RIA Novosti reported yesterday, citing official statistics, that the US imported $1.2 billion worth of Russian uranium last year, the highest ever on record.

The US Congress tried to apply a ban in December on imports of Russian uranium as part of the sanctions campaign against the latter over the Ukraine conflict, however, the bill was stuck in the Senate. 

Amid the political talks on banning uranium, US purchases of Russian uranium jumped twice the previous amount in December to $193.2 million, RIA Novosti said, explaining that this resulted in a total value of shipments for the year increasing by 43%, hitting a new record of $1.2 billion.

They added that Russia has persisted as America’s top supplier of uranium in terms of monetary value while based on volume, it is the fourth-largest supplier to the US, with Canada in the top spot, according to calculations provided by S&P Global.

The US has its own deposits of uranium, but they are not enough to supply the US' nuclear power sector. On the other hand, Russia has the world’s largest uranium enrichment complex, accounting for almost half of the global capacity. It would take at least five years of extended investment for the US to break its dependence on Russian imports of uranium used to fuel nuclear reactors, according to certain estimates.

According to the Department of Energy, nuclear power constitutes nearly 20% of the electricity generated in America.

Last year, Uranium prices reached their highest

Uranium prices recorded their highest level in 12 years last year, highlighting global competition for nuclear power as demands for fuel supply rise.

For the commodity dubbed “yellowcake," prices increased around 12% to $65.50 per pound in August 2023, which broke the 2022 record to reach numbers not seen since 2011, UxC , a pricing data service, announced on September 15, 2023.

The rise in demand shows the desire by nations such as the US and South Korea to increase energy independence by extending the lifetime of the existing nuclear reactors and building new plants following the rise in gas prices amid the crisis in Ukraine.  

The jump in uranium prices shows the revival of nuclear power as a critical carbon-free source of power to tackle climate change, which was undermined by Japan’s Fukushima nuclear disaster in 2011.  

Grant Isaac, chief financial officer at Cameco, the world’s second-largest uranium producer, said at the time, “You have a focus on energy security colliding with a focus on clean energy," adding, "The days of buying $40 uranium are over — and probably also for $50 or $60. We’re going to need new supplies".