Obama: US has restarted its nuclear industry; is investing to build next gen power plants

In a speech given this week in South Korea, US President Obama made it clear that the new reactors about to be built in the US – the first in 30 years – are just the start of the US’ energy strategy.

In my opinion, just like China did a few weeks ago (read my blog post of March 15th) the US is drawing a very definite line under the Fukushima event and is now moving on with a nuclear energy program that is needed in order to address the continual growth in the demand for clean energy. As time passes I absolutely expect to see more countries follow suit in their support for the nuclear industry as a key component for meeting the demand for clean energy.

Below are some of the key quotes from Obama’s speech. If you want to read more, you can do so here.

“We’ve restarted our nuclear industry as part of a comprehensive strategy to develop every energy source. We supported the first new nuclear power plant in three decades. We’re investing in innovative technologies so we can build the next generation of safe, clean nuclear power plants.”

“After the tragedy at Fukushima, it was right and appropriate that nations moved to improve the safety and security of nuclear facilities. We’re doing so in the United States. It’s taking place all across the world. As we do, let’s never forget the astonishing benefits that nuclear technology has brought to our lives. Nuclear technology helps make our food safe. It prevents disease in the developing world. It’s the high-tech medicine that treats cancer and finds new cures. And, of course, it’s the energy -- the clean energy that helps cut the carbon pollution that contributes to climate change.”

Dev Randhawa

Welsh government states unequivocal support for nuclear energy

In its new strategy report – Energy Wales – the Welsh government has for the first time stated complete support for nuclear energy as part of its low-emission energy strategy, saying that "…the risks posed by climate change are now so serious that we cannot dispense with a key proven low-carbon technology".

The country will be moving forward on plans to deploy a new nuclear power station at Wylfa on Anglesey as part of its transition to a low carbon economy. You can read the Wales Energy Report here or catch the coverage by Energy & Environmental Management magazine here.

Wales is the latest country to make pro-nuclear energy statements. If you’ve been following  the Fission blog you’ll know that India, China, the UK and France have all made crystal-clear announcements in favour of nuclear energy.  As world energy demands continue to increase exponentially, it’s my opinion we will see a lot more governments making public commitments to nuclear power in order to meet these demands.

An extra $4.85 billion and more power shortages

Having already set the price tag at 1.3 trillion yen this fiscal year, Japan’s Kansai Electric Power Co. has estimated the total costs to fill the gap left by nuclear reactors shut for safety checks will exceed 1.7 trillion yen by March 2013. These figures are according to a presentation on the company’s website and covered by Bloomberg.

All but two of Japan’s 54 reactors remain dormant despite successful ‘stress tests’ as the government has said it won’t approve the restart of reactors unless local authorities agree. An article in the Financial Times, which I covered in this blog a few weeks ago, suggests that local agreement is in many cases tied up with political horse-trading between local and national politicians.

In the meantime, the country continues to lose money and, according to Kansai Electric estimates, home owners and businesses alike can look forward to 41 days of power shortages between July and September of this year. A situation which could well exert more press on local authorities to give their agreement.

My opinion on the situation remains unchanged. It is simply a matter of time before reactors are restarted.

Dev Randhawa

China looking to buy Canadian Uranium Mines

In an article yesterday, The China Daily quoted the deputy director of the National Energy Administration, Qian Zhiming, as saying, "China plans to import more uranium this year than last year and to buy uranium mines abroad, looking particularly toward Canada for that purpose."

The bulk of China’s uranium imports currently come from Eastern Europe and Australia, however, this latest statement highlights an active progression from the recent uranium trade cooperation announcement between Canada and China (scroll down to see an earlier blog post) and also falls in line with the recent statement from China’s Prime Minister Jiabao who announced an end to “blind expansion in industries such as solar energy and wind power”.

What I consider particularly important is that China appears to be officially and publicly drawing a line under the Fukushima event and this year is resuming its numerous nuclear power projects after spending the past year reviewing safety and security measures. Businessweek.com has covered the story here.

Dev Randhawa

Fission geologist highlights

If you haven't checked it out yet, here's some video coverage we put together about Fission with geologist highlights. It's also worth checking the great 3D animation of our J-Zone which you can find by scrolling down this page. As always, any questions: give us a shout.

Dev Randhawa

$123 million per day – the cost of not restarting Japan’s nuclear reactors

The Financial Times wrote a telling piece today about Japan and nuclear power. Prior to Fukushima, Japan relied on nuclear reactors for 30% of its power requirements. With all but two reactors still silent, the country finds itself in a position in which (to quote Japan’s Sankei newspaper citing a govt report) “every day Y10B ($123 million) of our national wealth is disappearing” due to the cost of importing additional natural gas, coal and other thermal fuels.

The country is quite rightly, putting its fleet of reactors through a variety of stress tests. However, the Financial Times article draws attention to the role of local politicians who, though most of them are pro-nuclear power, are holding up the process – quite possibly as part of standard political bargaining with the national government.

The cost of such bargaining is not one the country is likely to bear for long. Not only is the national economy suffering – with the cost of energy imports estimated to reach as much as a third of 1% GDP – but local economies which rely on nuclear-related jobs, subsidies and grants and also hurting.

In my opinion? With the enormous cost of getting by without nuclear power, the pro-nuclear stance of many in Japan, it’s likely to be only a matter of time before Japan restarts its reactors.

Dev Randhawa

Peru Uranium getting a boost

For those of you who don’t already know, there’s a lot of uranium in Peru and an article published on Reuters yesterday underlines just how uranium resources are developing in Peru together with plans for Peru’s first uranium mine in the same region as Fission’s Macusani properties.

The Reuters article has come out of an interview with Macusani Yellowcake’s CEO, Peter Hooper, who explains that the new official estimate his company will formally release next month, will put the uranium deposits believed to be contained on its properties at about 40 million lbs and in the article, Hooper outlines the company’s plans for Peru’s first uranium mine.

Macusani is not the only company to see serious value in South Eastern Peru and while you may have been caught up in all the exciting news we have put out over the last twelve months about our Waterbury Lake  and PLS properties you may be interested in learning a bit more about our property in Peru and, if so check out our Macusani overview, photos and maps or get in touch with us.

Dev Randhawa

Fission Energy to present at the annual Roth Capital Conference

In my capacity as Fission’s CEO, I will be presenting at the annual ROTH Capital Conference at the Ritz Carlton in California on Wednesday March 14th from 12:30 - 1pm on the Orange track.

The ROTH conference, which features senior executives from growth companies, is designed to provide investors with a unique opportunity to gain insight into small and mid-cap growth companies across a variety of sectors. It is one of the largest in the US and offers institutional clients the opportunity for extensive interaction with senior management from each company.

If you plan to be at the ROTH I hope to see you there. If you won’t be but you would like to know more about us, please don’t hesitate to get in contact with us.

Dev Randhawa