As nuclear energy plays an increasingly prominent role in getting rid of fossil fuels in the global energy crisis, "speculation in uranium" became one of the hottest topics at the WallStreetBets forum, a retail stronghold in the US last month. Now, this wave of investment is likely to intensify, because overnight another heavyweight news has caused a thousand waves in the uranium market: the world's largest uranium miner will invest to support the creation of a physical uranium fund!

(Kazatomprom), the Kazakh state atomic energy company, said in an official statement on Monday that it was pleased to announce that its board of directors had adopted a resolution to invest in ANU Energy OEIC Ltd., a physical uranium fund set up in (AIFC), the Astana international financial center.

The fund will hold physical uranium as a long-term investment, and the initial purchase will come from the first round of investment financing provided by the three parties, totaling US $50 million, respectively from the Kazakh State Atomic Energy Corporation (48.5 per cent), the State Investment Corporation of the State Bank of Kazakhstan (48.5 per cent) and the United Arab Emirates fund management company Genchi Global Ltd. (3 per cent).

Mazhit Sharipov, CEO of the Kazakh State Atomic Energy Industry Corporation, said in a statement, "the establishment of, ANU Energy as part of the company's broader value-oriented strategy is a project that has been developed for nearly four years. The fund will operate in an environment of tight supply and bring positive benefits to its stakeholders. "

According to the statement, once the fund is operational, it is expected that the second phase of development will be carried out through additional public or private offerings, and the timing and details will be determined by market conditions. In the second phase, the fund is expected to raise up to $500 million from institutional and / or private investors, and the proceeds will be used for further purchases of uranium.

The Kazakh National Atomic Energy Corporation is the world's largest uranium producer, accounting for about 23 per cent of global raw uranium production in 2020. All of the company's mining operations are based in Kazakhstan and use ISR technology to extract uranium with a focus on maintaining industry-leading health, safety and environmental standards (ISO 45001 and ISO 14001 certification).

The Kazakh National Atomic Energy Company is listed on the London Stock Exchange and the Astana International Exchange in Kazakhstan. As a state-owned company in Kazakhstan, its main customers are operators of nuclear power facilities, and its main export markets are China, Southeast Asia, Europe and North America.

The hot material of fried uranium is getting hotter and hotter.

At present, the accelerated global transition to clean energy provides a strong investment theme for the uranium industry. However, despite the growing interest of some investors in the market over the past few years, opportunities to invest in the radioactive metal are limited to two uranium funds-one publicly traded on the Toronto Stock Exchange in Canada and the other listed on (AIM), the alternative investment market of the London Stock Exchange.

ANU Energy, established through AIFC in Kazakhstan, will be the first uranium fund to provide potential direct investment channels for a wide range of emerging market investors, especially those focused on ESG and clean energy, as well as commodity funds, sovereign wealth funds and state-owned enterprises, according to the Kazakh State Atomic Energy Industry Corporation.

Boosted by the latest news, uranium stocks rose sharply on Monday, including Cameco Corp. And Energy Fuels Inc. Lead the rally. Shares in Cameco, the world's second-largest uranium miner, rose 8.5 per cent in Toronto, while Colorado-based Energy Fuels rose 9.1 per cent in new York.

At the same time, after last month's hype, spot uranium prices began to glow for a second spring, returning to highs around $47 a pound.

Just a few months ago, with the original intention of making it easier for the market to invest in physical uranium, Canadian investment company Sprott launched a physical uranium trust fund, (Sprott Physical Uranium Trust), which has been buying uranium on the spot market since mid-August, while continuing to disclose details of the fund's purchases on social media. The move directly contributed to the rise of uranium speculation in the market and reignited the debate over whether nuclear power can become part of the world's less polluting energy to replace fossil fuels.

The fund has so far bought nearly 32 million pounds of uranium, equivalent to about 17 per cent of the world's annual reactor consumption, according to Sprott's website and social media accounts.

Jonathan Hinze, president of UxC LLC, a leading nuclear fuel market research and analysis company, said the ANU fund would buy more uranium from the spot market, which could provide further action energy to the market. The new fund aims to focus on investors in Central Asia, South Asia and the Middle East, unlike the target markets of Sprott and Yellow Cake Plc.

"it remains to be seen how much money the ANU fund can raise in addition to the initial $50 million, but I will monitor further developments very closely, as this may further increase the already high spot demand for uranium in the market," Hinze said.

It is worth mentioning that in the past month or two, five major countries, including Germany, Finland, France, Poland and the United Kingdom, have all expressed their intention to move towards nuclear energy to varying degrees. Perhaps the boldest of these is the UK.

According to related reports, nuclear power is expected to be at the core of Britain's strategy to achieve net zero carbon emissions by 2050. Reported that British Commerce Secretary Kwasi Kwarteng this week will release an overall "net zero strategy" document, the main strategy will focus on Britain's nuclear power program. British Prime Minister Johnson is expected to approve the document on Friday.