- The company posted a loss in 2020 and has committed sales volumes of only between 23 million and 25 million pounds of uranium for 2021.
- With its main mines closed, Cameco can make a profit through uranium market purchases only if spot prices keep under $40 per pound.
- Ironically, an increase in uranium prices would significantly increase its losses.
- The company's plan is to put McArthur River back into production when uranium prices recover, but I doubt this can be done.
- I continue to think that Cameco shouldn't be worth more than $800 million.
For further details see:
Cameco's Future Looks Grim After Poor 2020 Results