EFR:CC - World's largest uranium miner hikes production goals

Shares of uranium producers including Cameco ( NYSE: CCJ ) post broad losses in Friday's trading after the world's biggest uranium miner raised its 2024 production target , citing growing demand for nuclear fuel in an environment of global energy security concerns.

Kazakhstan-based Kazatomprom said it plans to increase production by ~10% in 2024 , or 2K-3K metric tons more than previously planned, to 25K-25.5K tons in 2024, equivalent to 65M-66M lbs of uranium oxide.

Among potentially relevant tickers: ( CCJ ) -7.6% , ( UEC ) -7.1% , ( URG ) -6.2% , ( UUUU ) -5.9% , ( DNN ) -5.8% , ( NXE ) -5.2% , ( OTCQX:FCUUF ) -4.7% , ( UROY ) -4% , ( LEU ) -3.2% .

ETFs: ( NYSEARCA: URA ), ( NYSEARCA: NLR ), ( URNM )

"We believe the fundamental shift in the supply-demand balance is still underway, with an illusion of endless secondary supply, creating ongoing opportunities for Kazatomprom as a primary supplier that maintains a disciplined approach," the company said.

BMO analyst Alexander Pearce said the increase represents the first real easing of supply curtailments since 2017 and could be viewed as a mark of confidence in improving underlying uranium fundamentals.

Cameco ( CCJ ) reported strong Q2 results , and as "uranium stages a comeback, the market starts to notice," Michael Wiggins de Oliveira writes in a bullish analysis published recently on Seeking Alpha .

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