MM has made no secret of our bullish outlook towards uranium believing that nuclear power will be an integral part of the increasing energy demands from AI. Since the advent of Small modular reactors (SMRs) as the next-generation nuclear reactors which much smaller, cheaper and faster to build than traditional large-scale nuclear plants, nuclear is emerging as one of the few scalable, low-carbon baseload power sources capable of supporting the enormous and constant energy demands of next-generation AI infrastructure. Major technology companies, including Microsoft, Amazon and Alphabet (Google), are now exploring nuclear partnerships and SMR technologies as the AI buildout increasingly becomes constrained by electricity availability rather than computing demand alone.
- Supply of uranium is a major hurdle moving forward, and we believe it will be a matter of time before the commodity trades back above $US100/lb.
