ASX uranium stocks go gangbusters as the world turns to nuclear energy
Australia’s three biggest uranium shares have hit 10-year highs in 2023
Australia’s three biggest uranium shares have hit 10-year highs in 2023
Uranium is set to play a major role in the world’s green energy transition, with many nations proactively developing their nuclear energy capacity to reduce their reliance on fossil fuels for power generation in the future.
Whilst most nations are pursuing renewables and green energy storage systems as their definitive long-term solution for climate change, it is likely not possible to develop enough wind and solar technology and infrastructure quickly enough to replace fossil fuels in time to meet 2050 net-zero emissions targets.
On top of this, volatile oil and gas prices amid supply uncertainty have enhanced the interest in nuclear power. The pandemic and Russia-Ukraine conflict created significant oil supply disruptions, OPEC has recently placed limits on production, and the Israel-Gaza war may make the situation even worse. AMP Chief Economist Shane Oliver says the global oil price could rise to US$150 per barrel – up from the low $80 range today – if Israel and Iran commence a military engagement.
Against this backdrop, nations are rushing to embrace nuclear technology to act, at least, as an initial first step on the road to a green energy future. According to the International Atomic Energy Agency (IAEA), there are approximately 440 reactors in operation across 32 countries today, with 56 new ones under construction. Monash Investors estimates there are another 100 reactors in the advanced planning stages across 17 countries. China alone is expected to build 32 new reactors by the end of the 2020s.
Surging demand for uranium has been met with low existing inventories. This has created a perfect storm for the global uranium price, which is now at a 12-year high of US$73 per pound. The rising uranium price has made it economical for many mining companies to restart dormant mines and develop new ones in the face of new and likely ongoing long-term demand. “We see prices rising year-on-year for the next 10-20 years or till the world finds another source for large scale uninterruptible base load power with a low carbon footprint,” SP Angel mining analyst John Meyer told Reuters recently.
All of this has led to skyrocketing share prices for ASX uranium stocks this year.
In Australia, nuclear energy is banned. The Federal Opposition has been arguing to include nuclear energy in the mix for Australia’s own green energy transition. The Albanese Government disagrees, advocating for continuing renewables development instead. Federal Energy Minister Chris Bowen says developing local nuclear energy production is too expensive. He says recent modelling shows it would cost $387 billion to replace Australia’s coal-fired power plants with small modular reactors.
The three biggest pure-play uranium shares on the ASX have outperformed the broader market exponentially in 2023. While the S&P/ASX 200 Index has lost 2.5% of its value, Australia’s biggest listed pure-play uranium miners have exploded with share price growth of 40% to 115% between them.
Paladin Energy is the biggest pure-play uranium stock listed on the ASX, with a market capitalisation of $2.81 billion. The Paladin Energy share price closed on Monday at 95 cents, up 43% in 2023 so far. The stock reached a decade-high price of $1.15 in September. According to a survey of analysts on CommSec, five out of seven analysts covering Paladin Energy shares rate them a strong buy.
Boss Energy has a market capitalisation of $1.59 billion. The Boss Energy share price closed on Monday at $4.37, up 115% in 2023. It hit an all-time record price of $4.98 in September. Three out of six analysts covering Boss Energy shares rate them a hold.
Deep Yellow has a market capitalisation of $963 million. The Deep Yellow share price closed yesterday at $1.27, up 85% in 2023. The stock cracked a 10-year high of $1.41 per share in October. Three out of three analysts covering Deep Yellow shares rate them a strong buy.
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The Matildas captain has joined one of the world’s most exclusive luxury watch brands, sharing candid insights into the sacrifices required to succeed at the highest level of world football.
Australian football superstar and Matildas captain Sam Kerr has joined one of the world’s most exclusive luxury watch brands, reflecting on the sacrifices behind a career at the pinnacle of professional sport and revealing she only signed with her new club last week.
