Feb 28 Canada’s Cameco Corp, the
world’s second-biggest uranium producer, said on Tuesday it may
not be finished cutting production as prices remain low after a
major customer cancelled a supply contract.
Spot prices of uranium, used to fuel nuclear reactors,
dipped to a 13-year low late last year and have rebounded only
modestly in 2017. They have stayed stubbornly weak since a 2011
tsunami in Japan led to the shutdown of all the country’s
This month, Tokyo Electric Power Company Holdings Inc
(Tepco), the operator of the wrecked Fukushima nuclear
plant, said it was scrapping its uranium supply contract with
"2017 could make us look at changes to our inventory
position, our production profile and our purchasing activity;
all of those effects of the Tepco situation," Cameco Chief
Executive Tim Gitzel said at an investor conference in Florida.
Cameco “won’t be very compromising” in its legal position
against Tepco, Gitzel said.
The Saskatoon, Saskatchewan based company said in January it
would cut 120 jobs at three uranium mines in 2017.
It reported lower-than-expected quarterly profit this month.
Cameco shares eased 0.8 percent in New York to
$11.20 in morning trading.
(Reporting by Rod Nickel in Winnipeg, Manitoba; Editing by