Kazakhstan’s Secretive Deals with Russia and China🤫

This is Nuclear Update, your direct line to the nuclear industry's core – where we break down the latest news into easily digestible insights.

This is what we got for you this week:

• Kazakhstan’s Secretive Deals with Russia and China🤫

• Taiwan Halts Data Centers Due to Power Shortfalls🚫

• 8/10 South Koreans Say Country Needs Nuclear🥳

• South Africa Pauses Nuclear Procurement Amid Legal Challenges⏸️

• IAEA Comments on Australia-UK-US Nuclear Pact💬

Kazakhstan’s Secretive Deals with Russia and China🤫

The recent release of Kazatomprom’s 2025 uranium production guidance highlights significant reductions, with major shortfalls expected. Kazakhstan, once a key supplier of cheap uranium, has drastically cut production and diverted much of its output to Russia and China through secretive deals. These cuts have forced Western companies like Cameco and CGN Mining to issue profit warnings and consider raising prices. As Kazakhstan prioritizes fulfilling Russian contracts, Western buyers face rising costs and uncertainty. Investors in uranium are likely to benefit from these developments, with Citigroup forecasting uranium prices to reach $98/lb by year-end, potentially soaring to $115 by Q4 2025, or even $160 in a bullish scenario, driven by continued supply constraints.

Taiwan Halts Data Centers Due to Power Shortfalls🚫

Taiwan has halted the approval of large data centers in its northern region, citing a power capacity shortfall due to the decommissioning of local nuclear power plants. The recent closure of one of the island's last two nuclear reactors, part of Taiwan's plan to phase out nuclear energy, has significantly strained the northern power grid. This shift, driven by concerns over nuclear safety after the 2011 Fukushima disaster, has left the north increasingly reliant on power from other regions. Taiwan's situation mirrors Singapore's, which imposed a ban on new data centers in 2019 due to power shortages but later lifted it in 2022. Taiwan's last remaining nuclear reactor is scheduled to be decommissioned in May 2025.

8/10 South Koreans Say Country Needs Nuclear🥳

A recent survey reveals that 8 out of 10 South Koreans believe the country needs nuclear power for its energy future. The strong public support comes as South Korea seeks to balance energy security with environmental goals and mirrors sentiments worldwide, where nations are increasingly viewing nuclear power as a key component in meeting rising energy demands and achieving carbon neutrality. The findings suggest that nuclear power will likely continue to play a significant role in South Korea's energy strategy moving forward.

South Africa Pauses Nuclear Procurement Amid Legal Challenges⏸️

South Africa has paused its nuclear procurement process due to financial constraints, the need for a thorough review of its energy strategy, and emerging legal issues. The legal challenges involve concerns about the transparency and legality of the procurement process. The situation highlights the complexities of balancing energy security with economic and legal considerations. A court hearing on the legal challenges is scheduled for October, after which the government will outline the next steps in the procurement process, potentially revising its strategy based on the hearing's outcomes and the financial review.

IAEA Comments on Australia-UK-US Nuclear Pact💬

The IAEA Director General commented on the AUKUS agreement, a security pact between Australia, the UK, and the US, which involves sharing nuclear-powered submarine technology. The IAEA emphasized its role in ensuring that the naval nuclear propulsion activities under this agreement adhere to non-proliferation standards. The agency will work with the three countries to verify that nuclear materials remain peaceful and do not contribute to weapons development. The statement also highlighted the importance of transparency and international cooperation in this unprecedented arrangement.

Nuclear Nuggets🧽

Philippines is hoping to land a partnership with the Emirates Nuclear Energy Corp. (ENEC) as the government looks to add nuclear energy into the country’s energy mix.

Oklo’s microreactor project pipeline jumps 93% ahead of 2027 planned deployment.

According to the IAEA, around 30 countries are interested in, planning for, or have started construction of reactors for the first time.

Meme of the week🤣

Review of the week💪

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.