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Uranium prices have surged amid concerns that the uprising in Kazakhstan will disrupt global supplies of the nuclear power fuel.
Kazakhstan is the largest uranium producer in the world, supplying about 40pc of global nuclear plant demand.
The spot price climbed more than $3 to $45.50 per lb on January 5, according to S&P Global Platts. This marks the largest increase since mid-September and the highest price since November 30, the commodities data provider said.
Kazakhstan is in the grip of deadly unrest triggered by a rise in motor fuel prices, with President Kassym-Jomart Tokayev calling in forces from ally Russia overnight.
William Freebairn, nuclear energy and uranium prices team leader at S&P Global Platts, said: “Kazakhstan is the Saudi Arabia of uranium and most global uranium producers, including large companies in Canada, China and France, have joint ventures in the country.
“Uranium prices rose the most since mid-September on January 5, at least in part because of concerns about the situation in Kazakhstan.
“Market participants are expressing concern about disruptions to transport of uranium from the country and the potential for protests to spread to the uranium-producing regions.”
However, Mr Freebairn added that companies with operations in Kazakhstan have said protests are far from the production sites and there are no reports of any disruptions.
Expected global growth of nuclear power helped drive uranium prices up 38pc in 2021.
EDF, which owns Britain’s nuclear power fleet, is among the companies to source uranium from Kazakhstan. Its website says that to “secure supplies of natural uranium, EDF procures it from a variety of mining operators in a number of countries, including Niger, Kazakhstan, Canada and Australia.”
A spokesman for Orano, which mines and processes uranium for clients including EDF, told Bloomberg on Wednesday its mining activity was not suspended at this stage.
Kazatamprom, a Kazakh uranium miner, said on Thursday that production and exports were continuing normally.
The uprising in Kazakhstan began as protests in the west of the country against a hike in the price of liquified petroleum gas, which many people in the country use to fuel their cars, on New Year’s Day.
It had swelled dramatically on Wednesday, when protesters stormed and torched public buildings in Almaty and other cities. President Tokayev initially responded by dismissing his cabinet, reversing the fuel price rise and distancing himself from his predecessor.
But the actions failed to mollify crowds who accused former president Nursultan Nazarbayev's family and allies of amassing vast wealth from oil and minerals while the nation of 19m remained poor.