Uranium Quarterly Report – Q3 2022

The Q3 Uranium Quarterly Report can be found here, offering insights on nuclear and uranium news, performance of the Global X Uranium ETF, and some industry’s key concepts.

Key News of the Quarter

• Japan shifts stance on nuclear power: More than a decade after the Fukushima disaster, Japan is preparing for a significant return to nuclear power, seeking to restart many idled reactors and create new facilities using next-generation technologies.¹
• U.S. ramped up efforts to wean itself off Russian nuclear fuel: The United States has redoubled its attempts to become independent of Russian nuclear fuel. The administration has made uranium enrichment a top priority, and they believe important lawmakers will support this effort so that a fuel production plan can be implemented by 2025.²
• UK government approved Sizewell C nuclear power plant: The UK authorized funding for the Sizewell C nuclear reactor in Suffolk. £20–30 billion project will seek private funding. The government called for new nuclear power stations to boost Britain’s energy security. Sizewell’s construction may indicate that the UK is on track to triple nuclear capacity by 2050.³
• Poland seeks nuclear power plant partners: Poland may work with more than one partner on its first nuclear power plant. It is thinking about using technology from companies in the US, France, and South Korea. Currently, most of Poland’s electricity comes from coal (70% of total production). The objective is to phase out coal use nearly entirely by 2050, with nuclear energy and gas-fired power plants providing most steady supplies by then.⁴
• Africa’s energy agenda looks at nuclear power: In Africa, Uganda bought land to build a nuclear power plant, and Kenya, Nigeria and Ghana intend to build nuclear power plants too.^5,6
• Indonesia will open its first nuclear power plant: To meet its net-zero emissions objective, the world’s largest exporter of thermal coal, Indonesia, plans to support renewable energy projects and launch its first nuclear power plant by 2045.⁷
• California keeps final nuclear plant running: To avoid blackouts, California lawmakers voted to add five years to the life of the state’s last nuclear power plant.⁸
• Switzerland might reevaluate its nuclear energy policies: A group of politicians in Switzerland has come together to form “Stop Blackouts.” They intend to start a petition to change the country’s energy policy to make sure that there is enough power and to keep nuclear energy as part of the mix.⁹
• China’s nuclear industry claims growth plans can be accelerated: China’s Nuclear Industry announced that it can accelerate expansion plans, target of six to eight reactors a year could be raised to 10.  Licensing fuel technology could help China to sell more reactors overseas by creating more procurement options.¹⁰
• Germany extends lifespan of final nuclear plants: Germany will keep three nuclear power plants in a kind of backup status to tackle the current energy crisis.¹¹ 

For performance data current to the most recent month- and quarter-end, please click here. The Fund’s investment objective and investment strategies changed effective May 1, 2018 and again on August 1, 2018. Hybrid index performance (noted as “SOLURANT Index” above in the chart) reflects the performance of the Solactive Global Uranium Total Return Index through April 30, 2018, the Solactive Global Uranium & Nuclear Components Transition TR Index through July 31, 2018, and the Solactive Global Uranium & Nuclear Components Total Return Index thereafter.

DEFINITIONS

Solactive Global Uranium & Nuclear Components Total Return Index: The Solactive Global Uranium & Nuclear Components Total Return Index tracks the price movements in shares of companies which are (or are expected to be in the near future) active in the uranium industry. This particularly includes uranium mining, exploration, uranium investments and technologies related to the uranium industry. The Index will include a minimum of 20 components at every rebalancing.

Related ETFs

URA: The Global X Uranium ETF provides investors access to a broad range of companies involved in uranium mining and the production of nuclear components, including those in extraction, refining, exploration, physical uranium buyers, or manufacturing of equipment for the uranium and nuclear industries.

Please click the fund name above for current fund holdings and important performance information. Holdings are subject to change.

1. Stapczynski, S., & Stringer, D. (2022, August 24). Threats of blackouts drive Japan to embrace nuclear again. Bloomberg.
2. Tirone, J. (2022, September 29). US redoubles efforts to end dependence on Russian nuclear fuel. Bloomberg.
3. Lawson, A. (2022, July 20). UK government gives go ahead to Sizewell C nuclear power plant. The Guardian.
4. Martewicz, M. (2022, September 5). Poland may look beyond US for nuclear power plant partnership. Bloomberg.
5. Ojambo, F. (2022, July 26). Uganda asks Russia for help to develop nuclear power plant. Bloomberg.
6. World Nuclear News. (2022, September 2). Nuclear policies: Presidential approval for nuclear in Ghana.
7. Listiyorini, E. (2022, June 7). Indonesia eyes subsidies, nuclear power in renewable energy bill. Bloomberg.
8. Baker, D, R., & Chediak, M. (2022, September 1). California lawmakers vote to keep last nuclear plant online. Bloomberg.
9. Reuters. (2022, August 28). Swiss group to launch petition to rethink nuclear power plans. US News.
10. The Straits Times. (2022, September 6). China’s nuclear industry says it can accelerate expansion plans.
11. Rinke, A., Alkousaa, R., & Käckenhoff, T. (2022, October 18). Germany pushes to extend lifespan of three nuclear plants letter. Reuters.

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