Nuclear SMRs, Nevada’s electrical grid capacity, & the electrification megacycle
Nuclear Rising
“Chris Wright, the Energy Secretary appointed by Trump, sees commercial nuclear energy as a key power source in the future of U.S. energy. Upon taking office, he listed his priorities, which included advanced nuclear power, fossil fuels, geothermal, and hydropower. Wright’s first Secretarial Order states, “The long-awaited American nuclear renaissance must launch during President Trump’s administration.”
Link to full article here.
Tennessee Governor Bill Lee is making moves to ensure his state is a first mover in the US nuclear renaissance, and Small Modular Reactors (SMRs) are at the core of his plans.
“The centerpiece of the proposed spending is a $50 million investment in the Tennessee Valley Authority's project to build the nation's first commercial small modular reactor at the Clinch River Site in Oak Ridge”
Hundreds of Billions Investing in Data Centers
Data centers could 'quadruple' region’s electrical grid, NV Energy CEO says
“Northern Nevada's energy grid could quadruple in size in the "foreseeable future," if the data-storage industry continues to grow east of the Reno-Sparks metro area and other locations, Doug Cannon, the president and CEO of NV Energy said on Nevada Newsmakers.
Tract, a company based in Denver, which develops master plans and builds infrastructure for data-storage centers, said last year that it plans to invest $100 billion into Storey County over the next 10 years for its data-storage centers.”
Link to full article here.
Blackstone's prospective data center pipeline hits $100bn, on top of $70bn portfolio
“Alternative investment management company Blackstone continues to expand its data center empire, with its portfolio reaching $70 billion.
The company also has another $100bn in its prospective pipeline. That's up from a portfolio of $55bn and pipeline of $70bn just last quarter.”
Link to full article here.
The Department of Defense and the Small Business Administration team up for Critical Technology Initiative
“The Department of Defense (DoD) and the U.S. Small Business Administration (SBA) today announced the first group of Small Business Investment Company (SBIC) Licensees and Green Light Approved investment funds approved under the Small Business Investment Company Critical Technology Initiative (SBICCT Initiative). This first group collectively plans to invest over $2.8 billion into over 1,000 portfolio companies.”
Link to full release here.
Mega funds are dominating fundraising
“The landscape of successful firms is increasingly divided between behemoths with several business lines such as Blackstone and Apollo Global Management and top performers that have focused on their roots of buying and selling companies for a profit. Firms that fall in the middle—those that are big, but not big enough, or whose returns are good but not great—are finding it difficult to raise money.”
Link to full article here.
The Electricity Megacycle
A detailed analysis of energy demand by Tema ETFs.
Key Takeaways:
AI and reindustrialization are accelerating power demand, that is set to grow for the first time in decades.
Demand will soon outstrip supply igniting an estimated $7 trillion investment cycle.
This transformative trend will impact the entire electrification value chain, from new generation, including the revival of nuclear power, to the critical upgrading of transmission and distribution infrastructure.
Investing in electrification isn’t simply about utilities or industrial sectors but requires careful analysis of the trend’s beneficiaries.
The Tema Electrification ETF (VOLT) is the first of its kind fund investing in companies that are positioned to benefit from the electrification megacycle.