US Uranium Output Rises but Imports Remain Dominant

US uranium production has seen a notable increase, with output reaching 2.1 million pounds in 2025, marking its highest level since 2017. This trend continued into the first half of 2026, with production reaching 2.13 million pounds, according to data from the EIA cited by OilPrice.com. Second-quarter production alone saw a 4.7% rise to 1.09 million pounds.

Despite this growth, the domestic output constitutes only a small fraction of the uranium required by US nuclear power operators. In 2025, US nuclear plants purchased 46.9 million pounds of uranium, an amount more than 22 times greater than the domestic production. Uranium of US origin accounted for 7% of these deliveries, while Canada, Kazakhstan, and Australia collectively supplied 75%.

This rise in output has been accompanied by increased exploration and expenditure. OilPrice.com notes that exploration drilling expanded by two-thirds to 1.02 million feet in 2025. Spending on land, drilling, production, and reclamation saw a 47% increase, reaching $234.7 million, the highest figure recorded since 2014, according to the EIA's annual production report.

Production Infrastructure and Capacity

During the second quarter of 2026, six facilities were active in uranium production: four located in Wyoming, one in Texas, and one in Utah. Additionally, five in-situ recovery plants were on standby at the close of last year, with seven proposed plants holding a combined planned capacity of 10.5 million pounds. The EIA reported 13.3 million pounds of annual capacity at operating US in-situ recovery plants at the end of 2025, though actual domestic production for that year stood at 2.1 million pounds.

Future Demand and Inventory Levels

US utilities anticipate requiring approximately 360 million pounds of uranium through 2035. Existing contracts cover a maximum of 174 million pounds, leaving 186 million pounds of projected requirements currently without contractual agreements. However, utilities held 118 million pounds in commercial inventories at the end of 2025. This volume is sufficient for three years of reactor loading at the 2025 rate, allowing utilities flexibility to defer some contracting decisions.

Globally, reactor requirements surpassed primary mine production last year, with the difference being covered by inventories and other secondary supplies, OilPrice.com states. The market dynamics, including high expectations, a slow pace of contracting, and long-term pricing structures, mean that the impact of rising uranium prices on producer earnings may take time to materialise.