America will be plunged into darkness if Russia stops supplying the USA with Uranium as a form of pre-emptive counter-sanctions. This follows the placing of senior officials of the main Russian Uranium company under sanctions by the USA.
Amir Adnani, CEO and President of Uranium Energy Corp, told Michelle Makori, Lead Anchor and Editor-in-Chief at Kitco News that the USA has no local production capacity and has a demand of 60 million tones.
Uranium is used for nuclear weapons, electricity generation and is critical in the production of electrical vehicles battery chargers.
The USA stopped producing and is relying on decommissioned Soviet era warheads after signing the NEW START treaty with Russia following the Fukushima disaster in 2011.
The USA has now launched a strategic Uranium reserve modelled along the same line as the Petroleum strategic reserve.
Local USA producers can not start production until prices are above $60, while current prices are at around $51 and have put their mines under maintenance.
Alternatives that are available from the USA include paying a premium for USA Uranium producers to start producing above $60, or buying uranium mines overseas in politically stable countries.
Please watch the video below for more details.
