The spot price of uranium has risen by $2 to $80/pound U3O8, price
reporting firms TradeTech and Ux Consulting said, adding that both buyers and
sellers are cautiously testing the market.

That caution was reflected in smaller volumes being traded. One deal
announced by broker New York Nuclear on October 19 was for 20,000 pounds U3O8
for delivery in November at a price of $79/lb. That deal, New York Nuclear
said, was concluded off the company's UraniumOnLine trading system.

Sellers are starting to appear more bullish, with some expecting the spot
price will again approach triple digits by the end of the year. And while
buyers see upward pressure on prices, they appear to believe that the price
rise will be slower, staying under $90 by the end of the year, analysts said.

Separately, the US Department of Energy has asked for expressions of
interest in the purchase of 250 metric tons of surplus, off-specification
low-enriched uranium the government owns. The enriched uranium is derived from
the processing and down-blending of high-enriched uranium metals, oxides, and
fuel elements at DOE's Savannah River site.

Because of certain contaminants, the uranium, after processing, would not
meet current commercial standards for fuel used in nuclear reactors.
Interested firms, which could blend the uranium with other supply to lower the
level of contaminants, are to reply to DOE by November 19.

Platts Nuclear Fuel price range for the week ending October 26 is $78 to
$85/pound.

--Mike Knapik, newsdesk@platts.com