With uranium prices currently spiking at around $106/lb in recent weeks, the industry is approaching the point where it makes fiscal sense for mines to resume production, Steve Schoffstall, director, ETF product management at investment company Sprott Asset Management said in an update.

Schoffstall said the incentive price for mines to begin producing is around $75 to $80/lb. Physical uranium prices in late 2016 dipped below $20/lb and many mines stopped producing and went into care and maintenance.