Leading utilities around the world are looking to lock in new long-term uranium contracts with existing suppliers with the “strong outlook” for the sector boosted by rising costs for new mines that could further restrict supply, the managing director of Australia-based Boss Energy said.

Duncan Craib said Boss wants to capitalise on the growing demand for uranium, especially from western countries and the strong outlook is reflected in the growing level of inquiry the company is receiving from utilities, which is coinciding perfectly with development of its Honeymoon uranium project in South Australia.

The company said it is making “strong progress on all fronts” as it aims to get the in-situ leach project operational in the December quarter. Committed expenditure under the re-development has now reached the half way mark, totalling AUD55.1m (€35.9m, $39.1m) of the budgeted AUD105.4m capital expenditure.