Date: Apr 19, 2018
Blue Sky Uranium finds cause for optimism in Argentina
Uranium prices have plummeted in recent years, as Japan’s nuclear power industry has continued to recover very slowly from the Fukushima disaster in 2011.
Nuclear power remains a reliable, low-emission source of baseload power for the world’s electricity needs. As such, it is in the mix for many countries’ plans to hit their carbon dioxide emission reduction goals as participants in the Paris climate accord.
In the short term, however, major players in uranium like Cameco and the country of Kazakhstan have elected to curtail production in the face of a global glut in uranium.
Uranium oxide (U3O8) is currently trading at around US$21 a pound on the spot market, a price less than half 2012 trading levels.
In the face of this soft environment, Blue Sky Uranium Corp. (TSX.V: BSK) is developing a uranium project in Argentina that has a chance to turn into a profitable project. Based on a combination of its in-country location and the presence of an easily mineable resource — with a vanadium kicker — Blue Sky’s Amarillo Grande project gives the company an excellent chance to win, even in a down market.
Argentina’s Growing Nuclear Power Industry
Blue Sky’s position in Argentina aligns it with the growing nuclear power industry in Argentina.
A signatory to the “Paris Accord,” the country is actively seeking ways to support a growing population while reducing carbon dioxide emissions by 15 per cent by 2030.
