Japan reactor restarts should boost uranium shares

The restart of Japan's two reactors could spark a rally by uranium-mining shares, which have languished since the March 2011 disaster.

Recent steps to bring the first of 50 shuttered reactors back online have already bolstered long-term uranium prices, which rose last month for the first time since January 2011.

Analysts say the reactor restarts, expected to be approved on Saturday, will likely soothe equity investors, who pulled out of Cameco Corp and other uranium stocks en masse following the Fukushima nuclear accident.

"If Japan restarts reactors, that goes some way towards derisking nuclear power and therefore also the uranium sector," said BMO Capital Markets mining analyst Edward Sterck.

"Two reactors would just be a signal that Japan isn't abandoning nuclear power altogether," he added. "That could be a positive catalyst for uranium stocks."

Shares of Cameco, the world's largest listed pure play uranium miner, are down more than 40 percent since March 2011, when a massive earthquake and tsunami struck

For more.

Also Read

Why Japan wants LNG exporters to produce more despite weak domestic demand

India, US explore collaboration in grid modernisation

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit