Power demand angle: AI & nuclear
Analysts are flagging rising AI demand as a tailwind for grid and generation investment — including renewed interest in nuclear capacity to serve data centers. That thesis is already showing up in sector flows and coverage of power‑infrastructure names. (x.com) (x.com)
Microsoft signed a 20‑year power‑purchase agreement with Constellation to offtake roughly 835 MW and back the restart of Three Mile Island Unit 1 as the Crane Clean Energy Center. (constellationenergy.com) Google and Kairos Power sealed a master plant development agreement to deploy a 500‑MW fleet of advanced small modular reactors for Google’s data‑center fleet, with the first unit targeted by 2030. (kairospower.com) The Department of Energy closed a $1 billion loan to Constellation to lower financing costs for the Crane restart, with Constellation targeting commercial operation in the 2027–2028 timeframe. (energy.gov) The EIA’s Short‑Term Energy Outlook projects U.S. electricity use to rise to record highs through 2026–2027, citing data‑center growth as a primary driver of the strongest four‑year demand increase since 2000. (eia.gov) Investors have routed capital into nuclear and reactor‑focused ETFs: Global X Uranium (URA) sits near multi‑billion‑dollar assets and posted roughly triple‑digit returns over the past 12 months, while Range’s NUKZ has also logged high year‑over‑year gains. (247wallst.com) Dealflow and M&A in power and utilities have accelerated as buyers chase load‑growth exposure, and Constellation’s market value jumped after the Microsoft PPA — a visible example of price action tied to AI‑driven power contracts. (pwc.com)
