(Ecofin Agency) - Uranium prices surged in recent months, peaking above $100 per pound in January 2024. The rise was spurred by a renewed interest in nuclear power. Long-term demand is also expected to increase, offering promising prospects for uranium-producing countries like Niger.

Global Atomic, a leading Canadian firm, has recently struck a significant deal with a prominent European nuclear power company. According to the letter of intent disclosed by the Canadian company, it could sell the European entity 260,000 pounds of uranium over three years, starting in 2026. The uranium would come from Global Atomic’s Dasa mine in Niger.

According to the letter of intent, Global Atomic has already inked similar deals with three buyers in North America. Overall, the Canadian company plans to sell 9.5 million pounds of uranium under these four contracts. At current prices, it would earn $770 million from the sales.

Global Atomic owns 80% of the Dasa mine in Niger. The Nigerien State owns the rest. The mine should begin production in 2026 and run for 23 years, producing 68.1 million pounds of uranium, according to estimates.

Emiliano Tossou