Hong Kong stock concepts tracking | Nuclear fusion development expected to accelerate under AI catalysis Nuclear energy production promotes uranium prices soaring all the way (with concept stocks)

Recently, the price of nuclear reactor fuel uranium has surged to a historic high, mainly due to the Russia-Ukraine conflict causing a tight supply of enriched uranium, coupled with an increasing demand from AI data centers. According to data provider UxC, the price of enriched uranium has reached $190 per separative work unit, a significant increase from $56 per separative work unit three years ago. Analysts say that nuclear energy, as a renewable clean energy source, has attracted the attention of governments and businesses worldwide, especially tech giants like Microsoft and Amazon, who are eager for nuclear energy to power their energy-consuming AI data centers. Meanwhile, the Russia-Ukraine conflict is ongoing, and Russia is a major player in the production of enriched uranium needed for nuclear reactors. Sanctions and export bans imposed by the US have pushed enriched uranium prices to new highs. Nick Lawson, CEO of investment group Ocean Wall, stated, "Western countries lack sufficient uranium conversion and enrichment capabilities, which is why prices have increased so sharply, and the prices are expected to continue to rise." On the 21st, Trump announced that three companies, SoftBank Group, American Open AI Research Center, and Oracle, will invest $500 billion in building infrastructure to support AI development in the US. Additionally, Trump plans to prioritize the development of nuclear energy production in the US as part of his energy agenda. Under the influence of AI, the development of nuclear fusion is expected to accelerate. CITIC SEC's research report pointed out that the EAST device achieved a significant breakthrough from basic science to engineering practice on January 20th, which is of great significance for speeding up the realization of fusion power generation by humans. From an industry perspective, under the catalysis of demand such as AI, the heat of controllable nuclear fusion has been continuously rising, and with a relatively clear technical path, the overall commercialization pace is expected to far exceed expectations, the industrial chain components have early positioning value. We suggest grasping the main line of technology, focusing on the long-term investment opportunities of related materials for the commercialization dawn of nuclear fusion as a civil nuclear power ultimate energy solution. Nuclear fusion related industry chain Hong Kong stocks: CGN MINING (01164): As of December 31, 2024, the group held 1494tU of natural uranium (about 3.88 million pounds of U3O8), with a weighted average cost of $71.64 per pound of U3O8; the amount of natural uranium sales contracted but not yet delivered was 3465tU (about 9.01 million pounds of U3O8), with a weighted average selling price of $77.52 per pound of U3O8. Morgan Stanley issued a research report stating that there is a downward risk to the output guidance target of the world's largest uranium producer, Kazakh National Atomic Company (KazAtomProm), and past downward guidance from the company has had a significant impact on uranium prices and CGN MINING.