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Uranium Stock Surges on AI Energy Demand
30 Nov
Summary
- Cameco stock has seen a significant rise of 63% this year.
- AI and data centers are driving a massive surge in energy demand.
- Cameco holds major uranium assets in Canada and Kazakhstan.
Cameco's stock has experienced remarkable growth, rising 63% this year and over 251% in three years, largely due to a resurgence in nuclear energy and increasing global energy needs. The U.S. is actively investing in nuclear infrastructure to meet escalating power demands, a move that directly benefits companies like Cameco.
Fueled by the immense power requirements of artificial intelligence and data centers, U.S. energy demand is projected to grow substantially. Projections indicate data center power demand could reach 8% of total U.S. demand by 2030, a significant increase from recent years. Overall U.S. electricity demand is expected to grow 2.5% annually, five times faster than the previous decade.
As one of the world's largest uranium producers, Cameco possesses substantial assets, including significant stakes in high-grade mines like McArthur River and Cigar Lake in Canada, and the Key Lake mill. The company also has a 40% interest in Joint Venture Inkai in Kazakhstan and a 49% stake in Westinghouse, a key player in nuclear reactor technology and services.
