Uranium prices could rise above $100 a pound within the next three months, according to Citi analysts, who have retained a bullish view as investment in nuclear power expands and fuel requirements tighten.
The bank said the longer-term uranium price benchmark had reached a record $96 a pound, extending a rise that began in January 2025 and continued a broader uptrend dating back to 2018.
Citi pointed to competitive electricity costs and a growing pipeline of nuclear projects as key supports for demand. In the United States, several small modular reactor projects are under construction, while a further two or three could receive approval later this year.
Uranium outlook supported by nuclear expansion
The US Department of Energy’s UPRISE initiative is also intended to increase nuclear generation by raising output from existing reactors, restarting dormant facilities and extending the operating lives of plants.
The programme comes as the US government backs a wider expansion of the nuclear industry. In June, the Energy Department announced conditional financing of up to $17.5 billion to support long-lead equipment for 10 large commercial reactors.
Military demand could provide another source of consumption. The US Army confirmed in August that its Janus programme had selected five vendors and five military locations for nuclear microreactors, with up to $2.2 billion available for the projects. The Army said it ultimately expects more than 20 microreactors to be built across its installations.
Citi’s bullish scenario, assigned a 25 per cent probability, puts the average uranium price at $99 a pound in 2026. The bank said junior miners that fail to meet contractual commitments could be forced to buy material on the spot market, adding to upward pressure.
Further support could come from increased stockpiling by utilities, reactor restarts, lifetime extensions and the development of new nuclear projects, Citi said.
The bank’s bear case, given a 15 per cent probability, places the 2026 average at $85 a pound. It assumes Russian enriched uranium returns to US and European markets, enrichment prices fall to about $150 per separative work unit, and at least 70 per cent of junior mining projects scheduled over the next five years enter production successfully.
Citi’s published extract does not set out a central-case average price for 2026, but its near-term forecast is clear: uranium is expected to trade above $100 a pound during the coming three months.
