Last year's COP28 climate change conference concluded with the participating countries pledging to triple global renewable energy capacity by 2030. That should bolster demand for uranium (UXG24), a critical raw material used to generate nuclear power, that's already been enjoying a boost in popularity. In fact, in September 2023, the World Nuclear Association stated that demand for uranium for nuclear plants is expected to rise to 83,840 tonnes by 2030, and 130,000 tonnes by 2040 - up from 65,650 last year.
At the same time, a significant supply bottleneck has emerged. Kazatomprom, the world’s leading uranium producer, sent ripples through the market after slashing its production forecast due to "challenges related to the availability of sulphuric acid.”
