Canada's NexGen Energy up after signing uranium deals with US utilities

Nexgen Energy

04/12/2024 16:19

(Updates)
    ** Shares of Canadian uranium miner NexGen Energy  NXE.TO 
rise 2.8% to C$11.76 
    ** Company signs sales agreements with multiple U.S.-based
utilities to supply 5 mln pounds (Mlbs) of uranium from NXE's
Rook I Project currently being developed in Saskatchewan
    ** "Energy demand from reliable sources is increasing...
with the need to expand existing nuclear energy infrastructure
and the construction of power consuming data centers at a time
the security of uranium supply is under significant technical
and sovereign risk," CEO Leigh Curyer says
    ** NXE says it is also in discussions with additional U.S.,
European and Asian utilities for similar contracts
    ** RBC Capital Markets analyst Andrew Wong sees NXE to be
well-positioned to secure project financing post a potential
Federal approval in 2025
        ** Adds that the terms of the contract likely "mitigates
the risk from potential delays in project start-up"
  
    ** Including session's moves, stock up 19.4% YTD

 (Reporting by Pooja Menon in Bengaluru)
 ((Pooja.Menon@thomsonreuters.com;))