Uranium mining in the United States saw a significant uptick in the first quarter of 2024, with production exceeding 82,000 pounds of uranium concentrate, surpassing the total output for all of 2023. This contrasts sharply with the previous year, when domestic production dropped to 50,000 pounds of triuranium octoxide (U3O8), a substantial decline from the 194,000 pounds produced in 2022.
The decrease in 2023 was largely due to the White Mesa Mill in Utah, the country’s sole operating conventional uranium mill, being inactive. During that year, uranium concentrate was primarily produced at five in-situ recovery facilities—four in Nebraska and one in Wyoming.
Recent trends indicate a rebound in uranium mining activities. The number of exploration and development holes drilled—an early indicator of future production—rose dramatically from 260 in 2021 to 1,930 in 2023. Drilling distance per well also increased from 123,000 feet in 2021 to over one million feet in 2023. Additionally, the workforce engaged in uranium exploration grew from 42 to 110 employees over the same period.
In 2023, U.S. operators of civilian nuclear reactors purchased 51.6 million pounds of uranium concentrate, marking a 27% increase from the previous year. These purchases were made at an average weighted price of $43.80 per pound, up 12% from the $39.08 per pound average in 2022.
Uranium prices have generally been rising over the past five years, driven by a balance of global supply and demand following a surplus post-Fukushima. The geopolitical tension from Russia’s invasion of Ukraine has prompted some nations to reconsider their stance on nuclear energy, contributing to an expected rise in uranium consumption as nearly 60 reactors are under construction worldwide.
In 2023, most uranium purchased in the U.S. came from abroad, with Canada being the largest supplier at 27%. Uranium from Australia and Kazakhstan each accounted for 22%, while Russia provided 12% and Uzbekistan 10%. Domestic uranium supply contributed 5%, unchanged from 2022.
Looking ahead, the U.S. uranium supply landscape is set to shift. In May, the U.S. imposed a ban on uranium imports from Russia starting in August, although companies may apply for exemptions until January 1, 2028. This ban also unlocks $2.72 billion in funding to enhance the domestic nuclear fuel supply chain and support nuclear power plant operations.
