SAN FRANCISCO, CA--(Marketwired - December 28, 2015) - The price of uranium is still in the doldrums, but that will change soon -- and violently, says Rob Chang of Cantor Fitzgerald Canada. In this interview with The Energy Report, he explains that electric utilities will begin to run short of fuel even before 2020, when 33 additional reactors are expected to come on line. With that in mind, Chang predicts that prices could triple in the next few years, and highlights a half-dozen equities that will likely supply the increased demand and thereby deliver multiples to investors.
Included in this interview is: NexGen Energy Ltd. (TSX VENTURE: NXE).
The Energy Report:
Does cheap oil depress uranium demand?
Rob Chang: It shouldn't, because uranium is feed for nuclear power, whereas oil is more of a transportation energy source. Oil isn't commonly used as a source of base-load power supply. However, we have noticed that uranium equities seem to be greatly influenced by the oil price. For some reason or another, it does occur. But I wouldn't attribute the decline in uranium equities entirely to the decline in the oil price. There has been of late a flight from all commodities.
TER: Would you say the price of oil serves as an index of the strength of the world economy?
RC: Oh, absolutely. As global activity picks up, we see more construction and a greater use of…
Continue reading this interview: Gear Up for a Violent Uranium Price Strike: Cantor Fitzgerald's Rob Chang
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NexGen Energy Ltd. is a sponsor of The Energy Report. Rob Chang had final approval of the content of the interview and is wholly responsible for the validity of the statements. Opinions expressed are the opinions of Mr. Chang and not of The Energy Report or its officers. The interview does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility.
Source: Marketwired (Canada)
(December 28, 2015 - 9:00 AM EST)
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