As Richard Mille’s first and only Australian partner, Kerr has joined an elite group of global athletes, artists and innovators associated with one of the world’s most prestigious watchmakers.
Speaking in Sydney, the 32-year-old reflected on her next chapter, the extraordinary growth of women’s football and the personal sacrifices required to reach the top of the game.
Founded in 2001, Richard Mille has built a reputation for producing some of the world’s most technically advanced and exclusive timepieces. The Swiss watchmaker is renowned for its use of ultra-lightweight materials, Formula One-inspired engineering and limited-production watches that often sell for hundreds of thousands of dollars and, in some cases, more than $1 million.
Its ambassadors include tennis great Rafael Nadal, Formula One stars Charles Leclerc and Lando Norris, actress Michelle Yeoh and sprint champion Shelly-Ann Fraser-Pryce.
During the Sydney event, Kerr wore the Richard Mille RM 07-04 Automatic Sport, a lightweight model featuring a pink case, blue strap and skeletonised movement. Designed for active lifestyles, the watch reflects the brand’s philosophy of combining high-performance engineering with luxury craftsmanship.
For Kerr, becoming the brand’s first Australian partner is a source of considerable pride.
“Of course, being the only Australian is incredible to me,” she said. “I am very proud to be Australian and I like to put Australia on the map.”
The announcement comes as Kerr prepares for the next stage of her football career following her departure from Chelsea after six-and-a-half years.
While speculation around her future has been mounting for months, Kerr revealed a decision was only finalised recently.
“Everyone thinks that it was decided and I’ve known that (it was) reported that I’d signed somewhere in April, but honestly, I only signed my contract on Wednesday last week,” she said.
“I really hadn’t decided what I was going to do until last week.”
Kerr said she expects details of her new club to be announced around the beginning of July once her Chelsea contract officially concludes.
Despite her excitement about what lies ahead, she admitted leaving one of the world’s biggest football clubs has been emotional.
“I am really sad about it,” she said. “It’s been my home for 6.5 years. I have so many good memories there. I have so many amazing teammates. I’m sad to leave.
“It sucks to leave such a big club like Chelsea too, but it comes to an end to everything, right?”
The 32-year-old also reflected on the transformation of women’s football during her career, describing the Matildas’ rise from relative obscurity to household-name status as one of her proudest achievements.
“What the Matildas have done over the last four or five years has been incredible,” she said.
“The most important thing for me is that you leave the game in a better place.”
Kerr noted that when she began playing, there were few professional pathways for women, limited sponsorship opportunities and crowds that bore little resemblance to those regularly attending matches today.
“We are a part of that generation that still knows what it was like when there was no one in the crowd,” she said.
Today, she said, crowds of tens of thousands remain something the team never takes for granted.
“Even last night we had 20,000 on a Tuesday night nearly. That’s special to us,” she said.
“We feel very lucky that people come out and spend their money and come to a game and watch us.”
Yet behind the accolades, sponsorships and sold-out stadiums, Kerr said there have been significant personal sacrifices.
“I’ve been living out of home since I was 17 years old. I’ve missed a lot of my family’s life,” she said.
“I’ve missed a lot of weddings. I’ve missed funerals. I’ve missed so many things that people don’t see.”
Kerr revealed she was unable to return home for her grandmother’s funeral last year because of football commitments.
“You have to love what you’re doing. You have to want to sacrifice,” she said.
“Everyone makes sacrifices, of course, and what I do is a massive privilege, but there comes a lot of sacrifice with it.”
Away from football, Kerr said Australia remains central to her identity despite spending much of her adult life overseas.
“I think we take for granted in Australia the beaches, the ocean, the open spaces,” she said.
As she prepares for a new club, a new season and a new role with Richard Mille, Kerr said she remains motivated by the same passion that first drew her to the game as a teenager.
“It was really organic,” she said of her relationship with the luxury watchmaker.
“It’s a real family brand.”
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