Uranium Prices Could Top $100 as Nuclear Demand Grows

Uranium prices could rise above $100 per pound within the next three months as expanding nuclear power investment and tighter fuel requirements strengthen demand, according to Citi analysts.

Citi maintained its bullish outlook for uranium, with its long-term price benchmark climbing to a record $96 per pound. The benchmark has increased continuously since January 2025, extending a broader upward trend that began in 2018.

Growing investment in nuclear energy is a key driver. Competitive electricity economics and an expanding pipeline of nuclear projects are supporting uranium demand, particularly in the United States. Several small modular reactors are already under construction, while another two or three projects could secure approval later this year.

Three U.S. nuclear plants are also being restarted, while the Department of Energy's UPRISE program is supporting power uprates at existing facilities. Reactor restarts, lifetime extensions and increased utility stockpiling could further boost uranium procurement.

Military applications could provide another source of demand. The U.S. Army's $2.2 billion Janus program has selected five developers to construct microreactors at five military installations, with longer-term plans potentially involving more than 20 units.

Those reactors are expected to use high-assay low-enriched uranium, or HALEU, and TRISO-based fuel. That could increase demand not only for uranium but also for enrichment, fuel fabrication and other nuclear fuel-cycle services.

Under Citi's bull-case scenario, which carries a 25% probability, uranium prices would average $99 per pound in 2026. Additional upside could emerge if junior uranium miners struggle to meet contractual supply commitments and are forced to purchase material aggressively on the spot market.

Citi assigns a 15% probability to its bearish scenario, under which uranium would average $85 per pound in 2026. That case assumes Russian enriched uranium returns to U.S. and European markets, enrichment costs decline and most planned junior mining projects successfully enter production.

While the report does not specify Citi's central-case 2026 uranium price forecast, its near-term outlook remains bullish, with prices expected to surpass $100 per pound within three months.