CGN Mining (01164) Surges Over 6% as Long-Term Contract Prices Confirm Robust Industry Demand, Uranium Supply-Demand Structure Remains Tight

Stock News11:22

According to Zhi Tong Finance APP, CGN Mining (01164) rose over 6%, up 6.05% as of press time, trading at HK$2.19 with a turnover of HK$88.2412 million.

On the news front, long-term contract prices continue to hit new highs, confirming the rising prosperity of industry demand. Since August, the UxC natural uranium long-term contract price has continued to climb to US$96.5 per pound, up US$1.0 per pound month-on-month. Huaxi Securities stated that on the supply side, the release of new uranium production capacity globally remains rigid, with capital expenditure and geological exploration cycles lasting several years, severely limiting the industry's marginal supply elasticity. On the demand side, the trading center and premium in the long-term agreement market continue to widen, and the rigid demand for locked volumes from downstream utilities and technology giants continues to strengthen. After the annual symposium of the World Nuclear Association in London, expectations for a global long-term supply-demand gap further intensified, with some leading producers signing new long-term contracts at a price center reaching US$120 per pound. Meanwhile, large technology companies in North America and Europe are accelerating their binding of nuclear power capacity to meet the massive demand from AI data centers for zero-carbon, stable baseload electricity.

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