Mentioned:
The United States of America wants more nuclear power. And Constellation Energy is going to be the company to provide it.
What’s happening:
- Constellation Energy (NASDAQ: CEG) has won two separate deals from the federal government in the United States of America for nuclear power production worth more than $1B USD in total
By the numbers:
- Constellation Energy’s first deal is for $840M USD with the General Services Administration to provide clean energy to multiple federal agencies
- Constellation Energy’s second deal is for $172M USD as part of an Energy Savings Contract which is aiming to significantly reduce costs at General Service Administration’s facilities
- Constellation Energy will provide nuclear power to federal agencies in 5 different states in total
Why it matters:
- Constellation Energy has been landing multiple large scale deals for nuclear power, previously cutting a highly notable new supply agreement with Microsoft (NASDAQ: MSFT) to reopen the historic Three Mile Island nuclear energy facility located in Pennsylvania
Going deeper:
- The American government has been aggressively throwing capital at nuclear energy companies in an effort to expand domestic supply and production, notably pouring multiple billions of dollars of new funding into low enriched uranium from domestic sources
Market reaction:
- Shares of Constellation Energy were up +7.6% following the announcement
