing bid levels as high as $86.00 per pound. That buying resulted in a 100,000 pound transaction at $86.25 per pound and temporarily lifted daily pricing. However, the buying interest quickly faded, and activity remained relatively quiet through the balance of the week as conference participants returned home and sellers became more competitive.

What continues to stand out is the widening gap between the spot market and the longer term uranium market. While spot closed at $85.00 per pound, the long term price remains at $93.00 per pound. The three year forward price sits at $100.00 per pound, while the five year forward price stands at $107.00 per pound.

At the same time, utilities continue to pursue long dated supply. Several utilities are currently evaluating requests for proposals extending into the 2030s, with some seeking material for as many as seven to ten reload cycles. Others are conducting discussions outside the formal tender process as they seek additional coverage.

For investors, the key takeaway is that the spot market remains a poor indicator of where the broader uranium market is headed. Utility buyers continue to focus on long term security of supply, and forward pricing continues to suggest a significantly tighter market than spot prices alone would imply.

Utilities Are Already Paying Triple Digits

One of the most important uranium market comments of the past week came from Cameco President Grant Isaac, who revealed that utilities are increasingly locking in uranium supply contracts at prices that many investors would find surprising.

According to Isaac, the midpoint of new long term contracts being negotiated with Cameco customers is now at or above $120 per pound. He also indicated that roughly 70% of utilities looking ahead to 2027 are already contracting at triple digit prices. In addition, approximately 116 million pounds of uranium were placed under long term contract during 2025 in a market that consumes roughly 190 million pounds annually.

This helps explain one of the biggest disconnects in the uranium sector today. Many investors remain focused on the spot price, yet utilities purchase very little of their uranium through the spot market. Most reactor operators secure their fuel through long term agreements negotiated privately with producers years before the material is required.

For utilities, the objective is not necessarily obtaining the lowest possible price. Their primary concern is securing reliable fuel deliveries over decades of reactor operation. As concerns grow about future supply availability, utilities appear increasingly willing to pay higher prices to guarantee access.

Isaac also highlighted another important trend. Western utilities are finding it increasingly difficult to access uranium supplies from regions that were once considered dependable sources. Growing geopolitical divisions are reducing the number of jurisdictions from which western buyers can confidently source material.

For investors, this matters because uranium mine development is driven by long term contract pricing, not spot pricing. If utilities are already contracting at triple digit prices, the market may be sending a much stronger signal than many investors currently recognize.

China and Russia Strengthen Their Uranium Alliance

Another development last week received relatively little attention but could have important long term implications for global uranium supply.

China and Russia announced an expanded cooperation agreement covering uranium exploration, mining, processing and technology development. The agreement includes collaboration on low grade uranium extraction techniques, geological surveying and resource development. Similar geological conditions between the two countries make technical cooperation particularly attractive.

On its own, the agreement may appear largely technical. However, viewed within the broader geopolitical context, it highlights the growing alignment between two nations that already play major roles across the nuclear fuel cycle.

China and Russia are not only significant uranium producers themselves, they also exert influence through major state owned nuclear organizations with operations extending well beyond their borders. Their combined reach includes meaningful involvement in uranium producing nations such as Kazakhstan, Namibia and Uzbekistan, which collectively account for a substantial portion of global uranium production.

At the same time, western utilities are increasingly emphasizing origin assurances and supply chain security when negotiating new contracts. This trend reflects a growing recognition that not all uranium pounds are equally accessible, even when they exist physically within the market.

As the uranium market becomes increasingly segmented, geopolitical considerations may become just as important as geology when determining where future supply can realistically originate.

For investors, this matters because a shrinking pool of politically acceptable supply could tighten western uranium markets even if global production volumes remain unchanged.

Japan Moves Further Into the Market

Japan took another meaningful step toward rebuilding its nuclear fleet last week as the country continued advancing both reactor restarts and long term fuel supply arrangements.

Japan is currently working toward bringing back approximately 14 reactors while also pursuing construction of several new units. At the same time, Japanese and Kazakh interests announced a new nuclear cooperation agreement designed to strengthen fuel security and technological cooperation.

The significance of these developments extends beyond simple policy announcements. Bringing reactors back online ultimately requires physical fuel. Every restart translates into actual uranium demand, not merely projected demand.

Japan currently operates a fraction of the nuclear fleet it maintained prior to Fukushima. As additional reactors return to service, utilities will need to secure increasing quantities of uranium, conversion services and enrichment capacity. This demand arrives at a time when utilities around the world are already competing for long term supply.

One of the themes emerging across the uranium market is the transition from planning to execution. Investors have heard about reactor restarts for years. What matters now is that countries are beginning to move material, sign agreements and secure fuel.

That is why Japan’s return to the uranium market is significant. It represents actual demand entering a fuel cycle that already appears increasingly constrained. As noted in several recent market cues, physical uranium deliveries and fuel procurement activity are often stronger indicators than policy announcements alone.

For investors, this matters because every reactor restart increases competition for future uranium supply. Japan’s continued return to nuclear power adds another major source of demand to a market that is already showing signs of tightening.