According to Canaccord Genuity:
Committed to restarts…sooner than later? Japanese business news service, Nikkei, reported over the weekend that Japan's ruling Liberal Democratic Party (LDP) will promise in its policy platform to bring back nuclear reactors to service once their safety is confirmed. "Nuclear reactors that meet Nuclear Regulation Authority safety standards will resume operations under the government's responsibility," the draft document that is being prepared for July's upper house election said, according to Nikkei. The report further highlighted that the party's explicit promise is a step further than its policy manifesto for the lower house election. The LDP will also reiterate its plans for a "bold reduction of corporate taxes," which was also in the previous manifesto, Nikkei added. The recent decrease in the value of the Yen (thanks to Japan’s aggressive stimulus plans), has significantly raised the costs of Japan’s energy imports, placing ever more pressure on the country’s economy. Earlier this month, Cameco said it believes Japan will restart six to eight reactors this year. A rebound in Japanese demand is expected to eventually lift depressed uranium prices, as are construction of new reactors in China and India and the scheduled end this year of a program to convert uranium from Russian warheads into low-enriched uranium for reactor fuel. "I know we've been waiting for such movement longer than expected, but we are confident it will happen," CCO’s CEO, Tim Gitzel, said on a conference call. "The fundamentals of the industry, increasing demand and decreasing supply, require it. The question remains 'when.'"