Uranium entered 2026 with spot prices holding above $100 per pound, mining equities repricing sharply higher, and utility demand re-emerging after years of under-contracting, according to Sprott's uranium outlook. The price level marks a structural shift for a commodity that traded below $30 as recently as 2021.

Supply discipline is reinforcing the move. Kazatomprom, the world's largest producer, cut its production guidance by 10% in June 2026 to support global pricing. Cameco forecasts 2026 output of 19.5 million to 21.5 million pounds across its assets, while US producer Energy Fuels expects to grow production from 1 million pounds in 2025 to between 1.5 million and 2.5 million pounds this year.

New supply is advancing but remains years away. Denison Mines received regulatory approval in February 2026 to begin construction at its Phoenix project in Saskatchewan, with production expected in mid-2028, and Deep Yellow is targeting first production in 2026.

The demand side keeps tightening. Reactor restarts, license extensions, new builds and data center power deals are expanding the fuel requirement at the same time institutional investors are accumulating physical uranium through funds. Sprott describes the setup as tight supply meeting a broadening demand base, with utilities holding thinner inventory cover than at any point in a decade.

Source: Sprott - https://sprott.com/insights/uranium-outlook-2026/