Chinese demand for uranium is set to explode.
Current demand stands 64,000 tonnes globally, and China’s demand is set to rise to 88,000–100,000 tonnes by 2025.
That is more than double the entire world’s current demand, in seven years.
China looking to invest in uranium
China is currently looking for a source for this massive amount of uranium.
As Reuters reports:
‘China National Nuclear Corp (CNNC) is looking to invest in overseas uranium mines to secure supply.’
The deputy manager of China National Uranium Co Ltd, went on to say:
‘We are open to taking a minority stake in a partnership or to taking a whole company.’
Chinese demand could help ASX uranium stocks
Currently, CNNC has a minority stake in a Namibian mine with ASX listed, Paladin Energy Ltd [ASX:PDN].
Paladin currently has a one year return of 261.7%.
This massive demand could spell big returns on ASX listed uranium companies — especially considering Australia has 34% of the world’s uranium resources.
For Money Morning