It’s been a tumultuous year for uranium mining company Cameco, and despite the hurdles CEO Tim Gitzel is still holding out cautious optimism.
He told investors in his 30 years in the industry, he has never seen market conditions be this tough and this low for this long.
Uranium prices in December were 40 per cent lower than in early 2016, and 70 per cent lower than March 2011. Cameco Laid off 500 workers and closing its Rabbit Lake operation in December, and another 120 workers at operations in northern Saskatchewan in January.
Learning Japanese power company TEPCO was cancelling a lucrative contract worth 1.3 billion dollars through 2028, was another negative.
But the company remains hopeful for a turnaround and point to 10 new reactors coming online and an additional 58 under construction as a positive sign.
One third of that growth is in China.
Cameco also says they are going to fight the contract matter with TEPCO in the courtroom.